The historical core of the independent sector is comprised of churches, charitable organisations and higher education. What distinguishes these and other independent sector organisations from the governmental and commercial sectors is the fact that participation in the independent sector is free from state compulsion and not for the purpose of monetary gain. The independent sector is a modern development which could not have occurred without the disestablishment of religion. Disestablished churches have given rise to secular charities, higher education and other independent sector organisations in the United States. The independent sector is the arena in which cultural production and altruistic activities with a distinctive moral quality take place. Participation in the independent sector is the only mechanism for status legitimation in a democractic society with no compulsory state religion or traditional forms of authority.

Since the beginning of reform in the late 1970s, the non-governmental sector in China has burgeoned. This paper analyses its development. It begins by examining competing theories regarding the political impact of the NGO sector. Political scientists employing pluralist or civil society approaches suggest that the development of NGOs is an important force in creating pressures for democratisation. In contrast, those employing a corporatist framework seek to illuminate the mechanisms which the state can use to limit and control the political impact of NGOs. The paper also examines the advantages and disadvantages of close state involvement for the impact of NGOs on socio-economic development. It explicates the legal and regulatory framework for NGOs in China in order to illustrate the ways in which the state seeks to preempt and coopt the formation of autonomous organisations, lending support to the corporatist interpretation. The paper includes case studies of NGOs based on interviews with representatives of NGOs and regulatory organs, published documents and press reports. It places China's contemporary experience with non-governmental organisations in context by comparing it with associational life in traditional China, in developing countries in general, and in communist countries in particular. Finally, the paper analyses the significance of the economic reforms and the impending political succession for NGO development.

The role of private non-profit organisations in modern economic systems is poorly understood. The tax and subsidy treatment of non-profits relative to private firms affects the competitive position of each, and thus their relative strength within any industry; in the United States, for example, non-profit organisations play major competitive roles in such industries as hospitals, nursing homes, day care centres, schools and arts organisations.

This paper reports results from a survey of tax policies toward nonprofit organisations in eleven countries. The major findings are: (1) the definition and scope of such organisations varies considerably; (2) non-profit organisations are typically regulated by the tax collection agency, but in some countries there is also involvement from the government agency responsible for the particular realm of activity, such as health or education; (3) tax subsidies to non-profits take many forms — not only exemption from corporate profits tax but, depending on the country, for land, buildings, mail and motor vehicles; (4) almost every country limits non-profit organisations’ ‘unrelated’ business activities; and (5) donors are generally permitted to deduct donations of money from taxable income, although there are typically both minimum and maximum limits. These findings point up the larger task of understanding why such differences exist across countries, and what are the effects.

This paper examines the long-term grassroots empowerment strategies endorsed by non-governmental development organisations (NGDOs) in Lima, Peru and their application in concrete development programmes. An examination of NGDO literature and projects permits the synthesis of three ideal-typical empowerment strategies (Neo-Marxist, Neo-Anarchist, Coalition-Building). These strategies are described and compared, especially with respect to their diverging conceptions on processes of ‘bottom-up’ development, the characterisation of grassroots mobilisation and the role of the state and political parties. These differences, however, tend to be compromised once actual advocacy work with the grassroots is contemplated, when development projects have to deal with the micro-mobilisation patterns of the poor and the political conjuncture. Several interpretations of the contradiction between ideal-typical strategies and actual advocacy tactics are discussed, concluding that such contradictions are inherent to any political process based on grassroots empowerment and a ‘bottom-up’ agenda.

The last two decades have witnessed a veritable mushrooming of NGOs in India. What, however, is inadequately appreciated is that the conversion of voluntarism into primarily a favoured instrumentality for developmental intervention has changed what was once an organic part of civil society into merely a sector — an appendage of the developmental apparatus of the state. Further, this process of instrumental appropriation has resulted in these agencies of self-activity losing both their autonomy and political-transformative edge. What is required, therefore, is to reorientate voluntarism from a framework of subserving the needs of delivery to one promoting self-governance in the widest sense.

At a time of rapid social, political and economic change in Britain, voluntary and community groups are being encouraged to assume a more prominent role in general welfare provision. Accordingly, their ‘need to know’ has never been more acute. Yet the information environment of the voluntary sector is also in a state of flux and transition. Profound changes in the institutional world of information provision hold significant implications for the way voluntary and community groups seek and disseminate information. In this paper these structural changes are outlined and the findings presented of an extensive investigation into information needs and usage in the voluntary sector.

This paper explores the differing approaches and objectives of Japanese and American philanthropy, as well as aspects of corporate giving and corporate citizenship. The historic roles of philanthropy, and the scope and purposes of the non-profit sector in both countries are examined, as is the concept of corporate good citizenship and the tendency towards giving by individuals and corporations. In addition, the paper examines the differing tax treatments, such as deductibility of charitable gifts, tax exemption of organisations, and relation of exempt entities to government, that logically follow from the two approaches, including changes in law and regulation through to the end of 1990. Although written by an American, this paper is not intended to present American-style philanthropy as a model for any others. Rather, it is intended to provide useful information for comparative study and to express the hope that Japan will bring a fresh approach to philanthropy around the world that goes beyond giving to traditional American causes and purposes and beyond giving solely as an export product used as a means of easing trade and investment friction.

The paper describes how the non-profit sector in East Germany has passed through several distinct phases in recent years. It shows how the role of the non-profit sector under the system of party dominance and centralised economic and social planning signified a major contradiction of East German society: the artificial under-development of civic society in eastern Europe's most successful economy. During the first phase of the transition period in late 1989, the expression and manifestation of political views was predominant. With the disintegration of the socialist party-state, the needs for social service provision increased. West German organisations have increasingly become the dominant factor in East German non-profit sector affairs. The paper argues that the East German non-profit sector will emerge as a slightly poorer and more secular version of its West German counterpart.

The non-profit sector arising in Poland and Hungary bears little resemblance to its pre-war ancestors. The new non-profits are shaped by social and economic forces brought about by the state socialists. State socialist service policies have left the non-profits with substantial need for their services, but the organisations face several major constraints in meeting that demand. Current government policies towards services and non-profits are discussed. Government and foreign funders can play a significant role in fostering the new non-profits, but a careful prioritisation of objectives is necessary. The present situation shows that many theories about non-profit organisations are not internationally cross-applicable, although several hypotheses have partial relevance.

This paper explores the roles that the public and private non-profit sector can play in the economic reform process in the Soviet Union. Using a taxonomy based on earlier work on the economic theory of the non-profit sector, it specifies which types of institution might be appropriate for doing so. It does so in a way that broadens the neo-classical economic model and puts it in perspective.

The paper does two other things as well. By specifying elements of the economic system and its political and social environment, it reduces the chances that economists will inadvertently leave something out in analysing the reform process. Also, by attempting to specify the goals of the leaders (and to some extent the public) of the country involved, it leads to policy prescriptions that are more realistic and feasible.