Do Government Subsidies To Nonprofits Crowd Out Donations or Donors?

Arthur C. Brooks
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Arthur C. Brooks: Syracuse University

Public Finance Review, 2003, vol. 31, issue 2, 166-179

Abstract: The traditional test of the public-goods crowding-out effect may mask important impacts of government subsidies on private giving because it confounds the effects of subsidies on average donation size versus their effects on the number of donors . Using panel data on the U.S. nonprofit sector, the author shows that, although increased public funding has a neutral effect on total donations, it is associated with decreased average donations but a larger pool of donors.

Keywords: nonprofit; public subsidies; philanthropy (search for similar items in EconPapers)
Date: 2003
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Citations: View citations in EconPapers (9)

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Persistent link: https://EconPapers.repec.org/RePEc:sae:pubfin:v:31:y:2003:i:2:p:166-179

DOI: 10.1177/1091142102250328

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