An econometric analysis of household donations in the USA

Steven Yen

Applied Economics Letters, 2002, vol. 9, issue 13, 837-841

Abstract: This study investigates philanthropy, an American tradition. A censored system of donation equations is estimated by full-information maximum likelihood, using data from the 1995 Consumer Expenditure Survey. Results suggest that the censored system estimates are more appropriate than the single-equation estimates attempted in much of the donation literature. Income, age, and education are contributing factors of donation, regardless of whether it is to charity, religious organizations, or other organizations.

Date: 2002
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DOI: 10.1080/13504850210148189

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