Is International Funding Crowding Out Charitable Contributions in African NGOs?
AbstractUsing original Ugandan data collected by the authors, we examine the determinants of funding to local NGOs. We begin by presenting a simple theoretical model of crowding out. We then turn to the empirical estimation. We find that success in attracting grants from international donors depends mostly on network effects. In contrast, NGOs that raise in kind resources locally tend to be young NGOs managed by someone who is simultaneously employed elsewhere. We find evidence from crowding out: NGOs that receive grant funding are less likely to obtain resources locally, whether in cash or in kind. But crowding out seems to be primarily the result of selection: once we control for NGO fixed effects, we find no evidence that NGOs receive less revenue from fees and donation after obtaining a grant. These results suggest that donors regard Uganan NGOs as sub-contractors of their developmental effort, not as charitable organizations in their own right.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Oxford, Department of Economics in its series Economics Series Working Papers with number GPRG-WPS-055.
Date of creation: 01 Feb 2006
Date of revision:
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Abigail Barr & Marcel Fafchamps, 2004.
"A Client-Community Assessment of the NGO Sector in Uganda,"
Development and Comp Systems
- Abigail Barr & Marcel Fafchamps, 2006. "A client-community assessment of the NGO sector in Uganda," Journal of Development Studies, Taylor & Francis Journals, vol. 42(4), pages 611-639.
- Abigail Barr & Marcel Fafchamps, 2004. "A Client-Community Assessment of the NGO Sector in Uganda," Economics Series Working Papers WPS/2004-23, University of Oxford, Department of Economics.
- Abigail Barr & Marcel Fafchamps, 2004. "A client-community assessment of the NGO sector in Uganda," CSAE Working Paper Series 2004-23, Centre for the Study of African Economies, University of Oxford.
- Dirk-Jan Koch & Ruerd Ruben, 2008. "Spatial Clustering Of NGOs: An Evolutionary Economic Geography Approach," Papers in Evolutionary Economic Geography (PEEG) 0814, Utrecht University, Section of Economic Geography, revised Aug 2008.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Caroline Wise).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.