search query: @indexterm NON-PROFIT ORGANIZATIONS / total: 255
reference: 86 / 255
Author: | Payne, A. A. |
Title: | Does the government crowd-out private donations? New evidence from a sample of non-profit firms |
Journal: | Journal of Public Economics
1998 : SEP, VOL. 69:3, p. 323-345 |
Index terms: | Non-profit organizations Government USA |
Freeterms: | Charitable donations Government grants |
Language: | eng |
Abstract: | During the 1980s, government grants to non-profit organizations declined dramatically and the price of private donations increased. Given there are different costs associated with government grants and private donations to non-profits, it is important to study the relationship btw. these two sources and determine whether government grants crowd-out private donations. A study of 430 non-profit shelter, human services, and other similar types of organizations that were in operation btw. 1982 and 1992 is presented. It is found that private donations to these non-profits effectively do not change with changes in government grants after controlling for firm heterogeneity and political and economic factors under an OLS specification. In a 2SLS specification, after controlling for possible endogeneity of the government grants, the estimated crowd-out is significantly different from zero and one dollar. |
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