Efficiency of the non profit Enterprise: Constitutional Ideology, Conformist Preferences and Reputation

What is, if any, the distinctive comparative advantage of the non profit enterprise? One line of theorizing, which I want to pursue in this paper, is that the non profit enterprise (in short NPE) is able to attract ideological entrepreneurs and workers (Rose-Ackerman 1996). “Ideologues” are agents committed the principles of a given philosophy of service, a “mission” in a field of provision and distribution of some welfare good or service. In terms of the idea of “basic institutions” of society (Rawls 1971), a “mission” may be understood as typically the endeavour of providing some “primary goods” such as health, education, culture, basic income (that is the basis of self-respect) and ideologues are individuals committed to the institutional mission of providing a “primary good” and its fair distribution.