NONPROFIT TAX EXEMPTIONS, FOR-PROFIT COMPETITION AND SPILLOVERS TO COMMUNITY SERVICES

• 成果类型: Article
• 署名作者: Harrison, Teresa D.; Seim, Katja
• 署名单位: Drexel University; University of Pennsylvania
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1111/ecoj.12615
• 发表日期: 2019
• 页码: 1817-1862
• 关键词: MARKET-STRUCTURE; nursing-homes; entry; Hospitals; care; endogeneity; responses; CHOICE; share; price

摘要

We investigate the importance of nonprofit tax exemptions to the structure of local fitness markets and to the nonprofit's decision to complement fitness offerings with youth programming. We estimate an equilibrium model of market structure of nonprofit and for-fitness centres. Our results suggest that the two ownership types serve different customer bases. We predict that a revocation of tax exemptions would lower nonprofit entry by 26%, leaving for-profit entry unaffected. This decline in nonprofit entry derives primarily from fitness facilities that jointly operate a youth programme. Tax exemptions thus aid in both the provision of the primary and auxiliary services.