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Media Coverage & Charitable Giving After the 2004 Tsunami

32 Pages Posted: 9 Mar 2007  

Phil Brown

GeoSource Capital Solutions

Jessica Minty

Analysis Group, Inc.

Date Written: December 2006

Abstract

Media coverage of humanitarian crises is widely believed to influence charitable giving, yet this assertion has received little empirical scrutiny. Using Internet donations after the 2004 tsunami as a case study, we show that media coverage of disasters has a dramatic impact on donations to relief agencies, with an additional minute of nightly news coverage increasing donations by 0.036 standard deviations from the mean, or 13.2% of the average daily donation for the typical relief agency. Similarly, an additional 700-word story in the New York Times or Wall Street Journal raises donations by 18.2% of the daily average. These results are robust to controls for the timing of news coverage and tax considerations. We repeat the analysis using instrumental variables to account for endogeneity bias, and the estimates are unchanged. However, we also find that the effect of news coverage varies considerably by relief agency.

Keywords: Charitable giving, Media, Disasters, Tsunami, Southeast Asia

JEL Classification: O19, L31, L82

Suggested Citation

Brown, Phil and Minty, Jessica, Media Coverage & Charitable Giving After the 2004 Tsunami (December 2006). William Davidson Institute Working Paper No. 855. Available at SSRN: https://ssrn.com/abstract=968760 or http://dx.doi.org/10.2139/ssrn.968760

Phil Brown (Contact Author)

GeoSource Capital Solutions ( email )

PO Box 535
Charles Town, WV 25414
United States

Jessica Minty

Analysis Group, Inc. ( email )

111 Huntington Avenue
Tenth Floor
Boston, MA 02199
United States

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