IDEAS home Printed from https://ideas.repec.org/a/eee/pubeco/v91y2007i5-6p1095-1118.html
   My bibliography  Save this article

Can private giving promote economic segregation?

Author

Listed:
  • Horstmann, Ignatius J.
  • Scharf, Kimberley
  • Slivinski, Al

Abstract

This Paper explores the theoretical relationship between tax relief for private giving and locational equilibria. Tax relief for giving may receive political support at the local level because of its distributional effects; however, through its effects on public provision choices, such relief may affect individual location decisions and, in so doing, may promote economic segregation rather than integration. In such a scenario, a ban on local tax incentives for giving would be Pareto-improving and would thus be sanctioned by a majority-supported federal tax constitution.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Horstmann, Ignatius J. & Scharf, Kimberley & Slivinski, Al, 2007. "Can private giving promote economic segregation?," Journal of Public Economics, Elsevier, vol. 91(5-6), pages 1095-1118, June.
    • Handle: RePEc:eee:pubeco:v:91:y:2007:i:5-6:p:1095-1118
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0047-2727(06)00150-2
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Andreoni, James & Bergstrom, Ted, 1996. "Do Government Subsidies Increase the Private Supply of Public Goods?," Public Choice, Springer, vol. 88(3-4), pages 295-308, September.
    2. Roberts, Russell D, 1987. "Financing Public Goods," Journal of Political Economy, University of Chicago Press, vol. 95(2), pages 420-437, April.
    3. Warr, Peter G., 1983. "The private provision of a public good is independent of the distribution of income," Economics Letters, Elsevier, vol. 13(2-3), pages 207-211.
    4. Charles M. Tiebout, 1956. "A Pure Theory of Local Expenditures," Journal of Political Economy, University of Chicago Press, vol. 64(5), pages 416-416.
    5. Bernheim, B Douglas, 1986. "On the Voluntary and Involuntary Provision of Public Goods," American Economic Review, American Economic Association, vol. 76(4), pages 789-793, September.
    6. IgnatiusJ. Horstmann & KimberleyA. Scharf, 2008. "A Theory of Distributional Conflict, Voluntarism and Segregation," Economic Journal, Royal Economic Society, vol. 118(527), pages 427-453, March.
    7. Warr, Peter G., 1982. "Pareto optimal redistribution and private charity," Journal of Public Economics, Elsevier, vol. 19(1), pages 131-138, October.
    8. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
    9. Andreoni, James, 1990. "Impure Altruism and Donations to Public Goods: A Theory of Warm-Glow Giving?," Economic Journal, Royal Economic Society, vol. 100(401), pages 464-477, June.
    10. Andreoni, James, 1988. "Privately provided public goods in a large economy: The limits of altruism," Journal of Public Economics, Elsevier, vol. 35(1), pages 57-73, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Giovanniello, Monica A. & Perroni, Carlo & Scharf, Kimberley & Slivinski, Al, 2019. "Non-discriminatory donation relief and strategic commitment under political competition," European Journal of Political Economy, Elsevier, vol. 58(C), pages 164-177.
    2. Almunia, Miguel & Guceri, Irem & Lockwood, Ben & Scharf, Kimberley, 2020. "More giving or more givers? The effects of tax incentives on charitable donations in the UK," Journal of Public Economics, Elsevier, vol. 183(C).
    3. Scharf, Kimberley, 2014. "Impure prosocial motivation in charity provision: Warm-glow charities and implications for public funding," Journal of Public Economics, Elsevier, vol. 114(C), pages 50-57.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mari Rege, 1999. "Social Norms and Private Provision of Public Goods: Endogenous Peer Groups," Discussion Papers 257, Statistics Norway, Research Department.
    2. Mari Rege, 2004. "Social Norms and Private Provision of Public Goods," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 6(1), pages 65-77, February.
    3. Scharf, Kimberley Ann, 2000. "Why are tax expenditures for giving embodied in fiscal constitutions?," Journal of Public Economics, Elsevier, vol. 75(3), pages 365-387, March.
    4. Giovanniello, Monica A. & Perroni, Carlo & Scharf, Kimberley & Slivinski, Al, 2019. "Non-discriminatory donation relief and strategic commitment under political competition," European Journal of Political Economy, Elsevier, vol. 58(C), pages 164-177.
    5. Serge-Christophe Kolm, 2008. "Paradoxes of the War on Poverty: Warm-Glows and Efficiency," IDEP Working Papers 0807, Institut d'economie publique (IDEP), Marseille, France, revised 18 Nov 2008.
    6. Romano, Richard & Yildirim, Huseyin, 2001. "Why charities announce donations: a positive perspective," Journal of Public Economics, Elsevier, vol. 81(3), pages 423-447, September.
    7. Kirchsteiger, Georg & Puppe, Clemens, 1997. "On the possibility of efficient private provision of public goods through government subsidies," Journal of Public Economics, Elsevier, vol. 66(3), pages 489-504, December.
    8. Jim Andreoni, "undated". "Do Government Subsidies Affect the Private Supply of Public Goods?," Papers _033, University of Michigan, Department of Economics.
    9. Ignatius J. Horstmann & Kimberley A. Scharf, 2008. "A Theory of Distributional Conflict, Voluntarism and Segregation," Economic Journal, Royal Economic Society, vol. 118(527), pages 427-453, March.
    10. Aleix Calveras & Juan-José Ganuza & Gerard Llobet, 2011. "Voluntary contributions “vote out” public ones," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 2(3), pages 283-303, September.
    11. Clive D. Fraser, 2022. "Faith? Hope? Charity? Religion explains giving when warm glow and impure altruism do not," Manchester School, University of Manchester, vol. 90(5), pages 500-523, September.
    12. Josef Falkinger, 2000. "A Simple Mechanism for the Efficient Provision of Public Goods: Experimental Evidence," American Economic Review, American Economic Association, vol. 90(1), pages 247-264, March.
    13. Daniel Goulao, 2005. "Review of Privade Provided Public Goods Literature," Public Economics 0501006, University Library of Munich, Germany.
    14. James Andreoni, 1998. "Toward a Theory of Charitable Fund-Raising," Journal of Political Economy, University of Chicago Press, vol. 106(6), pages 1186-1213, December.
    15. Wolfgang Buchholz & Richard Cornes & Dirk T. G. Rübbelke, 2009. "Existence and Warr Neutrality for Matching Equilibria in a Public Good Economy: An Aggregative Game Approach," CESifo Working Paper Series 2884, CESifo.
    16. Chan, Kenneth S. & Godby, Rob & Mestelman, Stuart & Andrew Muller, R., 2002. "Crowding-out voluntary contributions to public goods," Journal of Economic Behavior & Organization, Elsevier, vol. 48(3), pages 305-317, July.
    17. Ledyard, John O., "undated". "Public Goods: A Survey of Experimental Research," Working Papers 861, California Institute of Technology, Division of the Humanities and Social Sciences.
    18. Mark Ottoni-Wilhelm & Lise Vesterlund & Huan Xie, 2017. "Why Do People Give? Testing Pure and Impure Altruism," American Economic Review, American Economic Association, vol. 107(11), pages 3617-3633, November.
    19. Jun-ichi Itaya & A.G. Schweinberger, 2006. "The public and private provision of pure public goods and the distortionary effects of income taxation: a political economy approach," Canadian Journal of Economics, Canadian Economics Association, vol. 39(3), pages 1023-1040, August.
    20. Konrad, Kai A., 1998. "Local public goods and central charities," Regional Science and Urban Economics, Elsevier, vol. 28(3), pages 345-362, May.

    More about this item

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:pubeco:v:91:y:2007:i:5-6:p:1095-1118. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/505578 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.