Government Funding—Crowding Out

Joycelyn Ovalle and Ji Ma
Additional contact information
Ji Ma: The University of Texas at Austin

No p3m5z, OSF Preprints from Center for Open Science

Abstract: Do donors withhold their charitable giving to nonprofits when they receive government grants? Crowding out theory suggests “yes.” Altruistic donors may perceive government spending on social services as a substitute for their private donations, theoretically by dollar for dollar. As a result, the efficiency of government grants to nonprofits may not be as desired since it may not increase overall support to nonprofits. This theoretical perspective initiated the research line studying the relationship between government expenditures and private giving. However, the magnitude and direction of crowding out effect are still inconclusive after several decades of empirical studies. (To be appeared in Encyclopedia of Nonprofit Management, Leadership, and Governance by Edward Elgar Publishing Ltd.)

Date: 2022-02-15
References: Add references at CitEc
Citations:

Downloads: (external link)
https://osf.io/download/620be6e911da1c01fcf5784b/

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:osf:osfxxx:p3m5z

DOI: 10.31219/osf.io/p3m5z

Access Statistics for this paper

More papers in OSF Preprints from Center for Open Science
Bibliographic data for series maintained by OSF ().