Week 9 Flashcards
You ask a client or donor, “What is the world we want, from your perspective?”
The client/donor replies ,”The strong prevail; the weak go under. That is the law of the market and the law of nature. Ethics has nothing to do with it. Money, wealth, and power come to those with great ability — like me. The world I want is one in which I own and control as much as possible for as long as possible for whatever pleases me. The rest is sentiment.”
Which of the following statement(s) is (are) appropriate?
I. The client has painted his or her own moral portrait.
II. The client has no ethical viewpoint.
A) I
B) II
C) Both I and II
D) Neither I nor II
A) I
The correct answer is A. The donor does, indeed, have an ethical viewpoint. Perhaps this viewpoint is not a generous one or an empathetic one, but it is, nonetheless, an ethical viewpoint that is recognizable as a moral perspective on self, society, and the market. The donor has, indeed, given us a window into his or her moral perspective.
With respect to theories of ethics, all of the following are true, EXCEPT
A) Utilitarians judge actions by their consequences.
B) Deontologists judge actions under a rule or precept as right or wrong, regardless of the consequences.
C) Philanthropy is considered a virtue in many ethical and religious systems.
D) To say that an action produced excellent results but was morally wrong is a contradiction for a deontologist
D) To say that an action produced excellent results but was morally wrong is a contradiction for a deontologist
The correct answer is D. The deontologist holds that consequences are not relevant in judging the moral weight of an action. For a utilitarian, though, it would be contradictory to hold that an action produces fine consequences but is morally wrong.
In Duska and Cubeta’s essay on the ethics and ideals of gift planning, all of the following points are made, EXCEPT
A) Gift planning or philanthropic planning is an emerging profession.
B) Moral issues and points of conflict are not unusual in gift planning.
C) Many professional codes apply to planning for philanthropy, since it draws on many professions, each of which has its own professional code.
D) Gift planning is a highly regulated industry.
D) Gift planning is a highly regulated industry.
The correct answer is D. Gift planning is not recognized as a regulated profession. It is an emerging profession, drawing on many related disciplines. The term is beginning to be used to refer to a nonprofit professional who assists donors with their philanthropy as related to the organization that the fundraiser represents. Some for-profit people, however, consider themselves gift planners because they work with clients to plan a gift within an estate or a financial plan. Likewise, a consultant to donors who specializes in placing a gift with the right charity could also say that he or she is engaging in gift planning.
Which of the following statements is (are) in line with the Model Standards of Practice for the Charitable Gift Planner?
I. The tax and financial benefits should be clearly explained.
II. Philanthropic intent should be the primary reason for giving.
A) I
B) II
C) Both I and II
D) Neither I nor II
C) Both I and II
The correct answer is C. The donor should understand the tax and financial aspects of the gift. Beyond that, the Model Standards of Practice for the Charitable Gift Planner call for philanthropic intent to be the primary motive for giving. This is a strong standard. Clients do make gifts for many reasons, but the standards say that philanthropic intent would be the most important motive.
Which of the following statement(s) describe(s) a breach of donor confidentiality?
I. sharing with an advisor publicly available information about a large gift made by the donor
II. letting an advisor know that a certain anonymous gift was made by his or her client
A) I
B) II
C) Both I and II
D) Neither I nor II
B) II
The correct answer is B. An anonymous gift should remain anonymous, unless the donor has given permission to share the information. A planner should not assume that merely because someone is a client’s advisor, this necessarily means that the client wishes you to share his/her confidential information with that advisor. Sharing publicly available information, however, is not a breach of confidence.
With regard to ideals, which of the following statement(s) is (are) in line with the essay by Duska and Cubeta?
I. Gift planning is a profession oriented to an ideal.
II. Gift planning, like any profession, is governed by ethical standards that prohibit certain acts.
A) I
B) II
C) Both I and II
D) Neither I nor II
C) Both I and II
The correct answer is C. Both statements are correct. The essay stresses that behaving ethically is important and that merely avoiding shady practices is not enough. Giving is a virtue. Gift planning is a profession oriented towards ideals — serving clients, helping communities, and making life better for others. To the extent that we orient our practice to ideals, we uplift the profession and create a public recognition that CAPs® are performing a worthy service.
Lois is raising money for a religious organization. Over time, she has become the trusted confidant of an older, wealthy woman who is unhappy with her children. As the woman ages, she begins to fear for her immortal soul.
Lois suggests to the woman that God wants her to give big. Lois also knows that the woman is slowly losing her mental competency and that it is unethical to exert undue influence on the donor.
But Lois risks losing her job, if she does not seal a large legacy deal soon. And so Lois continues to invoke the Almighty’s wishes as the best reason for the gift.
This is an example of which of the following ?
A) a moral dilemma
B) a tragic conflict
C) a quandary
D) akrasia
D) akrasia
The correct answer is D. This is an example of akrasia, or weakness of the will. Lois knowingly does the wrong thing because the temptation is so great.
Moral Dilemma - When the justifiable standards conflict. When it not clear what the right thing is.
Tragedy - when ethical principles irreparably conflict
Quandary - a state of perplexity or uncertainty over what to do over a difficult situation
The fundraiser becomes close to a wealthy donor in his eighties. The fundraiser learns about the donor’s financial situation, pending business deals, and family issues. The fundraiser sees a clear opportunity for an advisor to step into the case and facilitate a large gift transaction. He or she contacts an allied advisor, shares the financial data of the case, and arranges a lunch with the donor.
Which statement best characterizes this situation?
A) The fundraiser is committing an unethical act in breaching donor confidence.
B) The fundraiser should be judged by results; this case may result in a large gift.
C) The fundraiser is operating within the zone of freedom allowed by his or her role.
D) The fundraiser is playing the role of trusted advisor and is a good example of what a CAP® should do, in building bridges with advisors.
A) The fundraiser is committing an unethical act in breaching donor confidence.
The correct answer is A. Information provided by donors to the fundraiser is confidential. It is up to the donor to decide whether that information should be shared with third parties. Financial organizations often have the client sign an authorization form which allows the advisor or firm to share data with other professionals.
“Morality is the best of all devices for leading humankind by the nose.”
— Nietzsche
What this philosopher meant is best paraphrased by which of the following remarks?
A) Morality is a reflection of the most sacred principles.
B) Morality is a key component of leadership.
C) Morality is for the sheep; for the wolf, a different and higher law applies.
D) Morality is what holds our fragile community life together.
C) Morality is for the sheep; for the wolf, a different and higher law applies.
The correct answer is C. The view that morality is for the sheep, while, for the wolf, a higher law applies is seldom expressed but may often be acted upon. There are those who see morality as something to which lip service must be paid while they operate on altogether more selfish principles.
Your client made his money supplying landmines to any country willing to buy them. Years after the war, children are still running into fields strewn with mines and dying.
The client has read about Alfred Nobel, the inventor of dynamite who went on to create the Nobel Prizes, including the Peace Prize for which he is best remembered today.
The client approaches you about how best to use $2,000,000 to enhance the donor’s reputation.
This situation represents which of these?
I. a potential conflict with the planner’s personal ethics
II. a technical challenge for the planner
A) I
B) II
C) Both I and II
D) Neither I nor II
C) Both I and II
The correct answer is C. Both statements are true. The case is technically challenging. It is not easy to change the world’s perception of a man grown rich at the cost of innumerable lives. Representing such a client may also put a strain on the planner’s own ethical sensibility. Imagine, for example, that a drug lord wants to burnish his reputation by means of philanthropy. Would you accept that challenge?
Yet, this type of situation occurs often. Doctors cure Mafia dons, and lawyers represent criminals. Do we, as professional gift planners, have an obligation to represent all who come to us for advice? Should every person be entitled to adequate philanthropic counsel? Are the sources of a client’s funds relevant (assuming the funds are legally obtained) to our taking on a client? Would we be “on our moral high horse,” in refusing to accept such an engagement?
“Freedom from” and “freedom for”: with respect to this distinction, which of the following statement(s) is (are) true?
“Freedom from” can be glossed as freedom from external constraint.
“Freedom for” can be glossed as service to a greater good.
A) I only
B) II only
C) Both I and II
D) Neither I nor II
C) Both I and II
The correct answer is C. Both are true.
“Freedom from” is (as was once explained to the course author by a British philosopher) “the Englishman’s God-given right to do as he pleases.” In other words, “freedom from” is the freedom from external constraints. A gambling addict, a drug addict, a person who cannot resist another chocolate — all are “free” to behave better; there is no external constraint. They have simply failed to master themselves.
“Freedom for,” by contrast, means that freedom comes from service to an ideal or to a higher good. The athlete doing 100 pushups daily is less free, perhaps, than the person who lounges about watching TV, but, in another sense, the athlete is paying the price of higher freedom to excel. “True freedom is perfect service” is a religious doctrine. “Freedom is riding easy in harness” is how Robert Frost once put it.
But “freedom for” can also be a dangerous political doctrine, such as when a zealot tells followers that only by obeying and subordinating themselves to him can the follower find perfect freedom. This analysis comes from the noted British moral and political philosopher and historian of ideas Isaiah Berlin.
Its relevance to CAP® is deep. Our clients are free within the limits of the law to give or not give, invest, spend, or do as they please. That is “freedom from.” But within them, is there, at times, an urge that we can tap to find “freedom for,” the freedom found in aligning with their deeper purposes and those of the traditions of which they are a part? We cannot impose our own purposes, but can we help them find their own? Might this be “discernment”?
With respect to “effective altruism,” all of the following are true, EXCEPT
A) “All lives have equal value” is an expression of this philosophy
B) “Do the most good possible with a given gift or investment” is an expression of this philosophy
C) “Help those nearest to you” is an expression of this philosophy
D) Effective altruism is a version of Utilitarianism
C) “Help those nearest to you” is an expression of this philosophy
The answer is C. All are true, except “Help those nearest you.” Helping our nearest and dearest is a habit of the heart that effective altruists would consider sentimental. We should do the most good throughout the world, since all lives have equal value.
