The Relationship Between Government Regulation And The Social Public Donation Behavior

Caused by the phenomenon of the nonprofit organizations lacking of social credibility,this paper wants to study the relationship between government regulation and the social public donation behavior from the external governance mechanism.Both social public and the government departments are charitable organizations’external stakeholders.Meanwhile,government is the only agency to ask nonprofit organizations for accountability.This single supervision system let public trust government.Information disclosure is the direct link between external supervisors and non-profit organizations.By studying the influence of the government regulation on information disclosure can help us to have a certain understanding of the current regulatory measures.And also help us to further analyze the relationship between government regulation and donation behavior.This paper uses the preferential tax subject qualification as proxy variable of government regulation.Because it provides guarantee for the nonprofit organization’s day-to-day operations and contains more regulatory information than other factors.Articles manually collect data from the foundation center online according to net asset ranking top300 public offering foundation and the non-public foundation from 2012-2015.A total of 1808 valid samples were studied.The study found that the government regulation can significantly influence donation behavior,namely charity who have preferential tax subject qualifications can obtain more donations.After eliminating the influence of tax deduction qualification,I found the tax-exempt status is signal for donation behavior.In addition,under the supervision the non-profit organizations’ information disclosure transparency significantly increased.After a further study,it found that information disclosure transparency play a mediating role in the relationship between the government.regulation and donation behavior.Different types of foundations have significant differences.In public offering foundation,government regulation can significantly influence donation behavior and tax-exempt status can play a signal role.But in non-public foundation there is no significant correlation between the two aspects.This maybe be due to non-public foundation conducting fundraising activities to specific group.The part of the group is purely out of trust or for its reputation to make a donation,so whether the nonprofit organization has preferential tax subject qualification is not directly concerned with them.The influence of government regulation in different types of donors also exists certain differences.Individual donors are more sensitive to government regulation than institutional donors.But tax-exempt status can only play a signal role in institutional donors.Because institutional donors can obtain more information and make decisions carefully,they will be affected by the signal role of tax-exempt status.In this paper,we use proxy variables of the government regulation to conduct empirical research is a relatively new point.At present domestic scholars’ study on government regulation mostly focus on theory analysis of regulatory system and tax system.There are few articles study the incentive effect and the constraint effect of the government regulation.This paper uses the preferential tax subject qualification as proxy variable of government regulation to carry out the research,studying the influence of government regulation to social public donation and charity information disclosure.It can provides theoretical support to government departments in the future work.Hoping the government regulation can be more effective.So the conclusions have practical significance.