[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:00.99,0:00:04.60,Default,,0000,0000,0000,,I want to talk about social innovation
Dialogue: 0,0:00:04.62,0:00:06.55,Default,,0000,0000,0000,,and social entrepreneurship.
Dialogue: 0,0:00:08.05,0:00:10.17,Default,,0000,0000,0000,,I happen to have triplets.
Dialogue: 0,0:00:10.77,0:00:12.74,Default,,0000,0000,0000,,They're little. They're five years old.
Dialogue: 0,0:00:13.08,0:00:16.41,Default,,0000,0000,0000,,Sometimes I tell people I have triplets.\NThey say, "Really? How many?"
Dialogue: 0,0:00:16.43,0:00:17.80,Default,,0000,0000,0000,,(Laughter)
Dialogue: 0,0:00:17.82,0:00:21.92,Default,,0000,0000,0000,,Here's a picture of the kids --\Nthat's Sage, and Annalisa and Rider.
Dialogue: 0,0:00:23.40,0:00:26.50,Default,,0000,0000,0000,,Now, I also happen to be gay.
Dialogue: 0,0:00:28.49,0:00:30.56,Default,,0000,0000,0000,,Being gay and fathering triplets is by far
Dialogue: 0,0:00:30.58,0:00:33.42,Default,,0000,0000,0000,,the most socially innovative,\Nsocially entrepreneurial thing
Dialogue: 0,0:00:33.45,0:00:34.100,Default,,0000,0000,0000,,I have ever done.
Dialogue: 0,0:00:35.02,0:00:36.08,Default,,0000,0000,0000,,(Laughter)
Dialogue: 0,0:00:36.10,0:00:39.75,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:00:39.77,0:00:44.15,Default,,0000,0000,0000,,The real social innovation I want\Nto talk about involves charity.
Dialogue: 0,0:00:44.18,0:00:47.55,Default,,0000,0000,0000,,I want to talk about how the things\Nwe've been taught to think
Dialogue: 0,0:00:47.57,0:00:49.80,Default,,0000,0000,0000,,about giving and about charity
Dialogue: 0,0:00:49.83,0:00:51.71,Default,,0000,0000,0000,,and about the nonprofit sector,
Dialogue: 0,0:00:51.73,0:00:55.68,Default,,0000,0000,0000,,are actually undermining\Nthe causes we love,
Dialogue: 0,0:00:55.70,0:00:58.48,Default,,0000,0000,0000,,and our profound yearning\Nto change the world.
Dialogue: 0,0:00:59.39,0:01:02.07,Default,,0000,0000,0000,,But before I do that,\NI want to ask if we even believe
Dialogue: 0,0:01:02.09,0:01:05.05,Default,,0000,0000,0000,,that the nonprofit sector\Nhas any serious role to play
Dialogue: 0,0:01:05.07,0:01:06.26,Default,,0000,0000,0000,,in changing the world.
Dialogue: 0,0:01:07.25,0:01:10.90,Default,,0000,0000,0000,,A lot of people say now that business\Nwill lift up the developing economies,
Dialogue: 0,0:01:10.92,0:01:13.24,Default,,0000,0000,0000,,and social business\Nwill take care of the rest.
Dialogue: 0,0:01:14.17,0:01:18.49,Default,,0000,0000,0000,,And I do believe that business will move\Nthe great mass of humanity forward.
Dialogue: 0,0:01:19.76,0:01:23.65,Default,,0000,0000,0000,,But it always leaves behind\Nthat 10 percent or more
Dialogue: 0,0:01:23.68,0:01:26.44,Default,,0000,0000,0000,,that is most disadvantaged or unlucky.
Dialogue: 0,0:01:27.87,0:01:29.49,Default,,0000,0000,0000,,And social business needs markets,
Dialogue: 0,0:01:29.51,0:01:32.28,Default,,0000,0000,0000,,and there are some issues\Nfor which you just can't develop
Dialogue: 0,0:01:32.30,0:01:35.11,Default,,0000,0000,0000,,the kind of money measures\Nthat you need for a market.
Dialogue: 0,0:01:35.13,0:01:38.69,Default,,0000,0000,0000,,I sit on the board of a center\Nfor the developmentally disabled,
Dialogue: 0,0:01:38.71,0:01:41.02,Default,,0000,0000,0000,,and these people want laughter
Dialogue: 0,0:01:41.05,0:01:43.18,Default,,0000,0000,0000,,and compassion and they want love.
Dialogue: 0,0:01:45.46,0:01:46.94,Default,,0000,0000,0000,,How do you monetize that?
Dialogue: 0,0:01:48.65,0:01:52.40,Default,,0000,0000,0000,,And that's where the nonprofit sector\Nand philanthropy come in.
Dialogue: 0,0:01:53.01,0:01:56.24,Default,,0000,0000,0000,,Philanthropy is the market for love.
Dialogue: 0,0:01:56.60,0:01:58.99,Default,,0000,0000,0000,,It is the market for all those people
Dialogue: 0,0:01:59.02,0:02:01.42,Default,,0000,0000,0000,,for whom there is no other market coming.
Dialogue: 0,0:02:01.86,0:02:04.56,Default,,0000,0000,0000,,And so if we really want,\Nlike Buckminster Fuller said,
Dialogue: 0,0:02:04.59,0:02:06.95,Default,,0000,0000,0000,,a world that works for everyone,
Dialogue: 0,0:02:06.98,0:02:09.46,Default,,0000,0000,0000,,with no one and nothing left out,
Dialogue: 0,0:02:09.48,0:02:11.62,Default,,0000,0000,0000,,then the nonprofit sector has to be
Dialogue: 0,0:02:11.64,0:02:13.75,Default,,0000,0000,0000,,a serious part of the conversation.
Dialogue: 0,0:02:14.75,0:02:16.50,Default,,0000,0000,0000,,But it doesn't seem to be working.
Dialogue: 0,0:02:17.17,0:02:19.58,Default,,0000,0000,0000,,Why have our breast cancer\Ncharities not come close
Dialogue: 0,0:02:19.60,0:02:21.32,Default,,0000,0000,0000,,to finding a cure for breast cancer,
Dialogue: 0,0:02:21.35,0:02:23.30,Default,,0000,0000,0000,,or our homeless charities not come close
Dialogue: 0,0:02:23.32,0:02:25.61,Default,,0000,0000,0000,,to ending homelessness in any major city?
Dialogue: 0,0:02:26.41,0:02:28.38,Default,,0000,0000,0000,,Why has poverty remained stuck
Dialogue: 0,0:02:28.41,0:02:32.46,Default,,0000,0000,0000,,at 12 percent of the U.S.\Npopulation for 40 years?
Dialogue: 0,0:02:34.02,0:02:35.62,Default,,0000,0000,0000,,And the answer is,
Dialogue: 0,0:02:35.64,0:02:38.90,Default,,0000,0000,0000,,these social problems\Nare massive in scale,
Dialogue: 0,0:02:38.92,0:02:41.68,Default,,0000,0000,0000,,our organizations\Nare tiny up against them,
Dialogue: 0,0:02:41.70,0:02:44.53,Default,,0000,0000,0000,,and we have a belief system\Nthat keeps them tiny.
Dialogue: 0,0:02:45.45,0:02:46.62,Default,,0000,0000,0000,,We have two rulebooks.
Dialogue: 0,0:02:46.64,0:02:48.51,Default,,0000,0000,0000,,We have one for the nonprofit sector,
Dialogue: 0,0:02:48.53,0:02:51.05,Default,,0000,0000,0000,,and one for the rest\Nof the economic world.
Dialogue: 0,0:02:51.92,0:02:53.99,Default,,0000,0000,0000,,It's an apartheid, and it discriminates
Dialogue: 0,0:02:54.01,0:02:56.94,Default,,0000,0000,0000,,against the nonprofit sector\Nin five different areas,
Dialogue: 0,0:02:56.96,0:02:58.72,Default,,0000,0000,0000,,the first being compensation.
Dialogue: 0,0:02:59.97,0:03:02.62,Default,,0000,0000,0000,,So in the for-profit sector,\Nthe more value you produce,
Dialogue: 0,0:03:02.64,0:03:04.18,Default,,0000,0000,0000,,the more money you can make.
Dialogue: 0,0:03:04.20,0:03:06.29,Default,,0000,0000,0000,,But we don't like nonprofits to use money
Dialogue: 0,0:03:06.31,0:03:09.66,Default,,0000,0000,0000,,to incentivize people\Nto produce more in social service.
Dialogue: 0,0:03:10.26,0:03:12.75,Default,,0000,0000,0000,,We have a visceral reaction\Nto the idea that anyone
Dialogue: 0,0:03:12.78,0:03:15.45,Default,,0000,0000,0000,,would make very much money\Nhelping other people.
Dialogue: 0,0:03:16.22,0:03:18.46,Default,,0000,0000,0000,,Interestingly, we don't have\Na visceral reaction
Dialogue: 0,0:03:18.48,0:03:20.89,Default,,0000,0000,0000,,to the notion that people\Nwould make a lot of money
Dialogue: 0,0:03:20.91,0:03:22.14,Default,,0000,0000,0000,,not helping other people.
Dialogue: 0,0:03:22.16,0:03:24.26,Default,,0000,0000,0000,,You know, you want to make\N50 million dollars
Dialogue: 0,0:03:24.29,0:03:26.51,Default,,0000,0000,0000,,selling violent video games\Nto kids, go for it.
Dialogue: 0,0:03:26.53,0:03:28.66,Default,,0000,0000,0000,,We'll put you on the cover\Nof Wired magazine.
Dialogue: 0,0:03:28.68,0:03:30.70,Default,,0000,0000,0000,,But you want to make\Nhalf a million dollars
Dialogue: 0,0:03:30.73,0:03:32.22,Default,,0000,0000,0000,,trying to cure kids of malaria,
Dialogue: 0,0:03:32.24,0:03:35.36,Default,,0000,0000,0000,,and you're considered a parasite yourself.
Dialogue: 0,0:03:35.38,0:03:40.31,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:03:40.34,0:03:42.76,Default,,0000,0000,0000,,And we think of this\Nas our system of ethics,
Dialogue: 0,0:03:42.78,0:03:44.92,Default,,0000,0000,0000,,but what we don't realize\Nis that this system
Dialogue: 0,0:03:44.95,0:03:48.11,Default,,0000,0000,0000,,has a powerful side effect, which is:
Dialogue: 0,0:03:48.13,0:03:51.88,Default,,0000,0000,0000,,It gives a really stark,\Nmutually exclusive choice
Dialogue: 0,0:03:51.91,0:03:55.54,Default,,0000,0000,0000,,between doing very well\Nfor yourself and your family
Dialogue: 0,0:03:55.57,0:03:57.96,Default,,0000,0000,0000,,or doing good for the world,
Dialogue: 0,0:03:57.98,0:04:00.78,Default,,0000,0000,0000,,to the brightest minds\Ncoming out of our best universities,
Dialogue: 0,0:04:00.80,0:04:02.91,Default,,0000,0000,0000,,and sends tens of thousands of people
Dialogue: 0,0:04:02.94,0:04:05.63,Default,,0000,0000,0000,,who could make a huge difference\Nin the nonprofit sector,
Dialogue: 0,0:04:05.66,0:04:08.25,Default,,0000,0000,0000,,marching every year\Ndirectly into the for-profit sector
Dialogue: 0,0:04:08.28,0:04:12.21,Default,,0000,0000,0000,,because they're not willing to make\Nthat kind of lifelong economic sacrifice.
Dialogue: 0,0:04:13.40,0:04:16.35,Default,,0000,0000,0000,,Businessweek did a survey,\Nlooked at the compensation packages
Dialogue: 0,0:04:16.37,0:04:18.70,Default,,0000,0000,0000,,for MBAs 10 years out of business school.
Dialogue: 0,0:04:19.42,0:04:22.14,Default,,0000,0000,0000,,And the median compensation\Nfor a Stanford MBA,
Dialogue: 0,0:04:22.16,0:04:26.38,Default,,0000,0000,0000,,with bonus, at the age of 38,\Nwas 400,000 dollars.
Dialogue: 0,0:04:26.97,0:04:29.24,Default,,0000,0000,0000,,Meanwhile, for the same year,\Nthe average salary
Dialogue: 0,0:04:29.27,0:04:32.10,Default,,0000,0000,0000,,for the CEO of a $5 million-plus\Nmedical charity in the U.S.
Dialogue: 0,0:04:32.12,0:04:37.11,Default,,0000,0000,0000,,was 232,000 dollars,\Nand for a hunger charity, 84,000 dollars.
Dialogue: 0,0:04:37.76,0:04:40.36,Default,,0000,0000,0000,,Now, there's no way you're\Ngoing to get a lot of people
Dialogue: 0,0:04:40.38,0:04:44.44,Default,,0000,0000,0000,,with $400,000 talent to make\Na $316,000 sacrifice every year
Dialogue: 0,0:04:44.46,0:04:46.69,Default,,0000,0000,0000,,to become the CEO of a hunger charity.
Dialogue: 0,0:04:47.77,0:04:51.29,Default,,0000,0000,0000,,Some people say, "Well, that's just\Nbecause those MBA types are greedy."
Dialogue: 0,0:04:51.32,0:04:53.49,Default,,0000,0000,0000,,Not necessarily. They might be smart.
Dialogue: 0,0:04:54.02,0:04:56.02,Default,,0000,0000,0000,,It's cheaper for that person to donate
Dialogue: 0,0:04:56.04,0:04:59.85,Default,,0000,0000,0000,,100,000 dollars every year\Nto the hunger charity;
Dialogue: 0,0:04:59.88,0:05:01.79,Default,,0000,0000,0000,,save 50,000 dollars on their taxes --
Dialogue: 0,0:05:01.81,0:05:06.24,Default,,0000,0000,0000,,so still be roughly 270,000 dollars\Na year ahead of the game --
Dialogue: 0,0:05:06.26,0:05:08.86,Default,,0000,0000,0000,,now be called a philanthropist\Nbecause they donated
Dialogue: 0,0:05:08.88,0:05:10.72,Default,,0000,0000,0000,,100,000 dollars to charity;
Dialogue: 0,0:05:10.74,0:05:12.100,Default,,0000,0000,0000,,probably sit on the board\Nof the hunger charity;
Dialogue: 0,0:05:13.02,0:05:14.92,Default,,0000,0000,0000,,indeed, probably supervise the poor SOB
Dialogue: 0,0:05:14.94,0:05:17.69,Default,,0000,0000,0000,,who decided to become the CEO\Nof the hunger charity;
Dialogue: 0,0:05:17.71,0:05:18.72,Default,,0000,0000,0000,,(Laughter)
Dialogue: 0,0:05:18.74,0:05:22.09,Default,,0000,0000,0000,,and have a lifetime\Nof this kind of power and influence
Dialogue: 0,0:05:22.12,0:05:24.38,Default,,0000,0000,0000,,and popular praise still ahead of them.
Dialogue: 0,0:05:25.85,0:05:29.30,Default,,0000,0000,0000,,The second area of discrimination\Nis advertising and marketing.
Dialogue: 0,0:05:29.33,0:05:32.81,Default,,0000,0000,0000,,So we tell the for-profit sector,\N"Spend, spend, spend on advertising,
Dialogue: 0,0:05:32.83,0:05:36.16,Default,,0000,0000,0000,,until the last dollar no longer\Nproduces a penny of value."
Dialogue: 0,0:05:36.70,0:05:40.04,Default,,0000,0000,0000,,But we don't like to see our donations\Nspent on advertising in charity.
Dialogue: 0,0:05:40.07,0:05:44.04,Default,,0000,0000,0000,,Our attitude is, "Well, look,\Nif you can get the advertising donated,
Dialogue: 0,0:05:44.07,0:05:47.31,Default,,0000,0000,0000,,you know, to air at four o'clock\Nin the morning, I'm okay with that.
Dialogue: 0,0:05:47.34,0:05:49.70,Default,,0000,0000,0000,,But I don't want my donation\Nspent on advertising,
Dialogue: 0,0:05:49.72,0:05:51.29,Default,,0000,0000,0000,,I want it go to the needy."
Dialogue: 0,0:05:51.32,0:05:53.17,Default,,0000,0000,0000,,As if the money invested in advertising
Dialogue: 0,0:05:53.20,0:05:55.83,Default,,0000,0000,0000,,could not bring in dramatically\Ngreater sums of money
Dialogue: 0,0:05:55.85,0:05:57.00,Default,,0000,0000,0000,,to serve the needy.
Dialogue: 0,0:05:57.85,0:05:59.94,Default,,0000,0000,0000,,In the 1990s, my company created
Dialogue: 0,0:05:59.97,0:06:03.34,Default,,0000,0000,0000,,the long-distance\NAIDSRide bicycle journeys,
Dialogue: 0,0:06:03.37,0:06:07.92,Default,,0000,0000,0000,,and the 60 mile-long\Nbreast cancer three-day walks,
Dialogue: 0,0:06:07.94,0:06:10.90,Default,,0000,0000,0000,,and over the course of nine years,
Dialogue: 0,0:06:10.92,0:06:15.96,Default,,0000,0000,0000,,we had 182,000 ordinary\Nheroes participate,
Dialogue: 0,0:06:15.99,0:06:19.88,Default,,0000,0000,0000,,and they raised a total\Nof 581 million dollars.
Dialogue: 0,0:06:19.91,0:06:23.05,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:06:23.07,0:06:25.52,Default,,0000,0000,0000,,They raised more money\Nmore quickly for these causes
Dialogue: 0,0:06:25.55,0:06:27.21,Default,,0000,0000,0000,,than any events in history,
Dialogue: 0,0:06:27.24,0:06:30.03,Default,,0000,0000,0000,,all based on the idea\Nthat people are weary
Dialogue: 0,0:06:30.06,0:06:32.86,Default,,0000,0000,0000,,of being asked to do the least\Nthey can possibly do.
Dialogue: 0,0:06:32.88,0:06:37.45,Default,,0000,0000,0000,,People are yearning to measure\Nthe full distance of their potential
Dialogue: 0,0:06:37.47,0:06:40.11,Default,,0000,0000,0000,,on behalf of the causes\Nthat they care about deeply.
Dialogue: 0,0:06:40.81,0:06:42.45,Default,,0000,0000,0000,,But they have to be asked.
Dialogue: 0,0:06:43.84,0:06:45.67,Default,,0000,0000,0000,,We got that many people to participate
Dialogue: 0,0:06:45.69,0:06:47.90,Default,,0000,0000,0000,,by buying full-page ads\Nin The New York Times,
Dialogue: 0,0:06:47.93,0:06:51.34,Default,,0000,0000,0000,,in The Boston Globe, in prime time\Nradio and TV advertising.
Dialogue: 0,0:06:51.37,0:06:53.52,Default,,0000,0000,0000,,Do you know how many people\Nwe would've gotten
Dialogue: 0,0:06:53.55,0:06:55.43,Default,,0000,0000,0000,,if we put up fliers in the laundromat?
Dialogue: 0,0:06:57.01,0:07:01.22,Default,,0000,0000,0000,,Charitable giving has remained stuck\Nin the U.S., at two percent of GDP,
Dialogue: 0,0:07:01.24,0:07:04.00,Default,,0000,0000,0000,,ever since we started\Nmeasuring it in the 1970s.
Dialogue: 0,0:07:04.03,0:07:06.34,Default,,0000,0000,0000,,That's an important fact,\Nbecause it tells us
Dialogue: 0,0:07:06.36,0:07:09.05,Default,,0000,0000,0000,,that in 40 years, the nonprofit sector
Dialogue: 0,0:07:09.08,0:07:12.16,Default,,0000,0000,0000,,has not been able\Nto wrestle any market share
Dialogue: 0,0:07:12.18,0:07:14.22,Default,,0000,0000,0000,,away from the for-profit sector.
Dialogue: 0,0:07:14.94,0:07:17.13,Default,,0000,0000,0000,,And if you think about it,\Nhow could one sector
Dialogue: 0,0:07:17.16,0:07:20.22,Default,,0000,0000,0000,,possibly take market share\Naway from another sector
Dialogue: 0,0:07:20.24,0:07:22.41,Default,,0000,0000,0000,,if it isn't really allowed to market?
Dialogue: 0,0:07:23.44,0:07:25.16,Default,,0000,0000,0000,,And if we tell the consumer brands,
Dialogue: 0,0:07:25.18,0:07:27.74,Default,,0000,0000,0000,,"You may advertise\Nall the benefits of your product,"
Dialogue: 0,0:07:27.76,0:07:31.14,Default,,0000,0000,0000,,but we tell charities, "You cannot\Nadvertise all the good that you do,"
Dialogue: 0,0:07:31.16,0:07:33.92,Default,,0000,0000,0000,,where do we think the consumer\Ndollars are going to flow?
Dialogue: 0,0:07:35.16,0:07:37.99,Default,,0000,0000,0000,,The third area of discrimination\Nis the taking of risk
Dialogue: 0,0:07:38.01,0:07:41.22,Default,,0000,0000,0000,,in pursuit of new ideas\Nfor generating revenue.
Dialogue: 0,0:07:42.13,0:07:45.78,Default,,0000,0000,0000,,So Disney can make a new\N$200 million movie that flops,
Dialogue: 0,0:07:45.80,0:07:47.89,Default,,0000,0000,0000,,and nobody calls the attorney general.
Dialogue: 0,0:07:48.74,0:07:52.64,Default,,0000,0000,0000,,But you do a little $1 million\Ncommunity fundraiser for the poor,
Dialogue: 0,0:07:52.66,0:07:56.55,Default,,0000,0000,0000,,and it doesn't produce a 75 percent profit\Nto the cause in the first 12 months,
Dialogue: 0,0:07:56.58,0:07:58.71,Default,,0000,0000,0000,,and your character\Nis called into question.
Dialogue: 0,0:07:59.40,0:08:02.83,Default,,0000,0000,0000,,So nonprofits are really reluctant\Nto attempt any brave,
Dialogue: 0,0:08:02.86,0:08:05.78,Default,,0000,0000,0000,,daring, giant-scale\Nnew fundraising endeavors,
Dialogue: 0,0:08:05.81,0:08:07.41,Default,,0000,0000,0000,,for fear that if the thing fails,
Dialogue: 0,0:08:07.43,0:08:09.80,Default,,0000,0000,0000,,their reputations will be dragged\Nthrough the mud.
Dialogue: 0,0:08:09.83,0:08:10.99,Default,,0000,0000,0000,,Well, you and I know
Dialogue: 0,0:08:11.01,0:08:13.41,Default,,0000,0000,0000,,when you prohibit failure,\Nyou kill innovation.
Dialogue: 0,0:08:13.86,0:08:17.07,Default,,0000,0000,0000,,If you kill innovation in fundraising,\Nyou can't raise more revenue;
Dialogue: 0,0:08:17.10,0:08:19.38,Default,,0000,0000,0000,,if you can't raise more revenue,\Nyou can't grow;
Dialogue: 0,0:08:19.40,0:08:22.81,Default,,0000,0000,0000,,and if you can't grow, you can't\Npossibly solve large social problems.
Dialogue: 0,0:08:23.61,0:08:25.48,Default,,0000,0000,0000,,The fourth area is time.
Dialogue: 0,0:08:26.10,0:08:29.90,Default,,0000,0000,0000,,So Amazon went for six years\Nwithout returning any profit to investors,
Dialogue: 0,0:08:29.92,0:08:31.40,Default,,0000,0000,0000,,and people had patience.
Dialogue: 0,0:08:31.78,0:08:34.66,Default,,0000,0000,0000,,They knew that there was a long-term\Nobjective down the line,
Dialogue: 0,0:08:34.69,0:08:36.27,Default,,0000,0000,0000,,of building market dominance.
Dialogue: 0,0:08:36.30,0:08:38.88,Default,,0000,0000,0000,,But if a nonprofit organization\Never had a dream
Dialogue: 0,0:08:38.90,0:08:43.15,Default,,0000,0000,0000,,of building magnificent scale\Nthat required that for six years,
Dialogue: 0,0:08:43.18,0:08:45.04,Default,,0000,0000,0000,,no money was going to go to the needy,
Dialogue: 0,0:08:45.07,0:08:47.70,Default,,0000,0000,0000,,it was all going to be invested\Nin building this scale,
Dialogue: 0,0:08:47.73,0:08:49.23,Default,,0000,0000,0000,,we would expect a crucifixion.
Dialogue: 0,0:08:50.54,0:08:52.17,Default,,0000,0000,0000,,The last area is profit itself.
Dialogue: 0,0:08:52.19,0:08:54.71,Default,,0000,0000,0000,,So the for-profit sector\Ncan pay people profits
Dialogue: 0,0:08:54.73,0:08:57.31,Default,,0000,0000,0000,,in order to attract their capital\Nfor their new ideas,
Dialogue: 0,0:08:57.33,0:09:00.45,Default,,0000,0000,0000,,but you can't pay profits\Nin a nonprofit sector,
Dialogue: 0,0:09:00.47,0:09:02.44,Default,,0000,0000,0000,,so the for-profit sector has a lock
Dialogue: 0,0:09:02.47,0:09:04.95,Default,,0000,0000,0000,,on the multi-trillion-dollar\Ncapital markets,
Dialogue: 0,0:09:04.97,0:09:09.63,Default,,0000,0000,0000,,and the nonprofit sector is starved\Nfor growth and risk and idea capital.
Dialogue: 0,0:09:10.76,0:09:12.78,Default,,0000,0000,0000,,Well, you put those\Nfive things together --
Dialogue: 0,0:09:12.80,0:09:15.96,Default,,0000,0000,0000,,you can't use money to lure talent\Naway from the for-profit sector;
Dialogue: 0,0:09:15.98,0:09:18.17,Default,,0000,0000,0000,,you can't advertise\Non anywhere near the scale
Dialogue: 0,0:09:18.20,0:09:20.55,Default,,0000,0000,0000,,the for-profit sector\Ndoes for new customers;
Dialogue: 0,0:09:20.58,0:09:23.54,Default,,0000,0000,0000,,you can't take the kinds of risks\Nin pursuit of those customers
Dialogue: 0,0:09:23.56,0:09:25.25,Default,,0000,0000,0000,,that the for-profit sector takes;
Dialogue: 0,0:09:25.28,0:09:28.91,Default,,0000,0000,0000,,you don't have the same amount of time\Nto find them as the for-profit sector;
Dialogue: 0,0:09:28.93,0:09:31.100,Default,,0000,0000,0000,,and you don't have a stock market\Nwith which to fund any of this,
Dialogue: 0,0:09:32.02,0:09:34.13,Default,,0000,0000,0000,,even if you could do it\Nin the first place --
Dialogue: 0,0:09:34.16,0:09:36.08,Default,,0000,0000,0000,,and you've just put the nonprofit sector
Dialogue: 0,0:09:36.10,0:09:38.76,Default,,0000,0000,0000,,at an extreme disadvantage\Nto the for-profit sector,
Dialogue: 0,0:09:38.78,0:09:39.95,Default,,0000,0000,0000,,on every level.
Dialogue: 0,0:09:42.06,0:09:45.23,Default,,0000,0000,0000,,If we have any doubts about the effects\Nof this separate rule book,
Dialogue: 0,0:09:45.25,0:09:46.78,Default,,0000,0000,0000,,this statistic is sobering:
Dialogue: 0,0:09:46.80,0:09:49.14,Default,,0000,0000,0000,,From 1970 to 2009,
Dialogue: 0,0:09:49.16,0:09:51.89,Default,,0000,0000,0000,,the number of nonprofits that really grew,
Dialogue: 0,0:09:51.92,0:09:55.10,Default,,0000,0000,0000,,that crossed the $50 million\Nannual revenue barrier,
Dialogue: 0,0:09:55.12,0:09:56.76,Default,,0000,0000,0000,,is 144.
Dialogue: 0,0:09:57.27,0:10:00.08,Default,,0000,0000,0000,,In the same time, the number\Nof for-profits that crossed it
Dialogue: 0,0:10:00.11,0:10:02.25,Default,,0000,0000,0000,,is 46,136.
Dialogue: 0,0:10:03.18,0:10:06.24,Default,,0000,0000,0000,,So we're dealing with social problems\Nthat are massive in scale,
Dialogue: 0,0:10:06.26,0:10:08.59,Default,,0000,0000,0000,,and our organizations\Ncan't generate any scale.
Dialogue: 0,0:10:08.61,0:10:11.41,Default,,0000,0000,0000,,All of the scale goes\Nto Coca-Cola and Burger King.
Dialogue: 0,0:10:13.13,0:10:14.87,Default,,0000,0000,0000,,So why do we think this way?
Dialogue: 0,0:10:15.78,0:10:19.99,Default,,0000,0000,0000,,Well, like most fanatical\Ndogma in America,
Dialogue: 0,0:10:20.02,0:10:22.90,Default,,0000,0000,0000,,these ideas come from old Puritan beliefs.
Dialogue: 0,0:10:23.48,0:10:26.55,Default,,0000,0000,0000,,The Puritans came here\Nfor religious reasons, or so they said,
Dialogue: 0,0:10:26.58,0:10:29.77,Default,,0000,0000,0000,,but they also came here because\Nthey wanted to make a lot of money.
Dialogue: 0,0:10:30.08,0:10:31.51,Default,,0000,0000,0000,,They were pious people,
Dialogue: 0,0:10:31.54,0:10:34.55,Default,,0000,0000,0000,,but they were also\Nreally aggressive capitalists,
Dialogue: 0,0:10:34.58,0:10:38.10,Default,,0000,0000,0000,,and they were accused of extreme forms\Nof profit-making tendencies,
Dialogue: 0,0:10:38.12,0:10:40.03,Default,,0000,0000,0000,,compared to the other colonists.
Dialogue: 0,0:10:40.52,0:10:43.52,Default,,0000,0000,0000,,But at the same time,\Nthe Puritans were Calvinists,
Dialogue: 0,0:10:43.54,0:10:46.07,Default,,0000,0000,0000,,so they were taught literally\Nto hate themselves.
Dialogue: 0,0:10:46.09,0:10:49.14,Default,,0000,0000,0000,,They were taught\Nthat self-interest was a raging sea
Dialogue: 0,0:10:49.16,0:10:51.75,Default,,0000,0000,0000,,that was a sure path to eternal damnation.
Dialogue: 0,0:10:52.58,0:10:54.70,Default,,0000,0000,0000,,This created a real problem\Nfor these people.
Dialogue: 0,0:10:54.72,0:10:58.24,Default,,0000,0000,0000,,Here they've come all the way across\Nthe Atlantic to make all this money,
Dialogue: 0,0:10:58.26,0:11:01.44,Default,,0000,0000,0000,,but making all this money\Nwill get you sent directly to Hell.
Dialogue: 0,0:11:01.46,0:11:03.02,Default,,0000,0000,0000,,What were they to do about this?
Dialogue: 0,0:11:03.33,0:11:04.97,Default,,0000,0000,0000,,Well, charity became their answer.
Dialogue: 0,0:11:04.100,0:11:07.43,Default,,0000,0000,0000,,It became this economic sanctuary,
Dialogue: 0,0:11:07.45,0:11:11.07,Default,,0000,0000,0000,,where they could do penance\Nfor their profit-making tendencies --
Dialogue: 0,0:11:11.09,0:11:13.09,Default,,0000,0000,0000,,at five cents on the dollar.
Dialogue: 0,0:11:14.08,0:11:16.41,Default,,0000,0000,0000,,So of course, how could you\Nmake money in charity
Dialogue: 0,0:11:16.44,0:11:18.76,Default,,0000,0000,0000,,if charity was your penance\Nfor making money?
Dialogue: 0,0:11:19.18,0:11:23.04,Default,,0000,0000,0000,,Financial incentive was exiled\Nfrom the realm of helping others,
Dialogue: 0,0:11:23.06,0:11:26.47,Default,,0000,0000,0000,,so that it could thrive in the area\Nof making money for yourself,
Dialogue: 0,0:11:26.49,0:11:29.66,Default,,0000,0000,0000,,and in 400 years, nothing has intervened
Dialogue: 0,0:11:29.68,0:11:32.92,Default,,0000,0000,0000,,to say, "That's counterproductive\Nand that's unfair."
Dialogue: 0,0:11:35.12,0:11:38.78,Default,,0000,0000,0000,,Now, this ideology gets policed\Nby this one very dangerous question,
Dialogue: 0,0:11:38.80,0:11:43.08,Default,,0000,0000,0000,,which is, "What percentage of my donation\Ngoes to the cause versus overhead?"
Dialogue: 0,0:11:43.39,0:11:45.60,Default,,0000,0000,0000,,There are a lot of problems\Nwith this question.
Dialogue: 0,0:11:45.62,0:11:47.12,Default,,0000,0000,0000,,I'm going to just focus on two.
Dialogue: 0,0:11:47.15,0:11:51.21,Default,,0000,0000,0000,,First, it makes us think\Nthat overhead is a negative,
Dialogue: 0,0:11:51.24,0:11:54.03,Default,,0000,0000,0000,,that it is somehow not part of the cause.
Dialogue: 0,0:11:55.02,0:11:58.86,Default,,0000,0000,0000,,But it absolutely is, especially\Nif it's being used for growth.
Dialogue: 0,0:11:59.99,0:12:03.91,Default,,0000,0000,0000,,Now, this idea that overhead\Nis somehow an enemy of the cause
Dialogue: 0,0:12:03.94,0:12:06.44,Default,,0000,0000,0000,,creates this second, much larger problem,
Dialogue: 0,0:12:06.46,0:12:10.30,Default,,0000,0000,0000,,which is, it forces organizations\Nto go without the overhead things
Dialogue: 0,0:12:10.32,0:12:11.93,Default,,0000,0000,0000,,they really need to grow,
Dialogue: 0,0:12:11.95,0:12:14.22,Default,,0000,0000,0000,,in the interest of keeping overhead low.
Dialogue: 0,0:12:14.92,0:12:17.43,Default,,0000,0000,0000,,So we've all been taught\Nthat charities should spend
Dialogue: 0,0:12:17.46,0:12:20.23,Default,,0000,0000,0000,,as little as possible on overhead\Nthings like fundraising
Dialogue: 0,0:12:20.26,0:12:23.63,Default,,0000,0000,0000,,under the theory that, well, the less\Nmoney you spend on fundraising,
Dialogue: 0,0:12:23.65,0:12:26.45,Default,,0000,0000,0000,,the more money there is\Navailable for the cause.
Dialogue: 0,0:12:27.34,0:12:29.68,Default,,0000,0000,0000,,Well, that's true\Nif it's a depressing world
Dialogue: 0,0:12:29.70,0:12:32.40,Default,,0000,0000,0000,,in which this pie cannot\Nbe made any bigger.
Dialogue: 0,0:12:33.12,0:12:36.48,Default,,0000,0000,0000,,But if it's a logical world\Nin which investment in fundraising
Dialogue: 0,0:12:36.51,0:12:39.100,Default,,0000,0000,0000,,actually raises more funds\Nand makes the pie bigger,
Dialogue: 0,0:12:40.02,0:12:41.88,Default,,0000,0000,0000,,then we have it precisely backwards,
Dialogue: 0,0:12:41.90,0:12:45.45,Default,,0000,0000,0000,,and we should be investing more money,\Nnot less, in fundraising,
Dialogue: 0,0:12:45.47,0:12:47.20,Default,,0000,0000,0000,,because fundraising is the one thing
Dialogue: 0,0:12:47.22,0:12:49.84,Default,,0000,0000,0000,,that has the potential\Nto multiply the amount of money
Dialogue: 0,0:12:49.86,0:12:52.68,Default,,0000,0000,0000,,available for the cause\Nthat we care about so deeply.
Dialogue: 0,0:12:54.49,0:12:55.78,Default,,0000,0000,0000,,I'll give you two examples.
Dialogue: 0,0:12:55.80,0:12:57.05,Default,,0000,0000,0000,,We launched the AIDSRides
Dialogue: 0,0:12:57.07,0:13:00.15,Default,,0000,0000,0000,,with an initial investment\Nof 50,000 dollars in risk capital.
Dialogue: 0,0:13:00.61,0:13:05.58,Default,,0000,0000,0000,,Within nine years,\Nwe had multiplied that 1,982 times,
Dialogue: 0,0:13:05.61,0:13:09.80,Default,,0000,0000,0000,,into 108 million dollars\Nafter all expenses, for AIDS services.
Dialogue: 0,0:13:11.22,0:13:13.13,Default,,0000,0000,0000,,We launched the breast cancer three-days
Dialogue: 0,0:13:13.16,0:13:16.62,Default,,0000,0000,0000,,with an initial investment\Nof 350,000 dollars in risk capital.
Dialogue: 0,0:13:16.98,0:13:21.71,Default,,0000,0000,0000,,Within just five years,\Nwe had multiplied that 554 times,
Dialogue: 0,0:13:21.74,0:13:25.32,Default,,0000,0000,0000,,into 194 million dollars\Nafter all expenses,
Dialogue: 0,0:13:25.34,0:13:26.66,Default,,0000,0000,0000,,for breast cancer research.
Dialogue: 0,0:13:26.97,0:13:30.28,Default,,0000,0000,0000,,Now, if you were a philanthropist\Nreally interested in breast cancer,
Dialogue: 0,0:13:30.31,0:13:31.60,Default,,0000,0000,0000,,what would make more sense:
Dialogue: 0,0:13:31.62,0:13:35.48,Default,,0000,0000,0000,,go out and find the most innovative\Nresearcher in the world
Dialogue: 0,0:13:35.50,0:13:38.88,Default,,0000,0000,0000,,and give her 350,000 dollars for research,
Dialogue: 0,0:13:38.90,0:13:42.52,Default,,0000,0000,0000,,or give her fundraising\Ndepartment the 350,000 dollars
Dialogue: 0,0:13:42.55,0:13:46.83,Default,,0000,0000,0000,,to multiply it into 194 million dollars\Nfor breast cancer research?
Dialogue: 0,0:13:47.80,0:13:50.82,Default,,0000,0000,0000,,2002 was our most successful year ever.
Dialogue: 0,0:13:50.85,0:13:53.98,Default,,0000,0000,0000,,We netted for breast cancer\Nalone, that year alone,
Dialogue: 0,0:13:54.01,0:13:57.09,Default,,0000,0000,0000,,71 million dollars after all expenses.
Dialogue: 0,0:13:57.85,0:14:00.17,Default,,0000,0000,0000,,And then we went out of business,
Dialogue: 0,0:14:00.20,0:14:02.02,Default,,0000,0000,0000,,suddenly and traumatically.
Dialogue: 0,0:14:03.31,0:14:08.02,Default,,0000,0000,0000,,Why? Well, the short story is,\Nour sponsors split on us.
Dialogue: 0,0:14:08.05,0:14:10.11,Default,,0000,0000,0000,,They wanted to distance themselves from us
Dialogue: 0,0:14:10.13,0:14:12.99,Default,,0000,0000,0000,,because we were being\Ncrucified in the media
Dialogue: 0,0:14:13.02,0:14:16.39,Default,,0000,0000,0000,,for investing 40 percent\Nof the gross in recruitment
Dialogue: 0,0:14:16.42,0:14:19.78,Default,,0000,0000,0000,,and customer service\Nand the magic of the experience,
Dialogue: 0,0:14:19.80,0:14:22.67,Default,,0000,0000,0000,,and there is no accounting\Nterminology to describe
Dialogue: 0,0:14:22.69,0:14:25.84,Default,,0000,0000,0000,,that kind of investment\Nin growth and in the future,
Dialogue: 0,0:14:25.87,0:14:28.81,Default,,0000,0000,0000,,other than this demonic\Nlabel of "overhead."
Dialogue: 0,0:14:30.78,0:14:36.15,Default,,0000,0000,0000,,So on one day, all 350\Nof our great employees
Dialogue: 0,0:14:36.18,0:14:37.80,Default,,0000,0000,0000,,lost their jobs ...
Dialogue: 0,0:14:40.66,0:14:42.48,Default,,0000,0000,0000,,because they were labeled "overhead."
Dialogue: 0,0:14:43.82,0:14:46.36,Default,,0000,0000,0000,,Our sponsor went and tried\Nthe events on their own.
Dialogue: 0,0:14:46.38,0:14:47.72,Default,,0000,0000,0000,,The overhead went up.
Dialogue: 0,0:14:47.74,0:14:51.51,Default,,0000,0000,0000,,Net income for breast cancer research\Nwent down by 84 percent,
Dialogue: 0,0:14:51.53,0:14:54.45,Default,,0000,0000,0000,,or 60 million dollars, in one year.
Dialogue: 0,0:14:55.98,0:15:01.38,Default,,0000,0000,0000,,This is what happens when we confuse\Nmorality with frugality.
Dialogue: 0,0:15:03.36,0:15:06.52,Default,,0000,0000,0000,,We've all been taught that the bake sale\Nwith five percent overhead
Dialogue: 0,0:15:06.55,0:15:09.50,Default,,0000,0000,0000,,is morally superior to the professional\Nfundraising enterprise
Dialogue: 0,0:15:09.52,0:15:11.19,Default,,0000,0000,0000,,with 40 percent overhead,
Dialogue: 0,0:15:11.21,0:15:14.49,Default,,0000,0000,0000,,but we're missing the most important\Npiece of information, which is:
Dialogue: 0,0:15:14.52,0:15:16.99,Default,,0000,0000,0000,,What is the actual size of these pies?
Dialogue: 0,0:15:17.67,0:15:21.59,Default,,0000,0000,0000,,Who cares if the bake sale only has\Nfive percent overhead if it's tiny?
Dialogue: 0,0:15:22.31,0:15:25.14,Default,,0000,0000,0000,,What if the bake sale\Nonly netted 71 dollars for charity
Dialogue: 0,0:15:25.17,0:15:27.19,Default,,0000,0000,0000,,because it made no investment in its scale
Dialogue: 0,0:15:27.22,0:15:29.60,Default,,0000,0000,0000,,and the professional\Nfundraising enterprise netted
Dialogue: 0,0:15:29.62,0:15:31.93,Default,,0000,0000,0000,,71 million dollars because it did?
Dialogue: 0,0:15:32.57,0:15:34.17,Default,,0000,0000,0000,,Now which pie would we prefer,
Dialogue: 0,0:15:34.19,0:15:37.28,Default,,0000,0000,0000,,and which pie do we think people\Nwho are hungry would prefer?
Dialogue: 0,0:15:38.32,0:15:41.26,Default,,0000,0000,0000,,Here's how all of this\Nimpacts the big picture.
Dialogue: 0,0:15:41.99,0:15:45.47,Default,,0000,0000,0000,,I said that charitable giving is\Ntwo percent of GDP in the United States.
Dialogue: 0,0:15:45.49,0:15:48.18,Default,,0000,0000,0000,,That's about 300 billion dollars a year.
Dialogue: 0,0:15:48.21,0:15:51.57,Default,,0000,0000,0000,,But only about 20 percent of that,\Nor 60 billion dollars,
Dialogue: 0,0:15:51.59,0:15:53.55,Default,,0000,0000,0000,,goes to health and human services causes.
Dialogue: 0,0:15:53.57,0:15:57.20,Default,,0000,0000,0000,,The rest goes to religion\Nand higher education and hospitals,
Dialogue: 0,0:15:57.22,0:16:00.12,Default,,0000,0000,0000,,and that 60 billion dollars\Nis not nearly enough
Dialogue: 0,0:16:00.14,0:16:01.70,Default,,0000,0000,0000,,to tackle these problems.
Dialogue: 0,0:16:02.35,0:16:06.70,Default,,0000,0000,0000,,But if we could move charitable giving\Nfrom two percent of GDP,
Dialogue: 0,0:16:06.72,0:16:13.36,Default,,0000,0000,0000,,up just one step to three percent of GDP,\Nby investing in that growth,
Dialogue: 0,0:16:13.38,0:16:17.42,Default,,0000,0000,0000,,that would be an extra 150 billion dollars\Na year in contributions,
Dialogue: 0,0:16:17.44,0:16:19.80,Default,,0000,0000,0000,,and if that money\Ncould go disproportionately
Dialogue: 0,0:16:19.83,0:16:21.68,Default,,0000,0000,0000,,to health and human services charities,
Dialogue: 0,0:16:21.71,0:16:24.95,Default,,0000,0000,0000,,because those were the ones we encouraged\Nto invest in their growth,
Dialogue: 0,0:16:24.97,0:16:28.73,Default,,0000,0000,0000,,that would represent a tripling\Nof contributions to that sector.
Dialogue: 0,0:16:29.31,0:16:30.92,Default,,0000,0000,0000,,Now we're talking scale.
Dialogue: 0,0:16:30.94,0:16:33.43,Default,,0000,0000,0000,,Now we're talking the potential\Nfor real change.
Dialogue: 0,0:16:34.57,0:16:37.67,Default,,0000,0000,0000,,But it's never going to happen\Nby forcing these organizations
Dialogue: 0,0:16:37.69,0:16:39.52,Default,,0000,0000,0000,,to lower their horizons
Dialogue: 0,0:16:39.54,0:16:43.16,Default,,0000,0000,0000,,to the demoralizing objective\Nof keeping their overhead low.
Dialogue: 0,0:16:45.14,0:16:48.47,Default,,0000,0000,0000,,Our generation does not want\Nits epitaph to read,
Dialogue: 0,0:16:48.49,0:16:50.62,Default,,0000,0000,0000,,"We kept charity overhead low."
Dialogue: 0,0:16:50.64,0:16:55.17,Default,,0000,0000,0000,,(Laughter)
Dialogue: 0,0:16:55.19,0:16:59.02,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:16:59.05,0:17:01.26,Default,,0000,0000,0000,,We want it to read\Nthat we changed the world,
Dialogue: 0,0:17:01.28,0:17:02.99,Default,,0000,0000,0000,,and that part of the way we did that
Dialogue: 0,0:17:03.02,0:17:05.61,Default,,0000,0000,0000,,was by changing the way\Nwe think about these things.
Dialogue: 0,0:17:06.31,0:17:08.43,Default,,0000,0000,0000,,So the next time\Nyou're looking at a charity,
Dialogue: 0,0:17:08.46,0:17:10.54,Default,,0000,0000,0000,,don't ask about the rate\Nof their overhead.
Dialogue: 0,0:17:10.56,0:17:12.88,Default,,0000,0000,0000,,Ask about the scale of their dreams,
Dialogue: 0,0:17:12.90,0:17:16.46,Default,,0000,0000,0000,,their Apple-, Google-,\NAmazon-scale dreams,
Dialogue: 0,0:17:16.48,0:17:18.95,Default,,0000,0000,0000,,how they measure their progress\Ntoward those dreams,
Dialogue: 0,0:17:18.97,0:17:21.61,Default,,0000,0000,0000,,and what resources they need\Nto make them come true,
Dialogue: 0,0:17:21.63,0:17:23.40,Default,,0000,0000,0000,,regardless of what the overhead is.
Dialogue: 0,0:17:23.42,0:17:25.02,Default,,0000,0000,0000,,Who cares what the overhead is
Dialogue: 0,0:17:25.05,0:17:27.38,Default,,0000,0000,0000,,if these problems\Nare actually getting solved?
Dialogue: 0,0:17:28.37,0:17:31.34,Default,,0000,0000,0000,,If we can have that kind of generosity --
Dialogue: 0,0:17:31.37,0:17:33.50,Default,,0000,0000,0000,,a generosity of thought --
Dialogue: 0,0:17:33.52,0:17:36.40,Default,,0000,0000,0000,,then the non-profit sector\Ncan play a massive role
Dialogue: 0,0:17:36.42,0:17:39.85,Default,,0000,0000,0000,,in changing the world\Nfor all those citizens
Dialogue: 0,0:17:39.88,0:17:42.47,Default,,0000,0000,0000,,most desperately in need of it to change.
Dialogue: 0,0:17:45.82,0:17:48.95,Default,,0000,0000,0000,,And if that can be\Nour generation's enduring legacy --
Dialogue: 0,0:17:50.66,0:17:53.53,Default,,0000,0000,0000,,that we took responsibility
Dialogue: 0,0:17:53.56,0:17:56.05,Default,,0000,0000,0000,,for the thinking that had\Nbeen handed down to us,
Dialogue: 0,0:17:56.08,0:17:58.89,Default,,0000,0000,0000,,that we revisited it, we revised it,
Dialogue: 0,0:17:58.92,0:18:02.100,Default,,0000,0000,0000,,and we reinvented the whole way\Nhumanity thinks about changing things,
Dialogue: 0,0:18:03.02,0:18:06.50,Default,,0000,0000,0000,,forever, for everyone --
Dialogue: 0,0:18:06.52,0:18:10.32,Default,,0000,0000,0000,,well, I thought I would let\Nthe kids sum up what that would be.
Dialogue: 0,0:18:11.30,0:18:13.15,Default,,0000,0000,0000,,Annalisa Smith-Pallotta: That would be
Dialogue: 0,0:18:13.18,0:18:15.16,Default,,0000,0000,0000,,Sage Smith-Pallotta: a real social
Dialogue: 0,0:18:15.18,0:18:17.01,Default,,0000,0000,0000,,Rider Smith-Pallotta: innovation.
Dialogue: 0,0:18:17.43,0:18:19.08,Default,,0000,0000,0000,,Dan Pallotta: Thank you very much.
Dialogue: 0,0:18:19.10,0:18:20.36,Default,,0000,0000,0000,,Thank you.
Dialogue: 0,0:18:20.38,0:18:27.33,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:18:29.52,0:18:30.69,Default,,0000,0000,0000,,Thank you.
Dialogue: 0,0:18:30.72,0:18:33.75,Default,,0000,0000,0000,,(Applause)