I would agree with your reasoning if CFAR claimed that they can reliably turn people into altruists free of cognitive biases within the span of their four-day workshop. If they claimed that and were correct in that, then it shouldn't matter whether they (a) require up-front payment and offer a refund or (b) have people decide what to pay after the workshop, since a bias-free altruist would make end up paying the same in either case.
It's not so much what CFAR is claiming as what their goals are and which outcomes they prefer.
The goal is to create people who are effective, rational do-gooders. I see four main possibilities here:
First, that they succeed in doing so.
Second, that they fail and go out of business.
Third, that they become a sort of self-help cult like the Landmark Forum, i.e. they charge people money without delivering much benefit.
Fourth, they become a sort of fraternal organization, i.e. membership does bring benefits mainly from being able to network with other members.
Obviously (1) is the top choice. But if (1) does not occur, which would they prefer -- (2), or some combination of (3) and (4)? By charging money up front, they are on the path to (3) or (4) as a second choice. Which goes against their stated goal.
So let's assume that they do not claim to be able to turn people into effective rational do-gooders. The fact remains that they hope to do so. And one needs to ask, what do they hope for as a second choice?
CFAR can achieve its goal of creating effective, rational do-gooders by taking existing do-gooders and making them more effective and rational. This is why they offer scholarships to existing do-gooders. Their goal is not to create effective, rational do-gooders out of blank slates but make valuable marginal increases in this combination of traits, often by making people who already rank highly in these areas even better.
They also use the same workshops to make people in general more effective and rational, which they can charge money for to fund the work...
Summary: We outline the case for CFAR, including:
CFAR is in the middle of our annual matching fundraiser right now. If you've been thinking of donating to CFAR, now is the best time to decide for probably at least half a year. Donations up to $150,000 will be matched until January 31st; and Matt Wage, who is matching the last $50,000 of donations, has vowed not to donate unless matched.[1]
Our workshops are cash-flow positive, and subsidize our basic operations (you are not subsidizing workshop attendees). But we can't yet run workshops often enough to fully cover our core operations. We also need to do more formal experiments, and we want to create free and low-cost curriculum with far broader reach than the current workshops. Donations are needed to keep the lights on at CFAR, fund free programs like the Summer Program on Applied Rationality and Cognition, and let us do new and interesting things in 2014 (see below, at length).[2]
Our long-term goal
CFAR's long-term goal is to create people who can and will solve important problems -- whatever the important problems turn out to be.[3]
We therefore aim to create a community with three key properties:
Our plan, and our progress to date
How can we create a community with high levels of competence, epistemic rationality, and do-gooding? By creating curricula that teach (or enhance) these properties; by seeding the community with diverse competencies and diverse perspectives on how to do good; and by linking people together into the right kind of community.
Curriculum design
Progress to date
Next steps
Forging community
Progress to date
Next steps
Financials
Expenses
Revenue
Donations
Savings and debt
Summary
How you can help
Our main goals in 2014:
Footnotes