Basic questions about foundations are addressed by George W. Bonham, an essay by James Douglas and Aaron Wildavsky is given, and responses are offered by the following people: Landrum R. Bolling, George W. Bonham, McGeorge Bundy, James Douglas, Fred M. Hechinger, John H. Knowles, Waldemar Nielsen, B. J. Stiles, Aaron Wildavsky, and Paul N. Ylvisaker. The essay by Douglas and Wildavsky presents a brief historical survey of foundations. In the first decades of the century, foundations frequently made it a condition of their grants that they be matched by government support. When they first appeared in America, foundations had the main objective of acting directly to meet public needs or ameliorate social ills. Until about the time of the New Deal, foundations acted as a third sector in contrast to the public or government sector on the one hand and the private sector on the other. The rationale that followed was pluralism: taking different approaches to a problem. It is suggested that foundations now change in relative emphasis toward sociopolitical problems. Foundations should become a site for alternative ways of thinking about problems. In such a role, foundations could build on one relatively unique strength that they have: their independence and freedom from having to meet either political or market criteria. (SW)