Dimensions of donation preferences: the structure of peer and income effects
Research output: Contribution to journal › Article › peer-review
Colleges, School and Institutes
- University of Illinois
Charitable donations provide positive externalities and can potentially be increased with an understanding of donor preferences. We obtain a uniquely comprehensive characterization of donation motives using an experiment that varies treatments between and within subjects. Donations are increasing in peers’ donations and past subjects’ donations. These and other results suggest a model of heterogeneous beliefs about the social norm for giving. Estimation of such a model reveals substantial heterogeneity in subjects’ beliefs about and adherence to the norm. A simple fundraising strategy increases donations by an estimated 30 percent by exploiting previously unstudied correlations between dimensions of donor preferences.
|Number of pages||29|
|Publication status||Published - 26 Jun 2020|
- charitable, donation, altruism, warm glow, social preferences, peer effects, experiment