giving with affluence
TRANSCRIPT
GIVING WITH AFFLUENCE: HOW ALTRUISTIC AND SOCIAL PRESSURE MOTIVATION DRIVE GIVING BY THE WEALTHY IN THE UNITED STATES AND THE NETHERLANDS
PAMALA WIEPKING, ERASMUS UNIVERSITY ROTTERDAM ([email protected])ARJEN DE WIT, VU UNIVERSITY AMSTERDAM ([email protected])XIAONAN KOU, LILLY FAMILY SCHOOL OF PHILANTHROPY, IUPUI ([email protected])
JUNE 30, 2016ISTR CONFERENCE STOCKHOLM
DEPARTMENT OF BUSINESS-SOCIETY MANAGEMENT
RESEARCH QUESTION
• What motivates some HNW individuals to donate more money to philanthropic organizations than others?
• Two types of explanations:– Individual-level differences in motivations and
socio-demographic characteristics of HNW individuals
– Contextual-level differences in the social environment in which HNW individuals live
INDIVIDUAL LEVEL EXPLANATIONS
Extrinsic motivation
Intrinsic motivation
Motivations
Socio-demographic characteristics
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CONTEXTUAL LEVEL EXPLANATIONS
A culture of philanthropy (Wiepking & Handy, 2015)
Philanthropy and nonprofit sector are (perceived as) instrumental in providing public goods and services
Philanthropy is discussed openly
+ Compositional explanations
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DATA
2010 Bank of America Study of High Net Worth Philanthropy
Giving in the Netherlands Panel Survey 2010 HNW Supplement
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DATA
Some descriptives
BOA GINPSFemale 20.2 %
(40.2)27.57 %(44.71)
Age 66.2(12.6)
64.7(11.5)
Yearly hh income/1000
$ 593.21(946.04)
$ 280.07(371.54)
Wealth/1000
$ 11,487.24(63,933.96)
$ 1,858.13(5,476.73)
Donated 98.20 %(13.32)
93.26 %(25.08)
Amount donated $ 45,327.01(208,320.47)
$ 2,944.88(11,171.52)
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REGRESSION RESULTS
Ln(Amount donated)BOA GINPS
HH yearly income/1000
0.001***(0.000)
0.286*(0.170)
HH wealth/1000
0.000(0.000)
0.009(0.012)
Financial security 0.346(0.458)
1.215***(0.313)
(Constant) 3.105*(1.143)
1.443**(0.565)
N 643 778
R2 0.174 0.261
Controlled for altruistic motives, being asked, social pressure, source of wealth, religious attendance, education, gender, being married, having children, age.
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REGRESSION RESULTS (CONT’D)
Ln(Amount donated)BOA GINPS
Altruistic motives 1.833***(0.621)
2.113***(0.461)
Being asked 0.756*(0.439)
0.567(0.413)
Social pressure 0.866***(0.238)
1.675***(0.402)
(Constant) 3.105*(1.143)
1.443**(0.565)
N 643 778
R2 0.174 0.261
Controlled for income, wealth, source of wealth, feeling of financial security, religious attendance, education, gender, being married, having children, age.
CONCLUSIONS
• The feeling of financial security is more strongly related to giving among HNW households in the Netherlands than it is in the US
• Altruistic motives and especially social pressure appear to be more important explanations in the Netherlands, while being asked appears to be a more important explanation in the US
• Overall, HNW giving appears to be strongly driven by altruistic motives
NEXT STEPS
• Impute values on missings• Run analyses on pooled dataset• Interpretation of contextual differences
THANK YOU
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DATA
Altruistic motivesBOA GINPSDo you usually give…- When you believe that your gift can
make a difference- Spontaneously in response to a
need- In order to give back to your
community
- I prefer to work for my own welfare rather than for that of others
- I strive to work for the welfare of society
- I do not feel much like helping others- I consider it important to share my
possessions with others- I do not like spending time doing
things for others- I consider it important to try to help
others- I do not like engage in charity- I consider it important to help the
poor and the needy
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DATA
Being askedBOA GINPSDo you usually give…- When you are asked
Are you asked to give last two weeks via...Door-to-door collection / Street collection / Sponsor campaign / Collection in the church / Collection via membership organization / Television campaign or telethon / A direct mail letter / internet/email / Collection during an event / Buying lottery tickets / family / friends / charity event
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DATA
Social pressureBOA GINPSDid you make some donations because it was expected of you?
- My friends would find it weird if I would tell that I give a lot to charitable causes
- My colleagues appreciate it when I give a lot to charitable causes
- My family would find it weird if I would not give money to charitable causes
- Many people I know appreciate it when I give more to charitable causes