Many non-profit organizations engage in both charitable and purely commercial activities, where profits from the latter are used to finance the former. Should business income be tax-exempted because of its cross-subsidization function? The effects of exemption on the product mix are analysed,...

Many non-profit organizations engage in bothcharitable and purely commercial activities, whereprofits from the latter are used to finance theformer. Should business income be tax-exempted becauseof its cross-subsidization function? The effects ofexemption on the product mix are analysed, using...