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Quality certification for nonprofits, charitable giving, and donor's trust: Experimental evidence

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  • Adena, Maja
  • Alizade, Jeyhun
  • Bohner, Frauke
  • Harke, Julian
  • Mesters, Fabio

Abstract

In an experiment, we test the impact of quality certificates on donations to a charity. Compared to the control group, participants presented with a quality certificate chose higher donations by around 10% and reported higher trust in the same charity. The choice of donation values over time shows strong persistence such that the difference between the two groups remained even after all participants were informed about the certificate. Since the initially uninformed donors did not adjust their donations upwards to a sufficient extent, we conclude that quality certification is less likely to affect giving by existing donors. Finally, we find no significant negative effect of information about certificate fees.

Suggested Citation

  • Adena, Maja & Alizade, Jeyhun & Bohner, Frauke & Harke, Julian & Mesters, Fabio, 2019. "Quality certification for nonprofits, charitable giving, and donor's trust: Experimental evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 159(C), pages 75-100.
  • Handle: RePEc:eee:jeborg:v:159:y:2019:i:c:p:75-100
    DOI: 10.1016/j.jebo.2019.01.007
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    References listed on IDEAS

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    Cited by:

    1. Adena, Maja & Huck, Steffen, 2019. "Giving once, giving twice: A two-period field experiment on intertemporal crowding in charitable giving," Journal of Public Economics, Elsevier, vol. 172(C), pages 127-134.

    More about this item

    Keywords

    Nonprofit certification; Charitable giving; Experiment; Trust;

    JEL classification:

    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • C99 - Mathematical and Quantitative Methods - - Design of Experiments - - - Other
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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