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Elinor Ostrom

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The budget deficit and the business cycle

Economics of the third sector

Michael Vlassopoulos discusses the role played by the third sector in the economy

Ingram

Third sector, also known as the volun-The tary or community sector, occupies the space of economic activity that lies between the public and the private sector. It comprises the various voluntary and community groups, social enterprises, charities, cooperatives and mutuals that engage in many key activities for society. These include, among others, healthcare, education, social services, culture and recreation, research, advocacies for environmental and other social causes, and international aid.

There is a wide variety of third-sector organisations, ranging from small community groups that operate at a local level to international agencies involved in multimillion-pound projects. These organisations are diverse not only in terms of their size and the scope of activity they pursue, but also in terms of the mix of sources they rely upon to fund their activities. Such sources include fees, government grants and subsidies, and donations of time and money.

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Elinor Ostrom

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The budget deficit and the business cycle

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