Question

Discuss the variety of forces that has stimulated the growth of the nonprofit sector, beginning in the 1980's.

Answer 1

According to the statistics of National charitable societies, more than 1.5 million nonprofit organizations were registered with charitable giving reaching more than $374 billion annually contributing to more than 5.4% of GDP of USA.
Nonprofit organizations are self-governing, organized, voluntary and private entities existing for a mutual benefit or public other than generating profit for investors or owners. They take the form of local churches, community associations, traditional charities, self-help groups, hospitals, museums, labor unions, soup kitchens and universities. The primary purpose of nonprofit organizations is to serve the poor and the needy. Benjamin Franklin pioneered the concept of nonprofit organizations to solve the poverty problem and develop civic virtues in the minds of citizens. The nonprofit organizations fought to end slavery in the civil war and the former slave's formed self-help groups.
Volunteers fuelled the growth of the nonprofit organizations in the 1980’s to help the people in need. The nonprofit organizations have a philanthropic mindset attached to them in helping the poor, promoting culture, educational or social causes. In the 1980’s, charity work was fueled by churches, colleges and universities to help the poor and needy. The role of the charities was service oriented to provide the needy with their basic needs, advocate public good, community building, values preservation and promoting civic engagement.
The main force that has stimulated the growth of the nonprofit organizations in the USA since the 1980’s are the generous attitude of people towards charitable giving in the form of donations, foundations, bequests and corporations. Nearly 32% of donations were received by religious organizations, 15% by educational organizations and 12% by human service organizations.
The growth of the nonprofit sector is more focused to eliminate poverty in underdeveloped nations especially in Africa to feed the poor and provide medical aid in poverty struck nations like Somalia and other war-prone nations across the world. Red Cross pioneers such works on a large scale across the world with strong financial backing and support of United Nations and World Bank. The poverty elimination programs run by the non-profit sector in such regions are largely funded by the World Bank to uplift the lives of poor and needy.
The current trend or force that stimulates the growth of the nonprofit organizations includes social services promoted by the federal government and social entrepreneurship that has become a fashion among the corporate to be responsible to the community. Corporate social responsibility (CSR) measures also form a part of the corporate to serve the community at a large. The trend has shifted to every organization being socially responsible and contributing to the community in one way or the other.