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Are volunteers substitute for paid labor in nonprofit organizations?

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  • Simmons, Walter O.
  • Emanuele, Rosemarie

Abstract

This study asks whether nonprofit organizations that use volunteer labor are seen as substituting volunteers for paid labor. The study contributes to the literature on the demand for volunteer labor by utilizing current data on giving and volunteering and explicitly accounting for a state's minimum wage among its explanatory variables. We find a statistically significant positive relationship between the prevailing minimum wage in a state and the amount of volunteer labor offered by donors in each state--implying that organizations that use volunteers view them as substitutes to low-paid workers.

Suggested Citation

  • Simmons, Walter O. & Emanuele, Rosemarie, 2010. "Are volunteers substitute for paid labor in nonprofit organizations?," Journal of Economics and Business, Elsevier, vol. 62(1), pages 65-77, January.
    • Handle: RePEc:eee:jebusi:v:62:y:2010:i:1:p:65-77
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    References listed on IDEAS

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    Cited by:

    1. Benjamin Bittschi & Astrid Pennerstorfer & Ulrike Schneider, 2015. "Paid and Unpaid Labour in Non-Profit Organizations: Does the Substitution Effect Exist?," British Journal of Industrial Relations, London School of Economics, vol. 53(4), pages 789-815, December.
    2. Mihaela PACESILA & Sofia Elena COLESCA & Stefan Gabriel BURCEA, 2017. "The Role Of Volunteering In Modern Societies," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 11(1), pages 349-358, November.

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