Inheritance and Charitable Donations
نویسندگان
چکیده
In this paper, we employ a unique new data set (the Philanthropy Panel Study (PPS), a module within the Panel Study of Income Dynamics (PSID)) to test whether the propensity to donate out of inherited wealth is equal to the propensities to donate out of other wealth, earned income, and transfer payments. We find that the elasticity of giving from non-inherited wealth is much greater than from inherited wealth for total giving and gifts to religion, combined causes, people in need, health, education, and other causes. The effects of income derived from inherited wealth and labor income are similar in terms of elasticities, although inherited wealth creates a higher marginal propensity to donate. Transfer income has either a small or no apparent effect on donations.
منابع مشابه
Modelling Charitable Donations to an Unexpected Natural Disaster: Evidence from the U.S. Panel Study of Income Dynamics
Modelling Charitable Donations to an Unexpected Natural Disaster: Evidence from the U.S. Panel Study of Income Dynamics Using household-level data, we explore the relationship between donations to the victims of the 2004 Indian Ocean tsunami disaster and other charitable donations. The empirical evidence suggests that donations specifically for the victims of the tsunami are positively associat...
متن کاملOn Enterprise Pre-Tax Deduction Ways for Charitable Donations
The Law of the People’s Republic of China on Enterprise Income Tax regulates that in relation to the expenses from charitable donations incurred by Enterprises, the portion within 12% of the total annual profit may be deducted from the taxable income. The application of this Article is helpful for simplifying the calculation of enterprise income tax and encouraging tax-payers to engage in chari...
متن کاملPrice Discrimination through Corporate Social Responsibility
A common form of Corporate Social Responsibility (CSR) by firms is to agree to donate a fixed portion of private good revenues to a charitable cause. In this paper we explore a new rationale for such CSR. We argue that linking private good purchase with charitable donations allows the firm to price discriminate between altruistic consumers who wish to make charitable donations out of their inco...
متن کاملMarket Valuation of Corporate Charitable Donations
Over the past decade, Corporate Social Responsibility (CSR) has become a major concern for firms in appeasing the skepticism of stakeholder groups including shareholders, consumers, and organizational members at various levels (Donaldson and Preston, 1995; Kapstein, 2001). Significant changes have occurred in the way in which firms would like to be regarded, as evidenced by the increased report...
متن کاملSelf-Signaling and Pro-Social Behavior: a cause marketing mobile field experiment1
We test a self-signaling theory using two large-scale, randomized controlled field experiments. Mobile phone users are randomly sampled to receive promotional offers for movie tickets via SMS technology. Test groups are exposed to different pre-determined levels of price discounts and charitable donations tied to the ticket purchase. The main effects of price discounts and charitable donations ...
متن کاملTime vs. Money: The Supply of Voluntary Labor and Charitable Donations across Europe
Volunteering plays a prominent role in the charitable provision of goods and services, yet we know relatively little about why individuals spend time and money to the charity. Assuming that volunteering is a consumption good, we analyze the determinants of individuals’ charitable cash donations and volunteer labor as well as the interdependence between both goods. Using data from the European S...
متن کامل