Abstract
An analysis was carried out to determine the nature of interactions between three major characteristics of the charities: their objectives and the way they are defined, source of income, and type of expenditure. The study was based on a random sample of 500 registered charities in England and Wales. The results suggest that there are significant interactions between these characteristics. In particular, charities' objectives and the way they are specified have a significant bearing upon the income generation process and the output of the charities. The study suggests that the charity sector is dominated by two groups of charities whose objectives, sources of income and types of expenditure are markedly different.
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