This issue of the journal offers a thematic collection of articles, representing revised versions of the best of the papers prepared for the Fifth VOLUNTAS Symposium, which took place at Charles University, Prague, in October 1999. The symposium was timed to mark the tenth anniversary of the many far-reaching changes that took hold of the region in the fall of 1989, when, constitutionally, liberal democracy replaced “really existing socialism.” In the context of the fundamental reorganization of economy, polity and society that has taken place since then, we sought to explore the role that nonprofit organizations have been able to play over the last decade. Expectations had been high that, freed from the suffocating embrace of the nomenklatura, civil society would have room to flourish, although it was to be anticipated that it would be a difficult and immensely time consuming process (Dahrendorf, 1990, 1997). Moreover, different countries had contrasting pre-transition and even pre-Communist institutional inheritances upon which to build, suggesting considerable variation was to be anticipated in the ease with which the desirable patterns of behavior and organizational forms could be established and nurtured (Anheier and Seibel, 1998).

Three trends since the 1960s underscore the need for different ways of conceptualizing the new mixed economy in the human services. First, there has been an enormous increase in the number and types of nonprofit organizations, and greater dependence on governmental revenue. Second, extensive growth in privatization and commercialization in the human services. Third, this culminated in the convergence and blurring of sectoral boundaries. Numerous metaphors have been suggested to describe these new patterns, but more suitable concepts and theories are needed. Four theoretical frameworks are analyzed for an intersectoral study of organizations in the same industry: (1) political economy, (2) organizational ecology, (3) neoinstitutionalism, and (4) mixed, open systems. As analytic paradigms, these frameworks could supplement, complement, or be integrated with other research models for third sector studies, and could contribute to theory building and social policy.

This paper investigates the repertoire of organizational forms in Western societies in order to assess the nonprofit sector’s distinctiveness. A repertoire of six different ideal type constructs is presented adding to and reformulating existing theories, which have primarily focused on the “market” and the “firm.” This new extended theoretical platform builds both on theories discussing market, organization, and governmental “failures” and on approaches where homo economicus is replaced by homo complexicus and transactions by interactions. This effort aims at making the nonprofit (or voluntary) sector in society both more visible and theoretically substantiated. At the end of this paper, the theoretical framework is applied by analyzing empirical nonprofit organizations.

This article seeks to establish whether the structural-operational definition of the sector, used by the Johns Hopkins Comparative Nonprofit Sector Project (JHCNSP), is universal in its applicability. Historical case studies of primary health care and social housing provision in nineteenth-century England demonstrate that the definition cannot accommodate the institutional diversity of earlier periods and does not produce meaningful sectoral distinctions. The structural-operational definition rules out of the sector a significant proportion of nonstatutory, nonprofit maximizing providers. In particular, it excludes the mutual aid organizations, which are widely recognized as important for the development of civil society and which have historically been considered to be key components of the sector. These case studies suggest that the structural-operational definition limits the capacity of the JHCNSP to fulfil its aim of establishing “the factors that promote or retard the sector’s development” owing to potential measurement errors and the pattern of development that the project implicitly assumes for the nonprofit sector.

Focusing on gender inequality in a local community elite, we investigate the role of gender in access to and participation in networks of nonprofit trustees in Louisville, Kentucky. We examine two types of network relations: participation in the network of overlapping board memberships (the “structural network”) and interpersonal ties of collegiality and friendship (the “social network”). Asking whether the gender hierarchy found in most private and public sector organizations is mirrored in this inner circle of trustees, with men occupying the most influential positions in the structural and social networks, we find some male advantage in the structural network. Men predominate in holding most board seats, occupying multiple board seats, and in having slightly greater network centrality. By contrast, women hold the edge in the social network, with slightly greater centrality and higher levels of social integration. Women’s disadvantage in the structural network is at least partly counterbalanced by their prominence in the social network of trustees in Louisville. Results indicate that the local nonprofit sector includes a small number of women (but no people of color) in leadership roles.

This paper analyzes both the political discourse and the reality of Czech civil society. It describes how the concept of civil society has emerged in a difficult ideological context, and sets out how policy towards it has developed, also highlighting its economic role. Recent empirical evidence on the existing range of citizens’ activities and their attitudes toward aspects of civic society and organizations within it is marshaled in order to estimate the potential for citizenship in the Czech Republic.

The Republic of Kazakhstan is developing a nonprofit sector, albeit slowly. It still suffers from the experience of 70 years of Communism but is now moving forward with development. This survey reviews the history, evolution, scope, and currency with a focus on the legal underpinnings of the nonprofit sector in Kazakhstan. In addition to discussing the traditions and cultures affecting development, the survey mainly concentrates on the legal and legislative obstacles that discourage rather than encourage more rapid development of the third sector in this Central Asian state.

This paper presents an analysis of nonprofit organizations—the organizational infrastructure of civil society—in East Central Europe, from one important respect: by placing them in the context of the comparative historical sociology of the region’s widespread informality. This involves two steps: (1) summarizing an argument about the role of informality in East Central European capitalism today in order to (2) outline its implications for the study of post-state-socialist nonprofits. Most of the empirical examples come from Hungary. These examples serve illustrative purposes and are intended as devices to provoke new analysis. They are meant to open, rather than close, discussion.

Egoism is a pervasive trait in modern market societies that encourages people to focus upon their own self-interest above all else. Third-sector organizations, by contrast, are frequently termed “altruistic.” This essay elucidates the meaning of “altruism “ as it applies to these organizations. Moral altruism means direct concern for another’s well being—whoever that person might be. This study rejects psychological egoism as a meaningful psychological theory, and ethical egoism as a coherent moral position; it discusses empirical studies of altruism in rescuers of Jews in Nazi-occupied Europe as proof against the former form of egoism and Kant’s moral theory against the latter. The essay then argues that altruism is a form of public action in Hannah Arendt’s sense of this term. The essay concludes that third-sector organizations are altruistic insofar as they engage in public action, thereby, treating beneficiaries with respect for their individuality.

Our aim is to enhance the knowledge regarding how the public assess and rate volunteerism. We begin by first developing the model for understanding the potential use of the net-cost concept in eliciting the public’s subjective perceptions on the extent to which certain activities are perceived as volunteerism. Four hypotheses relevant to the use of the net-cost concept are developed. We developed a questionnaire consisting of 50 case scenarios and applied it in Canada, India, Italy, Netherlands, and Georgia and Philadelphia in the United States, each with a sample of 450 adults or more. With one exception, our net-cost hypotheses are supported, suggesting that the public perception of volunteering is strongly linked with the costs and benefits that accrue to the individual from the volunteering activity, and that this result holds true across different cultures. Finally, we suggest directions for future research that can shed further light on the relationship between net cost and public good.

Arrangements to certify that an organization’s management systems meet standards of good practice are an increasingly prominent feature in the environment of public and private nonprofits. This paper reports an exploratory study of the issues that this phenomenon presents to managers and policy makers, drawing on the limited literature, and five case studies covering two different schemes. The main conclusions are that nonprofits can and do use these awards in very different ways, and hence the outcomes are diverse. These findings run counter both to the rational system assumptions on which such arrangements are based, and to the general thrust of institutional theory with its emphasis on isomorphism. Some implications for decision makers and future research are outlined.

This paper examines the role of social proximity (nonprofit) organizations in the process of professional innovation that involved a transfer of human service technologies from Western Europe and the United States to Poland during the 1989 political-economic reform. To explain that role, the paper introduces a theoretical model that posits the existence of elective affinity between the social proximity form and occupational interests of service providers. As the existing system of professions is no longer sufficient to legitimate expert services and curb competition among different types of providers, the social proximity form bestows social legitimacy on novel or controversial types of services, and is thus instrumental in marketing those services. The proposed model is supported by quantitative data and in-depth interviews. Theoretical implications are discussed.

Following the suggestion of Ragin (1998, Voluntas, 9(3), 261-270), this article uses social origins theory (Salamon and Anheier, 1998, Voluntas, 9(3), 213248) as an heuristic device to explore change in a specific field of nonprofit activity; the English housing association sector. Conventional histories of the sector in the twentieth century suggest a succession of eras with different policy drivers. These eras can be seen as consistent with shifts in welfare regime from liberal to social democratic (after 1919) and to neo-liberal/neo-corporatist (after 1980). Examples drawn from a panel study support the analysis of Esping- Anderson (1990, The Three Worlds of Welfare Capitalism, Princeton University Press, Princeton) that underlying the apparent stability of welfare regimes there are constant processes of negotiation and conflict which may lead to transformations at organization, sector, or regime level. Rather than simply responding to policy drivers, some housing associations have been able to influence the environment in which policy is made and thereby to shape their own and the sector’s transformations.

This article reviews the role of third sector organizations in the field of “proximity services” from a francophone perspective. We analyze how the new wave of initiatives inside the third sector in France and francophone Belgium can be seen as providing institutional responses to state and market failures that arise from trust-dependent and quasi-collective attributes of these services. These initiatives are often called “solidarity based third sector organizations”, a concept defined in this paper. A central assumption of this analysis is that the political context in which these services are delivered is especially important, particularly as reflected in the changing regulatory role of the state. This analysis takes, therefore, an economic sociology perspective.

The recent handover of Hong Kong to the People’s Republic of China (PRC) brought Hong Kong worldwide attention and scrutiny. In the run up to the handover, the international media prominently featured stories about Hong Kong’s freewheeling capitalism and the stability created by its administrative institutions. Lost in the media attention was the role of nonprofit organizations and the voluntary sector in Hong Kong’s political and economic development. Although Hong Kong has a vibrant civil society, it has received little attention from scholars. This paper reviews the role of the third sector in Hong Kong’s development. Among the issues the paper addresses are the legal codes that govern the creation and operation of nonprofit organizations in Hong Kong, the evidence regarding the role of the nonprofit sector in Hong Kong’s development, particularly its relationship to the government and market sectors, and the implications of the 1997 transition for the nonprofit sector’s role.

This paper uses the edited volume To Profit or Not to Profit; The Commercial Transformation of the Nonprofit Sector as an opportunity to review the theories of the nonprofit sector based on the utility maximization behavioral model linked to neoclassical economics. The existence of a large nonprofit sector and its increasing commercialism undermines the logical sufficiency of these theories to explain organizational behavior. The book in question is an effort to solve that problem and reconcile the utility maximization model with seemingly contradicting evidence. In the end, however, these efforts are not very successful and lead to the partial acceptance of an alternative model, grounded in the neo-institutional theory of organizations.

Think tanks in the former Soviet bloc face the stark challenge of sustainability. To survive and prosper, they have to be increasingly entrepreneurial and business-like and have to actively seek contracts from government and the international donor community. In this context, this paper discusses the diversification strategies of four think tanks identified to be particularly entrepreneurial in developing new lines of work. This includes commercial activities similar to those of consulting firms, and tapping the business community for donations by offering seminars or other products. The paper reviews how these institutions identified and assessed various opportunities, and how they promoted a new line of work. It also explores the rewards—financial and other—and the challenges that are created by the new types of work within the organizations.

How do international nonprofit organizations influence political party formation in new democracies? Despite recent analyses of external influences on economic-restructuring, less attention has been paid to international assistance to political parties. Contrary to the scholarly literature stressing preexisting socioeconomic cleavages, I argue that new parties may emerge around political cleavages during rapid change; international assistance may encourage new parties to adopt organizational forms and issue areas lacking historical precedent, which are subsequently adapted to mobilize domestic public support. To demonstrate this claim, I contrast assistance by U.S. political party affiliates to parties in the Czech Republic and Slovakia, where similar revolutionary movements emerged in the name of “civil society” in 1989 but diverged, with a Western market-oriented party in the Czech Republic and populist semidemocratic party in Slovakia winning subsequent elections. The divergent paths highlight the limits to applying Western models of party organization across contexts and the need for democratic actors to be strengthened beyond founding elections.