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Does market size matter for charities?
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Lapointe, Simon, Perroni, Carlo, Scharf, Kimberley and Tukiainen, Janne (2018) Does market size matter for charities? Journal of Public Economics, 168 . pp. 127-145. doi:10.1016/j.jpubeco.2018.10.003 ISSN 0047-2727.
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Official URL: https://doi.org/10.1016/j.jpubeco.2018.10.003
Abstract
We analyze implications of market size for market structure in the charity sector. While a standard model of oligopolistic for-profit competition predicts a positive relationship between market size and firm size, our analogous model of competition between prosocially motivated charities predicts no such correlation. If charities are biased towards their own provision, a positive association between market size and provider size can arise. We examine these predictions empirically for six different local charity markets. Our empirical findings suggest that charities do not solely pursue prosocial objectives, and that increased competition in the charity sector can lead to rationalization in provision.
| Item Type: | Journal Article | ||||||||
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| Divisions: | Faculty of Social Sciences > Economics | ||||||||
| Journal or Publication Title: | Journal of Public Economics | ||||||||
| Publisher: | Elsevier | ||||||||
| ISSN: | 0047-2727 | ||||||||
| Official Date: | December 2018 | ||||||||
| Dates: |
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| Volume: | 168 | ||||||||
| Page Range: | pp. 127-145 | ||||||||
| DOI: | 10.1016/j.jpubeco.2018.10.003 | ||||||||
| Status: | Peer Reviewed | ||||||||
| Publication Status: | Published | ||||||||
| Reuse Statement (publisher, data, author rights): | © 2018, Elsevier. Licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International http://creativecommons.org/licenses/by-nc-nd/4.0/. | ||||||||
| Access rights to Published version: | Restricted or Subscription Access | ||||||||
| Date of first compliant deposit: | 10 October 2018 | ||||||||
| Date of first compliant Open Access: | 7 November 2020 | ||||||||
| Related URLs: |
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