The Anatomy of a Likely Donor: Econometric Evidence on Philanthropy to Higher Education

Abstract:     
In 2006, philanthropic giving to higher education institutions totaled $28 billion, with the top school receiving just under a billion dollars. Roughly fifteen percent of those funds came from alumni donations. This paper builds upon existing economic models to create an econometric model predicting the ever-more important pattern of alumni giving. We test the model using data from over 22,000 alumni at a private liberal arts college, and report on the probable profiles for annual fund donors and alumni willing and able to give major gifts.

Keywords: philanthropy, alum, donations, education financing

JEL Classifications: I22, Z13

Working Paper Series