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Payment Choice, Image Motivation and Contributions to Charity: Evidence from a Field Experiment

Author Info

  • Adriaan R. Soetevent

Abstract

This paper examines the impact of payment choice on charitable giving with a door-to-door fund-raising field experiment. Respondents can donate cash only, use debit only, or have both options. Cash donations have lower visibility vis-à-vis solicitors than debit card donations. When debit replaces cash, participation drops by 87 percent. Conditional on participation, donors in the Debit-only treatment give more than donors in Cash-only. In Cash&Debit, almost all donors prefer cash; participation decreases compared to Cash-only. Physical attractiveness of both female and male solicitors increases contributions. Solicitor self-confidence has a negative impact. (JEL D14, D64, L31)

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File URL: http://www.aeaweb.org/articles.php?doi=10.1257/pol.3.1.180
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File URL: http://www.aeaweb.org/aej/pol/data/2009-0047_data.zip
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Article provided by American Economic Association in its journal American Economic Journal: Economic Policy.

Volume (Year): 3 (2011)
Issue (Month): 1 (February)
Pages: 180-205

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Handle: RePEc:aea:aejpol:v:3:y:2011:i:1:p:180-205
Note: DOI: 10.1257/pol.3.1.180
Contact details of provider: Web page: https://www.aeaweb.org/aej-policy
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Keywords:

Find related papers by JEL classification:

  • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
  • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
  • L31 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Nonprofit Institutions; NGOs; Social Entrepreneurship

References listed on IDEAS
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  1. Zinman, Jonathan, 2009. "Debit or credit?," Journal of Banking & Finance, Elsevier, vol. 33(2), pages 358-366, February.
  2. Dan Ariely & Anat Bracha & Stephan Meier, 2009. "Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially," American Economic Review, American Economic Association, vol. 99(1), pages 544-55, March.
  3. Craig E. Landry & Andreas Lange & John A. List & Michael K. Price & Nicholas G. Rupp, 2006. "Toward an Understanding of the Economics of Charity: Evidence from a Field Experiment," The Quarterly Journal of Economics, Oxford University Press, vol. 121(2), pages 747-782.
  4. Alpizar, Francisco & Carlsson, Fredrik & Johansson-Stenman, Olof, 2008. "Anonymity, reciprocity, and conformity: Evidence from voluntary contributions to a national park in Costa Rica," Journal of Public Economics, Elsevier, vol. 92(5-6), pages 1047-1060, June.
  5. Gabrielle Fack & Camille Landais, 2010. "Are Tax Incentives for Charitable Giving Efficient? Evidence from France," American Economic Journal: Economic Policy, American Economic Association, vol. 2(2), pages 117-41, May.
  6. Kippers, J. & Franses, Ph.H.B.F., 2003. "An empirical analysis of euro cash payments," Econometric Institute Research Papers EI 2003-25, Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute.
  7. Grossman, Zachary, 2010. "Self-Signaling Versus Social-Signaling in Giving," University of California at Santa Barbara, Economics Working Paper Series qt7320x2cp, Department of Economics, UC Santa Barbara.
  8. Andreoni, James & Petrie, Ragan, 2004. "Public goods experiments without confidentiality: a glimpse into fund-raising," Journal of Public Economics, Elsevier, vol. 88(7-8), pages 1605-1623, July.
  9. Borzekowski, Ron & Kiser, Elizabeth K., 2008. "The choice at the checkout: Quantifying demand across payment instruments," International Journal of Industrial Organization, Elsevier, vol. 26(4), pages 889-902, July.
  10. Alberto Abadie & Guido W. Imbens, 2006. "Large Sample Properties of Matching Estimators for Average Treatment Effects," Econometrica, Econometric Society, vol. 74(1), pages 235-267, 01.
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Cited by:

  1. Runnemark, Emma & Hedman, Jonas & Xiao, Xiao, 2014. "Do Consumers Pay More Using Debit Cards than Cash? An Experiment," Working Papers 2014:21, Lund University, Department of Economics.
  2. Karlan, Dean & McConnell, Margaret A., 2012. "Hey Look at Me: The Effect of Giving Circles on Giving," Working Papers 96, Yale University, Department of Economics.
  3. repec:esx:essedp:680 is not listed on IDEAS
  4. Goytom Abraha Kahsay & Laura Mørch Andersen & Lars Gårn Hansen, 2014. "Price reactions when consumers are concerned about pro-social reputation," IFRO Working Paper 2014/09, University of Copenhagen, Department of Food and Resource Economics.
  5. Emel Filiz-Ozbay & Erkut Ozbay, 2014. "Effect of an audience in public goods provision," Experimental Economics, Springer, vol. 17(2), pages 200-214, June.
  6. Borgloh, Sarah & Dannenberg, Astrid & Aretz, Bodo, 2013. "Small is beautiful—Experimental evidence of donors’ preferences for charities," Economics Letters, Elsevier, vol. 120(2), pages 242-244.
  7. Onderstal, Sander & Schram, Arthur J.H.C. & Soetevent, Adriaan R., 2013. "Bidding to give in the field," Journal of Public Economics, Elsevier, vol. 105(C), pages 72-85.
  8. Cartwright, Edward & Patel, Amrish, 2012. "How Category Reporting Can Improve Fundraising," Working Papers in Economics 522, University of Gothenburg, Department of Economics.
  9. Bassanini, Andrea & Brunello, Giorgio & Caroli, Eve, 2015. "Not in My Community: Social Pressure and the Geography of Dismissals," IZA Discussion Papers 8910, Institute for the Study of Labor (IZA).
  10. Sander Onderstal & Arthur J.C. Schram & Adriaan R. Soetevent, 2011. "Bidding to give in the Field: Door-to-Door Fundraisers had it right from the Start," Tinbergen Institute Discussion Papers 11-070/1, Tinbergen Institute, revised 10 Nov 2011.
  11. Onderstal, Sander & Schram, Arthur J.H.C. & Soetevent, Adriaan R., 2014. "Reprint of: Bidding to give in the field," Journal of Public Economics, Elsevier, vol. 114(C), pages 87-100.
  12. Karlan, Dean & McConnell, Margaret A., 2014. "Hey look at me: The effect of giving circles on giving," Journal of Economic Behavior & Organization, Elsevier, vol. 106(C), pages 402-412.
  13. repec:dau:papers:123456789/13579 is not listed on IDEAS
  14. Carlsson, Fredrik & Johansson-Stenman, Olof & Pham Khanh, Nam, 2011. "Funding a New Bridge in Rural Vietnam: A field experiment on conditional cooperation and default contributions," Working Papers in Economics 503, University of Gothenburg, Department of Economics.

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