Philanthropy Zunz

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“This chapter tells the little-known story, very important for understanding the politics of philanthropy, of the hostile encounter between his small group of foundations and an uncomfortable alliance of segregationists in Congress and tax lawyers in Treasury”. Zunz starts this chapter out by explicitly saying that he is going to tell the important story of the interaction between government and philanthropy in the early 1960’s. This chapter talks about how foundations had been getting plenty of fingers pointed at them at the time. Politicians opposed foundations being involved in civil rights, and civil servants suspected foundations of tax fraud. During the 60’s segregationists had resented advantages that the tax code had given foundations. Most influentially opposed to foundations was Wright Patman, a …show more content…

Patman had thought that government should have the control, and that the only useless part of big government was the Federal Reserve, simply because it catered to the needs of large corporations. The incredible increase in philanthropic foundations was not due to increased American generosity in Patman’s mind, but it was rather due to an increase in fiscal abuse. Patman had believed that philanthropy was a way to avoid inheritance taxes, keep control of companies generationally, and receive deductions when dumping unwanted assets. In these assumptions, Patman was right, as Zunz stated earlier that these were partial reasons as to how the Ford Foundation was created, although they still played a significant role in the Detroit area after the foundation was created. Other beliefs that Patman had were that philanthropy was a means to avoid antitrust legislation, hide suspicious or doubtful transactions from scrutiny, and also to influence the public through

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