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Preference Variation and Private Donations

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  • Erik Schokkaert
  • Luc Van Ootegem

Abstract

This paper tries to bridge part of the gap between the theoretical model of mixed altruism and the empirical research on charitable behaviour. We use questionnaire data on charitable donations from a representative sample of the Flemish population. We link interindividual differences in behaviour to the answers on direct motivational questions. The results are in line with the theoretical predictions. Respondents who are more sensitive to warm glow considerations donate more. A stronger preference for the public good does not lead to a higher level of private giving. This can be seen as weak evidence for the crowding out-effect. Tax prices have no significant effect. This has mainly to do with lack of information and limited tax awareness.

Suggested Citation

  • Erik Schokkaert & Luc Van Ootegem, 1998. "Preference Variation and Private Donations," Working Papers of Department of Economics, Leuven ces9808, KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven.
    • Handle: RePEc:ete:ceswps:ces9808
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    1. is not listed on IDEAS
    2. Serge-Christophe Kolm, 2008. "Paradoxes of the War on Poverty: Warm-Glows and Efficiency," IDEP Working Papers 0807, Institut d'economie publique (IDEP), Marseille, France, revised 18 Nov 2008.
    3. Gregory Ponthiere, 2007. "Monetizing Longevity Gains under Welfare Interdependencies: An Exploratory Study," Journal of Family and Economic Issues, Springer, vol. 28(3), pages 449-469, September.
    4. Jonathan Meer & Harvey S Rosen, 2007. "Altruism and the Child-Cycle of Alumni Donations," Working Papers 150, Princeton University, Department of Economics, Center for Economic Policy Studies..
    5. Nunes, Paulo A. L. D. & Schokkaert, Erik, 2003. "Identifying the warm glow effect in contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 45(2), pages 231-245, March.
    6. Jonathan Meer & Harvey S. Rosen, 2007. "Altruism and the Child-Cycle of Alumni Giving," NBER Working Papers 13152, National Bureau of Economic Research, Inc.

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