Corporate donations and religiosity: Cross-country evidence

Lamia Chourou

Journal of Behavioral and Experimental Finance, 2023, vol. 39, issue C

Abstract: Corporate philanthropy varies substantially across countries. This study explores whether the degree of religiosity prevailing in the country where a firm is located helps explain such variation. Using a large sample of firms from 41 countries, I find that firms located in more religious countries donate more than those located in less religious countries. Moreover, I show that the religiosity-donation association is mainly driven by managers catering to stakeholders’ preferences rather than managers’ own preferences. Finally, I find that firms set their donations at an optimal level. My results are robust to a battery of sensitivity analyses and are confirmed by a quasi-natural experiment.

Keywords: Corporate philanthropy; Religiosity; Firm performance; Firm value (search for similar items in EconPapers)
JEL-codes: G3 I3 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S2214635023000254

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:beexfi:v:39:y:2023:i:c:s2214635023000254

DOI: 10.1016/j.jbef.2023.100811

Access Statistics for this article

Journal of Behavioral and Experimental Finance is currently edited by Michael Dowling and Jürgen Huber

More articles in Journal of Behavioral and Experimental Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().