Journal Articles

Do Donors Penalize Nonprofit Organizations with Accumulated Wealth?

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Does current accumulated wealth by nonprofit organizations influence contributions from individuals? Existing research demonstrates that financial reserves aid program continuity during economic downturns. Yet donors, charity watchdogs, and policy makers voice concern about accumulated wealth in nonprofits. This empirical analysis examines whether the expected negative relationship occurs when donors perceive accumulated wealth as excessive. The results support the conclusion that future contributions are negatively affected when wealth levels are deemed excessive. Nonprofit managers concerned that accumulated wealth will diminish donations should consider financial strategies that will allow their organizations to build modest—but not excessive—reserves.

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Detail Information

Series Title

Public Administration Review

Call Number

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Publisher

Hoboken, United States : Wiley-Blackwell., 2011

Collation

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Language

English

ISBN/ISSN

00333352

Classification

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Content Type

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Media Type

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Carrier Type

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Edition

Volume 71, Issue 6, pp. 859–869, Nov/Dec 2011

Subject(s)

Donors Penalize Nonprofit Organizations

Specific Detail Info

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Statement of Responsibility

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