Pay it forward

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Pay it forward is an expression for describing the beneficiary of a good deed repaying the kindness to others rather than paying it back to the original benefactor. It is also called serial reciprocity.

Contents

The concept is old, but the particular phrase may have been coined by Lily Hardy Hammond in her 1916 book In the Garden of Delight. [1] Robert Heinlein's 1951 novel Between Planets helped popularize the phrase. [2]

"Pay it forward" is implemented in contract law of loans in the concept of third party beneficiaries. Specifically, the creditor offers the debtor the option of paying the debt forward by lending it to a third person instead of paying it back to the original creditor. This contract may include the provision that the debtor may repay the debt in kind, lending the same amount to a similarly disadvantaged party once they have the means, and under the same conditions. Debt and payments can be monetary or by good deeds. A related type of transaction, which starts with a gift instead of a loan, is alternative giving.

History

Paying forward was used as a key plot element in the denouement of a New Comedy play by Menander, Dyskolos (the title can be translated as "The Grouch"), a prizewinning play in ancient Athens in 317 BC.

The oldest, and perhaps most basic pattern of this concept, is the inter-generational devotion of parents to their children, re-enacting what their own parents did for them. In her 1916 book In the Garden of Delight, Lily Hardy Hammond reflects, "I never repaid Great-aunt Letitia's love to her, any more than she repaid her mother's. You don't pay love back; you pay it forward." [1]

American author and former war correspondent Richard Harding Davis, had already published a popular short story in The Metropolitan Magazine (dated March, 1914) entitled "The Boy Scout," that also dealt directly with the same concept. In it, a young "Scout" does a "good deed" that eventually reverberates world-wide.

Regarding money, the concept was described by Benjamin Franklin, in a letter to Benjamin Webb dated April 25, 1784: [3]

I do not pretend to give such a deed; I only lend it to you. When you [...] meet with another honest Man in similar Distress, you must pay me by lending this Sum to him; enjoining him to discharge the Debt by a like operation, when he shall be able, and shall meet with another opportunity. I hope it may thus go thro' many hands, before it meets with a Knave that will stop its Progress. This is a trick of mine for doing a deal of good with a little money.

In Ecclesiastes 11:1, it is written: Cast your bread upon the waters, for you will find it after many days.

Jesus taught in Matthew 18:21–35, that paying it forward is a requirement for those who have received God's forgiveness. He told a parable of a man who had been forgiven a huge debt by the king, because the debtor had begged for mercy. However, after being freed from the debt, he found a fellow who owed him a very small debt, by comparison. Although he had been shown a great mercy, he refused the same consideration to his fellow who had pled for more time to pay. When the king found this out, he was angry, and threw the original debtor into prison until he paid the entire debt. Jesus summarized the story by saying, "So likewise shall my heavenly Father do also unto you, if ye from your hearts forgive not every one his brother their trespasses."

Ralph Waldo Emerson, in his 1841 essay "Compensation", [4] wrote: "In the order of nature we cannot render benefits to those from whom we receive them, or only seldom. But the benefit we receive must be rendered again, line for line, deed for deed, cent for cent, to somebody." Woody Hayes (1913 – 1987), winner of five national titles as football coach at Ohio State University, misquoted Emerson as having said "You can pay back only seldom. You can always pay forward, and you must pay line for line, deed for deed, and cent for cent." He also shortened the (mis)quotation into "You can never pay back; but you can always pay forward" and variants. [5] [6]

The 1929 novel, Magnificent Obsession , by Lloyd C. Douglas, also espoused this philosophy, in combination with the concept that good deeds should be performed in confidence.

An anonymous spokesman for Alcoholics Anonymous said in The Christian Science Monitor in 1944, "You can't pay anyone back for what has happened to you, so you try to find someone you can pay forward." [7]

Also in 1944, the first steps were taken in the development of what became the Heifer Project, one of whose core strategies is "Passing on the Gift". [8]

In Robert Heinlein's 1951 novel Between Planets , the circumstances of war place the protagonist in a country where it is illegal to spend his foreign money. He is hungry and a stranger gives him enough to pay for lunch:

The banker reached into the folds of his gown, pulled out a single credit note. "But eat first—a full belly steadies the judgment. Do me the honor of accepting this as our welcome to the newcomer."

His pride said no; his stomach said YES! Don took it and said, "Uh, thanks! That's awfully kind of you. I'll pay it back, first chance."

"Instead, pay it forward to some other brother who needs it." [2]

The mathematician Paul Erdős heard about a promising math student unable to enroll in Harvard University for financial reasons. Erdős contributed enough to allow the young man to register. Years later, the man offered to return the entire amount to Erdős, but Erdős insisted that the man rather find another student in his situation, and give the money to him. [9]

It is also possible for the original beneficiary to become part of the later chain of kindness. Some time in 1980, a sixteen-page supplemental Marvel comic appeared in the Chicago Tribune entitled “What Price a Life?” and was subsequently reprinted as the backup story in Marvel Team-Up #126 dated February 1983. This was a team-up between Spider-Man and The Incredible Hulk, in which Spider-Man helps the Hulk escape from police who mistakenly thought that he was attacking them. Afterwards, they meet in their secret identities, with Peter Parker warning Bruce Banner to leave town because of the Hulk's seeming attack on police. But Banner is flat broke, and cannot afford even bus fare. As a result, Parker gives Banner his last $5 bill, saying that someone had given him money when he was down on his luck, and this was how he was repaying that debt. Later, in Chicago, the Hulk confronts muggers who had just robbed an elderly retired man of his pension money, all the money he had. After corralling the muggers, the Hulk turns towards the victim. The retiree thinks that the Hulk is about to attack him as well, but instead, the Hulk gives him the $5 bill. It transpires that the very same old man had earlier given a down-on-his-luck Peter Parker a $5 bill. [10]

"Pay it Forward Chains" in fast food stores has become somewhat common, where people pay for the drink or food items in front of them. Starbucks, for example, frequently has long chains, including one of 378 customers at a Florida Starbucks. [11] There has, however, been some controversy around them, as Baristas who experience them complain about mixed up orders [12] while other customers have found themselves stuck with significantly larger payments than the cost of their food and potential confrontations as a result. [13] The concept of setting up a "Pay It Forward chain" in order to profit from a massive order was lampooned in an episode of the Netflix series, I Think You Should Leave with Tim Robinson. This resulted in an internet meme based on the order he placed, "55 Burgers, 55 Fries, 55 Tacos, 55 Pies, 55 Cokes, 100 Tater Tots, 100 Pizzas, 100 Chicken Tenders, 100 Meatballs, 100 Coffees, 55 Wings, 55 Shakes, 55 Pancakes, 55 Pastas, 55 Peppers, and 155 Taters, totaling $680" which was sold on its own t-shirt. [14]

1999 novel, film and subsequent projects

In 1999, Catherine Ryan Hyde's novel Pay It Forward was published and then adapted in 2000 into a film of the same name, distributed by Warner Bros. and starring Kevin Spacey, Helen Hunt and Haley Joel Osment. In Ryan Hyde's book and movie, it is described as an obligation to do three good deeds for others in response to a good deed that one receives. Such good deeds should accomplish things that the other person cannot accomplish on their own. In this way, the practice of helping one another can spread geometrically through society, at a ratio of three to one, creating a social movement with an impact of making the world a better place.

The Pay it Forward Movement and Foundation [15] was founded in the USA helping start a ripple effect of kindness acts around the world. The newly appointed president of the foundation, Charley Johnson, had an idea for encouraging kindness acts by having a Pay it Forward Bracelet [16] that could be worn as a reminder. Since then, over a million Pay it Forward bracelets have been distributed in over 100 countries sparking acts of kindness. Few bracelets remain with their original recipients, however, as they circulate in the spirit of the reciprocal or generalized altruism.

In 2007, International Pay It Forward Day [17] was founded in Australia by Blake Beattie. It has now spread to 70 countries with over 50 state and city proclamations. It is estimated that it has inspired over five million acts of kindness and has featured on 7, 9, 10, ABC, NBC, Fox 5, Fox 8 and Global News in Canada.

On April 5, 2012, WBRZ-TV, the American Broadcasting Company affiliate for the city of Baton Rouge, Louisiana, did a story on The Newton Project, [18] a 501(c)(3) outreach organization created to demonstrate that regardless of how big the problems of the world may seem, each person can make a difference simply by taking the time to show love, appreciation and kindness to the people around them. It is based on the classic pay-it-forward concept, but demonstrates the impact of each act on the world by tracking each wristband with a unique ID number and quantifying the lives each has touched. The Newton Project's attempt to quantify the benefits of a Pay It Forward type system can be viewed by the general public at their website.

Public health and medicine

Pay it forward has also been used in medicine and public health. In this context, a person is offered a free health service (a test or vaccine), then asked if they would like to donate money or non-monetary support to spur subsequent uptake of services. [19] Several clinical trials suggest that this approach can increase test uptake. [20] [21] More research is needed to understand how this could be scaled up. [22]

Economic model

A "pay it forward" chalkboard in a coffee shop, where patrons pay in advance for drinks to be given to others Pay it Forward Wall, Brew House (24084624796).jpg
A "pay it forward" chalkboard in a coffee shop, where patrons pay in advance for drinks to be given to others

Several firms have adopted the pay it forward approach as an economic model. These include Karma Kitchen, where patrons' meals have already been paid for by previous customers, and customers are then encouraged to contribute toward future patrons' meals. [23] Heifer Project International pioneered the approach in sustainable development, and it has been utilized by microfinance lenders. [24] Some authors advocate the pay it forward approach be utilized as the primary means of economic transaction. [25]

Experiments and explanations

Several experiments document that individuals pay forward in the sense that they pass on a behavior that they have experienced. Individuals who are given more money are, for example, more likely to donate to a stranger. [26] Individuals who are assigned easy tasks are more like to assign someone else to an easy tasks. [27] Finally, drivers who experience that others are insisting on their right of way are more likely to insist on their right of way. [28]

Two explanations for the observed paying-it-forward have been considered. Evolutionary biologists and psychologists argue that being helped or harmed leads to an emotional reaction such as gratitude or anger, which in turn trigger the respective behavior. [29] [30] Being given an annoying task renders an individual angry and this is why she assigns an annoying task to the next person. Alternatively, individuals may learn from their experience what seems to be appropriate behavior (social learning theory). Being given an annoying task indicates to the individual that this assignment is adequate in this context. This then leads the individual to assign the annoying task to the next person.

Schnedler (2020) finds that individuals no longer pay forward if behavior cannot be directly imitated. This suggests that at least in the experiments so far paying forward is driven by social learning rather than emotions. [31]

See also


Related Research Articles

<span class="mw-page-title-main">Altruism</span> Principle or practice of concern for the welfare of others

Altruism is the principle and practice of concern for the well-being and/or happiness of other humans or animals above oneself. While objects of altruistic concern vary, it is an important moral value in many cultures and religions. It may be considered a synonym of selflessness, the opposite of selfishness.

<span class="mw-page-title-main">Debt</span> Obligation to pay borrowed money

Debt is an obligation that requires one party, the debtor, to pay money borrowed or otherwise withheld from another party, the creditor. Debt may be owed by sovereign state or country, local government, company, or an individual. Commercial debt is generally subject to contractual terms regarding the amount and timing of repayments of principal and interest. Loans, bonds, notes, and mortgages are all types of debt. In financial accounting, debt is a type of financial transaction, as distinct from equity.

<span class="mw-page-title-main">Loan</span> Lending of money

In finance, a loan is the transfer of money by one party to another with an agreement to pay it back. The recipient, or borrower, incurs a debt and is usually required to pay interest for the use of the money.

A mortgage is a legal instrument of the common law which is used to create a security interest in real property held by a lender as a security for a debt, usually a mortgage loan. Hypothec is the corresponding term in civil law jurisdictions, albeit with a wider sense, as it also covers non-possessory lien.

<span class="mw-page-title-main">Accounts receivable</span> Claims for payment held by a business

Accounts receivable, abbreviated as AR or A/R, are legally enforceable claims for payment held by a business for goods supplied or services rendered that customers have ordered but not paid for. The accounts receivable process involves customer onboarding, invoicing, collections, deductions, exception management, and finally, cash posting after the payment is collected. These are generally in the form of invoices raised by a business and delivered to the customer for payment within an agreed time frame. Accounts receivable is shown in a balance sheet as an asset. It is one of a series of accounting transactions dealing with the billing of a customer for goods and services that the customer has ordered. These may be distinguished from notes receivable, which are debts created through formal legal instruments called promissory notes.

<span class="mw-page-title-main">Foreclosure</span> Legal process where a lender recoups an unpaid loan by forcing the borrower to sell the collateral

Foreclosure is a legal process in which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments to the lender by forcing the sale of the asset used as the collateral for the loan.

A creditor or lender is a party that has a claim on the services of a second party. It is a person or institution to whom money is owed. The first party, in general, has provided some property or service to the second party under the assumption that the second party will return an equivalent property and service. The second party is frequently called a debtor or borrower. The first party is called the creditor, which is the lender of property, service, or money.

A debtor or debitor is a legal entity that owes a debt to another entity. The entity may be an individual, a firm, a government, a company or other legal person. The counterparty is called a creditor. When the counterpart of this debt arrangement is a bank, the debtor is more often referred to as a borrower.

In cultural anthropology, reciprocity refers to the non-market exchange of goods or labour ranging from direct barter to forms of gift exchange where a return is eventually expected as in the exchange of birthday gifts. It is thus distinct from the true gift, where no return is expected.

<span class="mw-page-title-main">Debtors' prison</span> Prison for people unable to repay a debt

A debtors' prison is a prison for people who are unable to pay debt. Until the mid-19th century, debtors' prisons were a common way to deal with unpaid debt in Western Europe. Destitute people who were unable to pay a court-ordered judgment would be incarcerated in these prisons until they had worked off their debt via labour or secured outside funds to pay the balance. The product of their labour went towards both the costs of their incarceration and their accrued debt. Increasing access and lenience throughout the history of bankruptcy law have made prison terms for unaggravated indigence obsolete over most of the world.

Reciprocity is a crucial aspect of how people interact and live in society but researchers who study these interactions have often overlooked its importance. Reciprocity, as a fundamental principle in social psychology, revolves around the concept that individuals tend to respond to the actions of others in a manner that mirrors the positive or negative nature of those actions. It involves a mutual exchange of behaviors and reactions, where individuals reciprocate the same type of behavior they have received from others. People's choices in how they behave are mostly based on what they can gain from others in return, while feelings of trust, liking, and togetherness are strongly influenced by the idea of giving and receiving equally

<span class="mw-page-title-main">Debt collection</span> Pursuit of debt payments owed by an individual or business

Debt collection is the process of pursuing payments of money or other agreed-upon value owed to a creditor. The debtors may be individuals or businesses. An organization that specializes in debt collection is known as a collection agency or debt collector. Most collection agencies operate as agents of creditors and collect debts for a fee or percentage of the total amount owed. Historically, debtors could face debt slavery, debtor's prison, or coercive collection methods. In the 21st century in many countries, legislation regulates debt collectors, and limits harassment and practices deemed unfair.

<span class="mw-page-title-main">Credit</span> Financial term for the trust between parties in transactions with a deferred payment

Credit is the trust which allows one party to provide money or resources to another party wherein the second party does not reimburse the first party immediately, but promises either to repay or return those resources at a later date. The resources provided by the first party can be either property, fulfillment of promises, or performances. In other words, credit is a method of making reciprocity formal, legally enforceable, and extensible to a large group of unrelated people.

The debt snowball method is a debt-reduction strategy, whereby one who owes on more than one account pays off the accounts starting with the smallest balances first, while paying the minimum payment on larger debts. Once the smallest debt is paid off, one proceeds to the next larger debt, and so forth, proceeding to the largest ones last. This method is sometimes contrasted with the debt stacking method, also called the debt avalanche method, where one pays off accounts on the highest interest rate first.

An individual voluntary arrangement (IVA) is a formal alternative in England and Wales for individuals wishing to avoid bankruptcy. In Scotland, the equivalent statutory debt solution is known as a protected trust deed.

Debt settlement is a settlement negotiated with a debtor's unsecured creditor. Commonly, creditors agree to forgive a large part of the debt: perhaps around half, though results can vary widely. When settlements are finalized, the terms are put in writing. It is common that the debtor makes one lump-sum payment in exchange for the creditor agreeing that the debt is now cancelled and the matter closed. Some settlements are paid out over a number of months. In either case, as long as the debtor does what is agreed in the negotiation, no outstanding debt will appear on the former debtor's credit report.

Prosocial behavior, or intent to benefit others, is a social behavior that "benefit[s] other people or society as a whole", "such as helping, sharing, donating, co-operating, and volunteering". Obeying the rules and conforming to socially accepted behaviors are also regarded as prosocial behaviors. These actions may be motivated by empathy and by concern about the welfare and rights of others, as well as for egoistic or practical concerns, such as one's social status or reputation, hope for direct or indirect reciprocity, or adherence to one's perceived system of fairness. It may also be motivated by altruism, though the existence of pure altruism is somewhat disputed, and some have argued that this falls into philosophical rather than psychological realm of debate. Evidence suggests that pro sociality is central to the well-being of social groups across a range of scales, including schools. Prosocial behavior in the classroom can have a significant impact on a student's motivation for learning and contributions to the classroom and larger community. In the workplace, prosocial behaviour can have a significant impact on team psychological safety, as well as positive indirect effects on employee's helping behaviors and task performance. Empathy is a strong motive in eliciting prosocial behavior, and has deep evolutionary roots.

<span class="mw-page-title-main">Helping behavior</span> Voluntarily prosocial behaviour

Helping behavior refers to voluntary actions intended to help others, with reward regarded or disregarded. It is a type of prosocial behavior.

Homo reciprocans, or reciprocating human, is the concept in some economic theories of humans as cooperative actors who are motivated by improving their environment through positive reciprocity or negative reciprocity, even in situations without foreseeable benefit for themselves.

Social preferences describe the human tendency to not only care about one's own material payoff, but also the reference group's payoff or/and the intention that leads to the payoff. Social preferences are studied extensively in behavioral and experimental economics and social psychology. Types of social preferences include altruism, fairness, reciprocity, and inequity aversion. The field of economics originally assumed that humans were rational economic actors, and as it became apparent that this was not the case, the field began to change. The research of social preferences in economics started with lab experiments in 1980, where experimental economists found subjects' behavior deviated systematically from self-interest behavior in economic games such as ultimatum game and dictator game. These experimental findings then inspired various new economic models to characterize agent's altruism, fairness and reciprocity concern between 1990 and 2010. More recently, there are growing amounts of field experiments that study the shaping of social preference and its applications throughout society.

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