TY  - JOUR
AU  - Andreoni,James
AU  - Payne,A. Abigail
TI  - Crowding-Out Charitable Contributions in Canada: New Knowledge from the North
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 17635
PY  - 2011
Y2  - December 2011
UR  - http://www.nber.org/papers/w17635
L1  - http://www.nber.org/papers/w17635.pdf
N1  - Author contact info:
James Andreoni
Department of Economics
University of California, San Diego
9500 Gilman Drive
La Jolla, CA 92093-0508
Tel: 858/534-3832
Fax: 858/534-7040
E-Mail: andreoni@ucsd.edu

A. Abigail Payne
Department of Economics
McMaster University
KTH 426, 1280 Main Street West
Hamilton, Ontario, Canada L8S 4M4
Tel: 905/5259140 ext 23814
Fax: 905/521-8232
E-Mail: paynea@mcmaster.ca
AB  - Using data from charitable organizations in the US, authors have established that government grants to charities largely crowd out giving from other sources, but that this reduction is due mostly to reduced fundraising activities of the charity itself. We use much more detailed data from over 6000 charities in Canada, measured for up to 15 years, to provide valuable new insights into this phenomenon. In particular, dollars received from individuals is largely unchanged by government grants. Instead, the crowding out is attributable to two other sources of donations not differentiated in US data: giving from other charities and charitable foundations, and donations gained from special fundraising activities, like galas or sponsorships. Only the latter-which is about half of the measured crowding out-represents a potential loss of dollars to the charitable sector as a result of government grants.
ER  -