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Can simple prompts increase bequest giving? Field evidence from a legal call centre

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  • Sanders, Michael
  • Smith, Sarah

Abstract

We report the findings of a field study demonstrating the importance of non-pecuniary mechanisms for bequest giving. We show that a prompt to leave money to charity that includes social/emotional factors made during the will-making process increases by 50 per cent the proportion of wills that include a charitable bequest. In terms of magnitude, we show that this is one-third of the effect of a 40% estates tax at the threshold. We find little response to either prompts or tax-price changes among people with children indicating that, for many, leaving money to their children appears to preclude leaving money to charity.

Suggested Citation

  • Sanders, Michael & Smith, Sarah, 2016. "Can simple prompts increase bequest giving? Field evidence from a legal call centre," Journal of Economic Behavior & Organization, Elsevier, vol. 125(C), pages 179-191.
    • Handle: RePEc:eee:jeborg:v:125:y:2016:i:c:p:179-191
    DOI: 10.1016/j.jebo.2016.01.002
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    References listed on IDEAS

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    Cited by:

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    2. Mayo, Jennifer, 2021. "How do big gifts affect rival charities and their donors?," Journal of Economic Behavior & Organization, Elsevier, vol. 191(C), pages 575-597.
    3. Rob Bauer & Inka Eberhardt & Paul Smeets, 2022. "A Fistful of Dollars: Financial Incentives, Peer Information, and Retirement Savings," The Review of Financial Studies, Society for Financial Studies, vol. 35(6), pages 2981-3020.
    4. Faziatul Amillia Mohamad Basir & Wan Marhaini Wan Ahmad & Mahfuzur Rahman, 2023. "Estate Planning Behaviour: A Systematic Literature Review," JRFM, MDPI, vol. 16(2), pages 1-21, January.
    5. Bruttel Lisa & Nithammer Juri & Stolley Florian, 2022. "“Thanks in advance” – The negative effect of a polite phrase on compliance with a request," German Economic Review, De Gruyter, vol. 23(1), pages 61-78, February.

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    More about this item

    Keywords

    Charitable giving; Charitable bequests; Prompts; Social norms;
    All these keywords.

    JEL classification:

    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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