In this paper charity brings some joy of giving; it yields more contributions to public goods than standard "subscription", but its creation is costly. We compare the laissez-faire number of charities with both the second and the first-best level. In general, laissez-faire implies an underprovision of both charities and public goods.
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Paper provided by Université Laval - Département d'économique in its series Cahiers de recherche with number
0501.
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