CONTEXTUAL DIMENSIONS OF NONPROFIT FIELDS:
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1 Kirsten Grønbjerg School of Public & Environmental Affairs, Indiana University Bloomington CONTEXTUAL DIMENSIONS OF NONPROFIT FIELDS: CROSS-NATIONAL APPLICATIONS 2018 ARNOVA-ASIA Conference June 27-28, University of Hong Kong
2 SECTION 1 Introduction
3 It s a mess out there 15,000 10,000 5,000 0 Caveat on nomenclature Kært barn har mange navne Explosion of research Theoretical & empirical approaches CUMULATIVE Ph.D. Dissertations (English Language) Pre ANNUAL Peer Reviewed Scholarly Journal Articles (English language) 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,
4 It s a mess out there Caveat on nomenclature Kært barn har mange navne Explosion of research Great variety of theoretical and empirical approaches Conceptual frameworks Levels of analysis Data: gaps, quality, timeliness/currency Theoretical & empirical approaches
5 Introduction Sorting through the morass two paths Caveat #2: starting point is U.S. nonprofit sector (plus Denmark/Scandinavia) 1. Field of activity context meso level (with Steve Smith) Focus on how nonprofits relate to government, market & informal sectors in particular field of activity (in US) 2. Cross-national contexts macro level Placing the U.S. in context Implications for cross-national research
6 SECTION 2 Understanding fields of activity quick tour
7 So what is a field of activity Conceptual definitions Relationships, networks, institutional context Empirical boundaries classification of organizations ICNPO (International Classification of Nonprofit Organizations, UN); NTEE (National Taxonomy of Exempt Entities, US) ambiguous, too narrow ISIS (International Standard Industrial Classification of Economic Activities, UN); NAICS (North American Industrial Classification System, US) not perfect, but cover all sectors
8 Three major dimensions Dimension 1: Overall economic scope political salience But difficult to estimate - must use many different sources of data (at least in US)
9 Size drives political salience 1. Health is by far the largest ~ $3 trillion (18% GDP) 2. Education ~ $1 trillion 3. Social services ~ $350 billion 4. Arts/culture ~ $100 billion 5. Religion ~ $125 billion 6. Other fields??? BUT is difficult to estimate
10 Dimension 2.1 who does what? Who delivers services? Look at paid employment by sector by field/industry over time Why ICNPO or NTEE are not as useful as ISIS or NAICS
11 Paid employment in health care by sector, Indiana Nonprofit Government For Profit Paid employees (1000s)
12 Paid employment in arts, entertainment, recreation by sector, Indiana
13 Paid employment in private social assistance by sector, Indiana
14 Paid employment in education by sector, Indiana
15 Nonprofit share of paid employment by industry, Indiana
16 Dimension 2.2 who does what? Functional division of labor examples from health Public (federal): funding, regulation (extensive), research & development (extensive in some fields), some direct service Nonprofit: direct services, funding (gifts, insurance), some R&D, regulation/licensing, advocacy For-profit: direct services, R&D, funding (insurance, employee benefits, gifts), advocacy/lobbying Informal: network support, funding (gifts, fees), advocacy But blended forms (social enterprises, GONGOs) and professional/institutionalized fields sector similarities
17 Dimension 3.1 political economy Government nonprofit relations Government tools Government as producer: direct services (education) Producer subsidies: grants & contracts gov t funding for NPs
18 Percent of Total Revenues by Source Nonprofit funding profile by field 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 1% 6% 2% 1% 1% 11% 11% 2% 3% 6% 3% 5% 3% 3% 2% 2% 3% 5% 2% 4% 1% 2% 2% 3% 9% 8% 20% 13% 38% 29% 8% 1% 20% 45% 49% 41% 23% 61% 69% 24% 17% 72% 57% 56% 5% 12% 14% 25% 1% 1% 19% 5% 3% 4% 41% 34% 30% 28% 27% 26% 19% 1% 8% 50% Other income Investment Private gifts Gov't grants Gov't fees Private fees & sales Roeger, Blackwood & Pettijohn. Nonprofit Almanac, 2012 (2010 data) with unpublished supplementary details
19 Dimension 3.1 political economy Government nonprofit relations Government tools Government as producer: direct services (education) Producer subsidies: grants & contracts gov t funding for NPs Consumer subsidies: vouchers, insurance coverage (Medicare & Medicaid), student loans Regulations: employment, safety, licensing. Tax policy: rates, exemptions, credits (producer & consumer subsidies)producer
20 Dimension 3.1 political economy Government nonprofit relations Government tools key questions to ask What are the stakes (dollars) involved? What mix of policy tools are used? Which levels of government are involved? Who has political power and ability to shape the design and application of tools? Answers vary at least in part by field
21 Dimension 3.2 political economy For-profit nonprofit relations Market transactions how much sale & purchase? Market niches is there sector specialization? Vocational/rehab services
22 Paid employment in private vocational rehabilitation by sector, (IN)
23 Dimension 3.2 political economy For-profit nonprofit relations Market transactions how much sale & purchase? Market niches is there sector specialization? Direct competition what is the level of competition? And if competition, is it stable or changing? Growing: individual/family; vocational rehabilitation
24 Paid employees in private individual & family services by sector,
25 Dimension 3.2 political economy For-profit nonprofit relations Market transactions how much sale & purchase? Market niches is there sector specialization? Direct competition what is the level of competition? Mutual dependency how inter-dependent are sectors? Policy domain interactions how intense are political interests? a function of government scope & tools Answers depend on field
26 Dimension 3.3 political economy Informal/household nonprofit relations How much in donations and from whom? Who volunteers and for what? What is extent/form of informal help and support? What is level/form of civic engagement? Also varies by field Professionalization and role of volunteers
27 And finally field specific context History matters Major historical events special challenges, new solutions Organizational ecology & path dependency timing; new forms vs. adaptations Demographics matters Age, gender, family status, race/ethnicity, location Broader societal context matters also
28 SECTION 3 US context
29 US in context (1) An economically advanced society Urban, mobile, diverse population; some well educated with high living standard (but many not) disposable resources, diverse interests Advanced technologies; shift towards service economy nonprofit services But also powerful economic and military force in international affairs accustomed to calling the shots
30 US in context (2) A market based economy Commodification of virtually anything and everything market based income for nonprofits, mixed markets for service economy Large establishments, multi-national corporations, publicly traded firms economic power, return on investments Highly unequal wage levels, low unionization
31 US in context (3) A democratic society but Two-party system cater to the average voter? Gerrymandering, low political participation influence of the few, apathy Politics of the person (not party), high campaign costs powerful lobbying groups; adversarial advocacy groups
32 US in context (4) Celebration of market & private initiatives less common Preference for private solutions, choice, freedom, competition nonprofits promote choice, freedom Primacy on equal opportunity, not equity of outcome inequality inevitable, diversity desirable Big government as dangerous, threat to freedom fund nonprofits to carry out work ( nonprofits rely on government funds)
33 US in context (5) Special relationship between state & church less common Religiosity high Religious diversity moderate Separation of church and state alignment with and engine of advocacy and political engagement
34 Fields & cross-national contexts?? Economic development shapes economic scope of fields Market system shapes sector shares of delivery systems Political system/ideology/values shapes political economy Government tools and government-nonprofit interactions Market interactions with nonprofit sector Civic engagement Central role of political/ideological values
35 SECTION 4 Cross-national values/ civil society what do we know?
36 Understanding cross-national nonprofit/civil society studies Fairly recent developments Outgrowth of interest in comparative politics, economic development, social welfare Interest in replicating data from one nation (US) or region (EU) in other societies Many examples Philanthropy/Civil Society mention three here World Values Survey
37 Philanthropy/civil society values Civicus: stakeholder consultations, surveys, media, experts; 4 dimensions (structure, environment, values, impact), 74 indicators, 109 societies (no recent update) Global Philanthropy Environment: experts, consultations; 5 dimensions (ease of operation, tax incentives, cross-border flows, political environment, social-cultural environment), 10 indicators, 79 societies (2018 update) Global Civil Society: economic/social indicators, experts; 3 dimensions (capacity, sustainability, impact), 13 indicators, 34 societies (no recent update)
38 World Values Survey more useful Seven waves since 1981 (#7, ; Surveys of individuals, in different societies, using same instruments, at (roughly) same point in time Broad array of questions on values and behaviors Values (social, economic, religious, ethical), societal well-being, economic values, corruption, migration, post-materialist index, science & technology, security, norms, political interest/ participation, political culture/regimes, demography.
39 Clustering of nations (1997) Two dimensions Traditional vs. secular-rational Survival vs. wellbeing Eight/ten clusters Economic development Religious traditions History of centrally planned economies Changes over time
40 Clustering of nations (2005) Some changes in alignments and broadening of clusters. Source: Ronald Inglehart and Christian Welzel, Modernization, Cultural Change and Democracy. New York, Cambridge University Press, 2005: p. 64
41 Clustering of nations (2017)
42 Implicit theory of value change From survival to industrialized economies From traditional to secular values? From industrial to knowledge economies From survival to self-expression values?
43 Two scenarios As economies grow & undergo expected transitions Future convergence in core values As economic growth stagnates or reverses unevenly Growing differences in core values Greater opportunity to cloak aspirations for power, resources, security and expansion in terms of values Greater room for restrictive policies & right-wing populism in the name of national interests and values Economic & political developments driving forces (?)
44 SECTION 5 Understanding cross-national contexts impact of globalizaton
45 Societal Context Globalization Major global institutional actors World powers: US, China, Russia, EU. Multinational corporations.. Intergovernmental organizations: United Nations, World Bank, ILO, OECD, WTO, OPEC, APEC. International NGOs. Growing evidence of global problems Health, climate, environment, economic development, migration/refugees, ethnic/religious conflict.
46 KOF Index of globalization process of creating networks of connections at intra- or multicontinental distances, mediated through.. flows [of] people, ideas & information, capital, goods. that erodes national boundaries, integrates national economies, cultures, technologies & governance, and produces complex relations of mutual interdependence. De facto (actual flows & activities) vs. de jure (policies that enable flows & activities) for 209 countries Economic dimensions (trade, financial flows) Social dimensions (interpersonal, informational, cultural flows) Political dimensions (treaties, diplomacy, INGOs..)
47 overall economic social political
48 de facto de Jure
49 SECTION 6 Taking stock
50 Cross-national comparisons: some take-away lessons Many approaches, much effort Most reflect distinctly northern approaches Many data challenges Crude and uneven/low quality data Major gaps, pathetic timeliness Rigorous empirical studies that integrate intranational and cross-national levels of analysis promising, but NOT YET
51 We do need to consider Societal differences in core values & ideologies Differences in configuration of NP sector by FIELD In how nonprofits relate to government & market In the capacities and configurations of nonprofit/ civil society organizations In the nature of involvement and trust in nonprofit/civil society organizations In the centrality of religious institutions
52 We do need to consider Societal differences in core values & ideologies Differences in configuration of NP sector by FIELD Differences in exposure & reactions to globalization Resources, ideologies, and networks of global actors World economic & military powers, UN, World Bank, OPEC, multinational corporations, international relief agencies, transnational advocacy organizations, etc. Resources, ideologies and networks of domestic actors
53 Thank you!
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