Using willingness to pay to measure the strength of altruistic motives

Lata Gangadharan (lata.gangadharan@monash.edu), Philip Grossman and Nina Xue (nina.xue@monash.edu)
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Nina Xue: Monash University, Department of Economics

No 2023-04, Monash Economics Working Papers from Monash University, Department of Economics

Abstract: We introduce a novel experimental procedure to measure altruistic giving along a spectrum, from warm glow to pure altruism, by eliciting willingness to pay to increase the likelihood that a donation is received by a recipient. Whereas previous methods identify pure warm-glow motives, our approach directly measures altruistic preferences and is validated by a survey measure developed by Carpenter (2021). Participants who identify in the survey as altruistic givers are more likely to pay to increase the probability that the donation is implemented and pay more on average than those who identified as mainly motivated by warm glow.

Keywords: warm glow; altruism; donation; charitable giving; experiment (search for similar items in EconPapers)
JEL-codes: H4 (search for similar items in EconPapers)
Date: 2023-02
New Economics Papers: this item is included in nep-dcm, nep-env and nep-exp
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Citations: View citations in EconPapers (3)

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Journal Article: Using willingness to pay to measure the strength of altruistic motives (2023)
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