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Warm-Glow Giving and Freedom to be Selfish

Author Info

Listed author(s):
  • Özgür Evren

    ()

    (New Economic School)

  • Stefania Minardi

    ()

    (Department of Economics, New York University)

Abstract

Warm-glow refers to other-serving behavior that is valuable for the actor per se, apart from its social implications. We provide axiomatic foundations for warm-glow by viewing it as a form of preference for larger choice sets, in the sense of the literature on freedom of choice. Specically, an individual who experiences warm-glow prefers the freedom to be sel sh: she values the availability of sel sh options even if she plans to act unsel shly. Our theory also provides foundations for empirically distinguishing between warm-glow and other motivations for prosocial behavior. The implied choice behavior subsumes Riker and Ordeshook (1968) and Andreoni (1990).

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Paper provided by Center for Economic and Financial Research (CEFIR) in its series Working Papers with number w0171.

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Length: 47 pages
Date of creation: Dec 2011
Handle: RePEc:cfr:cefirw:w0171
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Keywords: Altruism; Warm-Glow; Freedom of Choice; Philanthropy; Charitable Giving; Public Goods;

Other versions of this item:

Find related papers by JEL classification:
  • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
  • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
  • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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  1. Jawwad Noor, 2006. "Menu-Dependent Self-Control," Boston University - Department of Economics - Working Papers Series WP2006-021, Boston University - Department of Economics.
  2. Patricia Funk, 2010. "Social Incentives and Voter Turnout: Evidence from the Swiss Mail Ballot System," Journal of the European Economic Association, MIT Press, vol. 8(5), pages 1077-1103, 09.
  3. Jean Tirole & Roland Bénabou, 2006. "Incentives and Prosocial Behavior," American Economic Review, American Economic Association, vol. 96(5), pages 1652-1678, December.
  4. Clotfelter, Charles T., 1985. "Federal Tax Policy and Charitable Giving," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226110486, September.
  5. Krasa, Stefan & Polborn, Mattias K., 2009. "Is mandatory voting better than voluntary voting?," Games and Economic Behavior, Elsevier, vol. 66(1), pages 275-291, May.
  6. David Dillenberger & Philipp Sadowski, 2008. "Ashamed to be Selfish," PIER Working Paper Archive 08-037, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania.
  7. David S. Ahn & Todd Sarver, 2013. "Preference for Flexibility and Random Choice," Econometrica, Econometric Society, vol. 81(1), pages 341-361, 01.
  8. Stephen Coate & Michael Conlin, 2004. "A Group Rule–Utilitarian Approach to Voter Turnout: Theory and Evidence," American Economic Review, American Economic Association, vol. 94(5), pages 1476-1504, December.
  9. Charles T. Clotfelter, 1985. "Federal Tax Policy and Charitable Giving," NBER Books, National Bureau of Economic Research, Inc, number clot85-1, October.
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