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ESRogs comments on Are Girl Scout Cookies Deliciously Evil? A Case Study in Evaluating Charities by Yourself - Less Wrong Discussion

16 Post author: gwern 24 April 2011 09:19PM

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Comment author: ESRogs 20 July 2011 06:25:58PM 0 points [-]

From 2006–2011, annual US inflation was close to 1% over that period and the net inflation was 9.25%.

If annual inflation was close to 1% then I would expect total inflation for the five-year time period to be on the order of 1.01^5-1, which is much less than 9.25%. Am I misunderstanding that sentence?

Comment author: ESRogs 20 July 2011 06:47:06PM 0 points [-]

If the councils & troops are charged $1.20 for a box and the baker then pays 20 cents to GSUSA, you could change the arrangement to the baker having no license fee, charging $1 a box, and then GSUSA taking 20 cents. Everyone makes the same amount of money in the end, but suddenly no longer are ‘70% of proceeds staying in the local Girl Scout council’.

If the councils & troops keep the remaining $2.80 per box, how is that not still them getting 70% of proceeds, regardless of how the other $1.20 is divided up between the bakers and GSUSA?