Abstract

http://ssrn.com/abstract=1843464
 
 

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Subsidizing Charitable Giving with Rebates or Matching: Further Laboratory Evidence


Catherine C. Eckel


Texas A&M University

Philip J. Grossman


Monash University

April 1, 2006

Southern Economic Journal, Vol. 72, No. 4, pp. 794-807, 2006

Abstract:     
We examine two different ways to subsidize charitable giving: by a rebate (returning a portion of the donation to the giver) or by a match (adding additional donations to the giver's donation). In previous experimental research, we have shown that participants give more to charity under the match than under an equivalent rebate. The previous within-subject experimental design required participants to make a series of decisions under both types of subsidy. Each decision consisted of an allocation of an endowment between the subject and a charity chosen by the subject from a specified list. This article examines whether that result is an artifact of the previous within-subjects design: subjects may have failed to fully distinguish the two types of subsidy. In the current article, we report results from a between-subjects design, where participants are required to make only one type of decision – involving rebates or involving matching subsidies. Our results confirm previous findings.

Number of Pages in PDF File: 15

JEL Classification: C91, D64

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Date posted: May 17, 2011  

Suggested Citation

Eckel, Catherine C. and Grossman, Philip J., Subsidizing Charitable Giving with Rebates or Matching: Further Laboratory Evidence (April 1, 2006). Southern Economic Journal, Vol. 72, No. 4, pp. 794-807, 2006. Available at SSRN: http://ssrn.com/abstract=1843464

Contact Information

Catherine C. Eckel (Contact Author)
Texas A&M University ( email )
5201 University Blvd.
College Station, TX 77843-4228
United States
Philip J. Grossman
Monash University ( email )
wellington road
Clayton, victoria 3800
Australia
+61399020052 (Phone)
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