Limiting the number of charities
We consider a model where creating a charity implies a fixed cost and individual contributions depend on how close donors feel with respect to the charity. In that setting we show that there are an optimal number of charities and an optimal rate of subsidization that depend on the set-up cost and on the attachment of donors to charities that share the same values as theirs. We also consider the case of free-entry and compare it with the second-best solution controlling for the number of charities.
|Date of creation:||00 Sep 2006|
|Date of revision:|
|Contact details of provider:|| Postal: |
Fax: +32 10474304
Web page: http://www.uclouvain.be/core
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alberto Alesina & Enrico Spolaore, 1995.
"On the Number and Size of Nations,"
NBER Working Papers
5050, National Bureau of Economic Research, Inc.
- Barla, P. & Pestieau, P., 2005.
"The Optimal Number of Charities,"
Cahiers de recherche
- Aldashev, Gani & Verdier, Thierry, 2007. "NGO Competition and the Markets for Development Donations," CEPR Discussion Papers 6350, C.E.P.R. Discussion Papers.
When requesting a correction, please mention this item's handle: RePEc:cor:louvco:2006074. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Alain GILLIS)
If references are entirely missing, you can add them using this form.