@TechReport{iza:izadps:dp6221,
            	author={Burger, Ronelle and Dasgupta, Indraneel and Owens, Trudy},
            	title={A Model of NGO Regulation with an Application to Uganda},
            	year={2011},
	month={Dec},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={6221},
            	url={https://www.iza.org/index.php/publications/dp6221},
	abstract={We develop a model of regulation of service-delivery NGOs, where future grants are conditional on prior spending of some minimal proportion of current revenue on direct project-related expenses. Such regulation induces some NGOs to increase current project spending, but imposes wasteful costs of compliance verification on all NGOs. Under a large class of parametric configurations, we find that regulation increases total discounted project expenditure over a regime of no regulation, when verification costs constitute no more than 15% of initial revenue. We characterize the optimal regulatory policy under these configurations. We apply our analysis to a large sample of NGOs from Uganda, and find regulation to be beneficial in that context.},
	keywords={developing countries;regulation of non-governmental organizations;Uganda},
            }