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Narrow framing in charitable giving: Results from a two-period field experiment

Author

Listed:
  • Adena, Maja
  • Huck, Steffen
Abstract
Do donors examine a single ask to donate in isolation or do they consider that other and future asks may come along? In the first year of our field experiment, we vary whether or not potential donors are informed that the ask will be repeated in the following year. This information has dramatic effects on the amount given: if present, donations fall by around 40%. This indicates strong support for the prevalence of narrow framing which benefits the fundraiser. In the second year of our experiment we show that previous non-donors behave as if expecting future calls, regardless of whether they have been explicitly told or have simply observed two subsequent asks, that is, they are de-biased through learning. Finally, we document that donors from year 1 tend to give the same amount again in year 2 which generates a long-run effect of initial narrow framing on donation amounts.

Suggested Citation

  • Adena, Maja & Huck, Steffen, 2017. "Narrow framing in charitable giving: Results from a two-period field experiment," Discussion Papers, Research Unit: Economics of Change SP II 2017-305, WZB Berlin Social Science Center.
    • Handle: RePEc:zbw:wzbeoc:spii2017305
    as

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    References listed on IDEAS

    as
    1. Damgaard, Mette Trier & Gravert, Christina, 2018. "The hidden costs of nudging: Experimental evidence from reminders in fundraising," Journal of Public Economics, Elsevier, vol. 157(C), pages 15-26.
    2. Huck Steffen & Rasul Imran, 2010. "Transactions Costs in Charitable Giving: Evidence from Two Field Experiments," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-35, April.
    3. Adena, Maja & Huck, Steffen & Rasul, Imran, 2014. "Charitable Giving and Nonbinding Contribution-Level Suggestions - Evidence from a Field Experiment," Review of Behavioral Economics, now publishers, vol. 1(3), pages 275-293, May.
    4. Matthew Rabin & Georg Weizsacker, 2009. "Narrow Bracketing and Dominated Choices," American Economic Review, American Economic Association, vol. 99(4), pages 1508-1543, September.
    5. Meer, Jonathan, 2017. "Does fundraising create new giving?," Journal of Public Economics, Elsevier, vol. 145(C), pages 82-93.
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    9. Adena, Maja, 2021. "Tax-price elasticity of charitable donations – evidence from the German taxpayer panel," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 219-235.
    10. Adena, Maja & Huck, Steffen, 2017. "Matching donations without crowding out? Some theoretical considerations, a field, and a lab experiment," Journal of Public Economics, Elsevier, vol. 148(C), pages 32-42.
    11. Anna, Petrenko, 2016. "Мaркування готової продукції як складова частина інформаційного забезпечення маркетингової діяльності підприємств овочепродуктового підкомплексу," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 2(1), March.
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    More about this item

    Keywords

    Charitable giving; natural field experiment; decision framing;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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