The Sense and Rationality of Non-profit Sector in Social and Health Services

This paper is focused on the sense of non-profit sector in social and health services. After transition to market economy, the problem of financing and provision of those services, in the past done under the direct control of the government, clearly arose. However, the market solutions proposed were not bringing satisfactory results. In this regard, the concept of non-profit organizations emerged in both theory and practice of developed countries. This paper will focus on the main concepts and reasons behind those organizations, which give economic and social rationality for their existence. Special attention will be paid to the situation in social and health services sector and some specific problem of the situation in the Czech Republic.