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Impure Altruism and Other Donor Attraction Factors: A Study Based on a Database of Non-Government Organizations (NGOs) in the Philippines

Author

Listed:
  • Renato E. Reside, Jr.

    (School of Economics, University of the Philippines Diliman)

Abstract

This study uses panel data on a sample of non-government organizations (NGOs) to estimate the factors that motivate donors to contribute to them. The results of empirical estimation suggest that a mix of conventional and tax factors influence donors. The results are consistent with the hypothesis that donors are not totally altruistic and are motivated by private benefits from donating. There is strong evidence that the private benefits come more from tax concessions from the act of donating. Hence, tax planning and arbitrage motives, more than "warm glow" factors influence donor contributions.

Suggested Citation

  • Renato E. Reside, Jr., 2017. "Impure Altruism and Other Donor Attraction Factors: A Study Based on a Database of Non-Government Organizations (NGOs) in the Philippines," UP School of Economics Discussion Papers 201704, University of the Philippines School of Economics.
    • Handle: RePEc:phs:dpaper:201704
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    File URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1504
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    More about this item

    Keywords

    Nonprofit corporations; donations; altruism;
    All these keywords.

    JEL classification:

    • C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance

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