Measure Impact - Maximize Impact
What we mean by IMPACT
Wealth for the World supports high-impact organizations that, based on robust evidence, help improve lives, reduce suffering, and enable long-term positive change. We define impact as the demonstrable contribution to saving lives or sustainably improving quality of life—at the lowest possible cost.
Our Approach
Evidence before Intuition
We do not rely on well-intentioned assumptions and intentions, but on robust data and scientific research. Only measures whose effectiveness has been proven are considered for support.
Cost-Effectiveness
We not only pay attention to the absolute impact, but also to the ratio of impact to cost. An intervention that achieves ten times more for the same amount than another is ten times better, regardless of media attention or political priority setting.
Resources are directed where they make the biggest difference
Evidence and cost-effectiveness ensure that funds flow to where they can make the most difference, e.g. through mosquito nets, medication or direct help for people in extreme poverty.
Scientific Foundation
We exclusively support non-profit organizations whose impact has been independently evaluated and proven - preferably through randomized controlled trials (RCTs) or comparable robust methods.
Our donation decisions are based on established findings from development economics. Renowned research institutions such as the Abdul Latif Jameel Poverty Action Lab (J-PAL) and Innovations for Poverty Action (IPA) have proven through randomized controlled trials which measures to combat poverty are particularly effective.
The economists Esther Duflo, Abhijit Banerjee, and Michael Kremer were awarded the Nobel Prize in Economics in 2019 'for their experimental approach to alleviating global poverty.' Their work has made a significant contribution to establishing the importance of RCTs in development economics and anchoring evidence-based methods in policy-making.
GiveWell, on whose analyses we base our selection of donation partners, follows this evidence-based approach.
Well-known examples:
Deworming in Children
Leads to demonstrable educational and income gains later in life (Miguel & Kremer, 2004).
Distribution of Long-lasting Insecticide-treated Mosquito Nets (LLINs)
Significantly reduces malaria cases and saves lives (Bhatt et al., 2015).
Direct Cash Transfers
Increase income, food security and psychological well-being of people in extreme poverty (Haushofer & Shapiro, 2016).
Impact can never be 100% guaranteed, but probabilities can be improved
Despite careful evidence review, the fight against poverty remains complex and characterized by uncertainty. Our goal is not to exclude risks - but to manage resources as rationally as possible and on the basis of the best available evidence in such a way that they are highly likely to make the biggest difference.
