The DOI matches its Crossref record; 1 of the 1 references it cites were found in a registry or an index.
Not-for-profit entrepreneurs
Open accessAbstract
Entrepreneurs who start new firms may choose not-for-profit status as a means of committing to soft incentives. Such incentives protect donors, volunteers, consumers and employees from ex post expropriation of profits by the entrepreneur. We derive conditions under which completely self-interested entrepreneurs opt for not-for-profit status, despite the fact that this status limits their ability to enjoy the profits of their enterprises. When entrepreneurs have a taste for producing high quality products, the incentives are even softer, and, moreover, non-profit status can serve as a signal of that taste. We also show that even in the absence of tax advantages, unrestricted donations would flow to non-profits rather than for-profit firms because donations have more significant influence on the decisions of the non-profits.
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Cites
Managerial Incentive Problems: A Dynamic Perspective
Holmstrom, B. (1999) · Review of Economic Studies · doi:10.1111/1467-937x.00083 · Cited by 3,172
Cited by
The extended governance of cooperative firms: inter-firm coordination and consistency of values
SACCHETTI, S., & TORTIA, E. (2016) · Annals of Public and Cooperative Economics · doi:10.1111/apce.12058 · Cited by 66
Kim, M., & Mason, D. P. (2020) · Journal of Public Budgeting, Accounting & Financial Management · doi:10.1108/jpbafm-12-2019-0179 · Cited by 12
Metadata
- Authors
- Glaeser, E. L., & Shleifer, A.
- Venue
- Journal of Public Economics
- Publisher
- Elsevier BV
- Published
- 2001-07
- Volume
- 81
- Issue
- 1
- Pages
- 99-115
- ISSN
- 0047-2727 (ISSN-L)
- OpenAlex
- W3024569664
- Cited by
- 571
- References
- 1
- FWCI
- 92.49
- Type
- journal article
- Language
- en
- Open access
- green
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
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