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On the disclosure of ticket sales in charitable lotteries

Author

Listed:
  • Damianov, Damian S.
  • Peeters, Ronald

    (Microeconomics & Public Economics, RS: GSBE ETBC)

Abstract

We show that a policy of disclosing the ticket sales during a fundraising lottery raises total revenue when there are more than two bettors. The optimal timing of the disclosure is when about half of the players have purchased lottery tickets.

Suggested Citation

  • Damianov, Damian S. & Peeters, Ronald, 2016. "On the disclosure of ticket sales in charitable lotteries," Research Memorandum 030, Maastricht University, Graduate School of Business and Economics (GSBE).
    • Handle: RePEc:unm:umagsb:2016030
    DOI: 10.26481/umagsb.2016030
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    References listed on IDEAS

    as
    1. Varian, H.R., 1989. "Sequential Provision Of Public Goods," Papers 89-17, Michigan - Center for Research on Economic & Social Theory.
    2. Linster, Bruce G, 1993. "Stackelberg Rent-Seeking," Public Choice, Springer, vol. 77(2), pages 307-321, October.
    3. Franke, Jörg & Leininger, Wolfgang, 2014. "On the efficient provision of public goods by means of biased lotteries: The two player case," Economics Letters, Elsevier, vol. 125(3), pages 436-439.
    4. Vesterlund, Lise, 2003. "The informational value of sequential fundraising," Journal of Public Economics, Elsevier, vol. 87(3-4), pages 627-657, March.
    5. Dixit, Avinash K, 1987. "Strategic Behavior in Contests," American Economic Review, American Economic Association, vol. 77(5), pages 891-898, December.
    6. Damianov, Damian S., 2015. "Should lotteries offer discounts on multiple tickets?," Economics Letters, Elsevier, vol. 126(C), pages 84-86.
    7. Glazer, Amihai & Hassin, Refael, 2000. "Sequential Rent Seeking," Public Choice, Springer, vol. 102(3-4), pages 219-228, March.
    8. John Morgan, 2000. "Financing Public Goods by Means of Lotteries," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 67(4), pages 761-784.
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    More about this item

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers

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