According to a study released on December 3 and comprising the first-ever comprehensive effort to quantify the rate of return on charitable giving, there is an average $8 dollar return to the economy for each $1 dollar a foundation gives to a charity. The study by Robert Shapiro was released by the Philanthropic Collaborative. It found that while the tax-exempt status of all charities (including foundations) costs local governments between $8 billion and $13 billion in annual revenue, the organizations’ activities more than make up for lost tax dollars in terms of the jobs and income they create. The study referred to the “multiplier effect” that foundation support has on creating new jobs, which produce higher household incomes, increased spending and more economic activity, thereby generating higher tax revenues for the government. According to the study, for example, the $42.9 billion in grants and other support provided by private and community foundations in 2007 produced approximately $368 billion in direct, social and economic benefits in areas including education, environment, animals, health, international affairs and social sciences. With the currently hurting economy and decreased government spending, the Philanthropic Collaborative is pointing out the great need for charitable giving to meet the needs of communities.