The Nonprofit Economy
By (author) Burton Allen Weisbrod
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Nonprofit Economy by Burton Allen Weisbrod
Book DescriptionNonprofit institutions surround us -- hospitals, colleges, museums, public television -- but we rarely think about their role in the economy or how they compete with private enterprise. In a clear, direct style, economist Burton Weisbrod closely examines the "raison d'etre" for nonprofits, and assesses their performance.
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Book DetailsISBN: 9780674626263
(235mm x 155mm x 18mm)
Imprint: Harvard University Press
Publisher: Harvard University Press
Publish Date: 9-May-1991
Country of Publication: United States
Books By Author Burton Allen Weisbrod
Mission and Money, Paperback (March 2010)
This book examines the entire higher education industry and includes the rapidly growing for-profit schools.
To Profit or Not to Profit, Paperback (May 2000)View all books by Burton Allen Weisbrod
This book, first published in 1998, asks why fundraising nonprofits are mimicking private firms and what consequences this is having.
US Kirkus Review » Weisbrod (Economics/Univ. of Wisconsin) offers a careful and thought-provoking analysis of the role of nonprofit organizations in our economy. 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 1,250,000. The total revenues of charitable nonprofits increased from $115 billion in 1975 to $314 billion in 1983. Weisbrod divides nonprofits into three types: clubs (country clubs, chambers of commerce); collective-types (museums, aid to poor); and trust-types (nursing homes, day-care centers). 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: e.g., cultural institutions. 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: the replacement of tax deductibility with tax credits to donors; restricting their profit-making activities; and replacing the IRS as the chief regulator of the nonprofit sector with a new agency. Although intended for a general audience, Wesibrod's dry, painstaking and useful study of the nonprofit sector will be of most interest to economists, federal policy-makers, and those engaged in nonprofit activities. (Kirkus Reviews)
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Author Biography - Burton Allen Weisbrod
Burton A. Weisbrod is Evjue-Bascom Professor of Economics, University of Wisconsin, Madison.
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