The Nonprofit Economy

The New Nonprofit Economy: A Nonprofit-Backed Social Enterprise Grows
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Why are these organizations exempt from taxes on income, property, and sales?

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When the search for revenue brings nonprofits into competition with proprietary firms—as when colleges sell computers or museum gift shops sell books and jewelry—is that desirable? The evidence he assembles shows that nonprofits are particularly useful in situations where consumers have little information on what they are purchasing and must therefore rely on the probity of the seller.

Written in a clear, direct style without technicalities, The Nonprofit Economy is addressed to a broad audience, dealing comprehensively with what nonprofits do, how well they do it, how they are financed, and how they interact with private enterprises and government.

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At the same time, the book presents important new evidence on the size and composition of the nonprofit part of the economy, the relationship between financial sources and outputs, and the different roles of nonprofits and for-profit organizations in the same industries. The Nonprofit Economy will become a basic source for anyone with a serious interest in nonprofit organizations.


Nonprofit organizations are all around us. Written in a clear, direct style without technicalities, The Nonprofit Economy is addressed to a broad audience, dealing . PDF | On Jan 1, , Burton Allen WEISBROD and others published The Nonprofit Economy.

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Visit our multimedia page for video about recent projects and interviews with HUP authors. Revenues from Sales 7. Are Nonprofits Really Different?

Economic Impact

Recommendations for Public Policy Appendix A. Characteristics of the Nonprofit Economy Appendix B.

Find Your State Association of Nonprofits

Financing Nonprofits Appendix B. Restrictions on Lobbying by Nonprofits Appendix E.

Command and market economies

Volunteer Labor Appendix F. Factfulness Hans Rosling Inbunden.

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The growing importance of the nonprofit sector is underscored by the tripling of tax-exempt and tax-deductible organizations in the last 20 years, to more than 1,, Weisbrod divides nonprofits into three types: He analyzes how the federal tax structure influences the behavior of nonprofit organizations, and looks at how they ""compete"" with proprietary and governmental organizations. He argues that nonprofit organizations are the institutions of choice when one seeks to provide a collective good to a minority of consumers rather than to society as a whole: Also, nonprofit organizations have less incentive to behave opportunistically toward uninformed consumers than do similar profit-making institutions, since nonprofit managers cannot distribute to themselves any surpluses they amass.

Weisbrod concludes with a number of policy recommendations on the handling of nonprofit institutions, including: