{
 "@context": "https://schema.org",
 "@type": "DefinedTerm",
 "@id": "https://wulfkaal.github.io/entities/inefficiency",
 "identifier": "kaal:entity:inefficiency",
 "name": "Inefficiency",
 "termCode": "inefficiency",
 "inDefinedTermSet": {
  "@id": "https://wulfkaal.github.io/entities/index.json"
 },
 "author": {
  "@type": "Person",
  "name": "Wulf A. Kaal",
  "identifier": "https://orcid.org/0000-0003-0757-275X"
 },
 "dateModified": "2026-07-29",
 "canonicalForm": "https://wulfkaal.github.io/entities/inefficiency.md",
 "sha256": "ab1eda8041fd8994f43368741833cb87cf175dd01d5521294ecbd775308da5cb",
 "additionalProperty": [
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   "name": "status",
   "value": "derived"
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   "value": 2
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   "value": 2
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   "value": [
    "2021",
    "2021"
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 ],
 "subjectOf": [
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/3782205-016",
   "identifier": "kaal:claim:3782205-016",
   "text": "If an organization's goal is to maintain decentralization, its tools must be used deliberately to prevent the natural concentration of power that occurs when economic inefficiencies create pockets of corruption where rent-seeking actors accumulate.",
   "abstract": "If, however, the goal of the organization is to maintain decentralization (assuming that is preferable), then these tools must be used wisely to prevent the natural concentration of power that occurs when inefficiencies in the economy allow pockets of corruption to accumulate rent-seeking actors.",
   "citation": "Craig Calcaterra, Wulf A. Kaal, Eight Institutions for the Evolution of Decentralization (2021). SSRN: https://ssrn.com/abstract=3782205",
   "datePublished": "2021",
   "claim_type": "condition",
   "confidence": "argued",
   "is_failure_mode": true,
   "scope_conditions": [
    "assumes maintaining decentralization is the organization's goal"
   ],
   "source_pdf_sha256": "5ba52c63e81019b6867fb29c4a50821ff574e510d79b31b8ce9f4c726a0ebc71",
   "status": "current"
  },
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/3981021-007",
   "identifier": "kaal:claim:3981021-007",
   "text": "Because boards and donors seek to preserve endowments rather than spend them, funds accrue tax free long after the donor has taken the deduction, which runs counter to the spirit of the rules governing charitable deductions and may contribute to harmful inefficiency.",
   "abstract": "Rather than funds being employed immediately, the funds are allowed to accrue tax free. 49 This may run counter to the spirit of the rules governing charitable deductions and may contribute to harmful inefficiency.",
   "citation": "Wulf A. Kaal, How Decentralized Autonomous Organizations Optimize Charitable Giving (2021). SSRN: https://ssrn.com/abstract=3981021",
   "datePublished": "2021",
   "claim_type": "failure",
   "confidence": "argued",
   "is_failure_mode": true,
   "scope_conditions": [
    "jurisdictions granting an immediate deduction with deferred payout obligations"
   ],
   "source_pdf_sha256": "9d8bc78d119c780c96c89ce3e820f4ac8b037d39b3ade59feb4e40d46b048288",
   "status": "current"
  }
 ],
 "description": "2 claims in the published works of Wulf A. Kaal carry the concept tag 'inefficiency'. Derived node: a roster, not an adjudicated definition."
}