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Undergraduate financial aid and subsequent alumni giving behavior

  • Marr, Kelly A.
  • Mullin, Charles H.
  • Siegfried, John J.

Data on 2,822 Vanderbilt University graduates are used to investigate alumni giving behavior during the eight years after graduation. A two stage model accounting for incidental truncation is used to first estimate the likelihood of making a contribution and second estimate the average gift size conditional on contributing. The type of financial aid received as an undergraduate appears to have a greater influence on subsequent alumni generosity than the amount received. Adding some scholarship to a loan-only package or eliminating all loans from a mixed loan-grant package increases the likelihood of a subsequent contribution. Increasing the total size of the package or altering the proportions of an already mixed package appears to be inconsequential for future donations. Students who receive small merit scholarships contribute more as alumni than students who receive either no merit scholarship or a large merit scholarship.

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File URL: http://www.sciencedirect.com/science/article/B6W5X-4DDXWPB-1/2/d1ffc0365d46a725015422fb2717d01c
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Article provided by Elsevier in its journal The Quarterly Review of Economics and Finance.

Volume (Year): 45 (2005)
Issue (Month): 1 (February)
Pages: 123-143

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Handle: RePEc:eee:quaeco:v:45:y:2005:i:1:p:123-143
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/620167

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  1. Monks, James, 2003. "Patterns of giving to one's alma mater among young graduates from selective institutions," Economics of Education Review, Elsevier, vol. 22(2), pages 121-130, April.
  2. Eckel, Catherine C & Grossman, Philip J, 1998. "Are Women Less Selfish Than Men? Evidence from Dictator Experiments," Economic Journal, Royal Economic Society, vol. 108(448), pages 726-35, May.
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  6. Charles T. Clotfelter, 1985. "Federal Tax Policy and Charitable Giving," NBER Books, National Bureau of Economic Research, Inc, number clot85-1, June.
  7. Clotfelter, Charles T., 1985. "Federal Tax Policy and Charitable Giving," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226110486.
  8. Brendan M. Cunningham & Carlena K. Cochi-Ficano, 2002. "The Determinants of Donative Revenue Flows from Alumni of Higher Education: An Empirical Inquiry," Journal of Human Resources, University of Wisconsin Press, vol. 37(3), pages 540-569.
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