Blueberry comments on The Craigslist Revolution: a real-world application of torture vs. dust specks OR How I learned to stop worrying and create one billion dollars out of nothing - Less Wrong
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Yes. It comes from companies' advertising budgets. The money would go to other websites or marketing companies, so it's being redirected to charity.
It's more effective, assuming Jim will agree to donate the money to charity, because ads elsewhere require people seeing the ad to donate. This doesn't. If you pay $500 to a company for an ad that says "Donate to Charity", the $500 goes to the company, and the charity only gets what people donate. If Apple pays Craigslist $500 for an iPad ad, and Jim decides to donate it to charity X, then charity X gets the money.
Oh! I misread the proposal. I thought craigslist was offering free, exclusive ads for a charity of our choice. Selling space for random commercial ads with the proceeds going to charity is what's actually being considered, and that seems like a pure win for whatever charity gets picked.
voted myself down and edited my comment.