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Most fundraisers are well versed in the microeconomics of their programs. They understand the factors that affect their everyday business decisions: RFM segmentation, response rates, average gifts, postage rate changes. They know how these factors influence decisions about hiring, expansion, and budgeting.
Few fundraisers take a step back to consider how macroeconomic factors also affect their results.
The nonprofit sector is not an island; it is a part of the broader economy. It represents about 5% of that economy in the United States, both in the form of the goods and services that nonprofits provide, as well as the amount of money that individuals and institutions spend on nonprofits. The macroeconomic factors that influence the rest of the U.S. economy necessarily influence the nonprofit sector as well, and often have a significant impact on the success—or failure—of fundraising efforts.
Take a dive into The Macroeconomics of Fundraising and learn about the economic indicators that rise above the rest to be universally useful for monitoring and explaining, and sometimes even predicting, donor behavior.