Do nudges crowd out prosocial behavior?

Erik Gråd, Arvid Erlandsson and Gustav Tinghög

Behavioural Public Policy, 2024, vol. 8, issue 1, 107-120

Abstract: Both theory on motivational crowding and recent empirical evidence suggest that nudging may sometimes backfire and actually crowd out prosocial behavior, due to decreased intrinsic motivation and warm glow. In this study, we tested this claim by investigating the effects of three types of nudges (default nudge, social norm nudge, and moral nudge) on donations to charity in a preregistered online experiment (N = 1098). Furthermore, we manipulated the transparency of the nudges across conditions by explicitly informing subjects of the nudges that were used. Our results show no indication that nudges crowd out prosocial behavior; instead, all three nudges increased donations. The positive effects of the nudges were driven by the subjects who did not perceive the nudges as attempts to manipulate their behavior, while donations among subjects who felt that the nudges were manipulative remained unaffected. Subjects’ self-reported happiness with their choice also remained unaffected. Thus, we find no indication that nudges crowded out warm glow when acting altruistically. Generally, our results are good news for the proponents of nudges in public policy, since they suggest that concerns about unintended motivational crowding effects on prosocial behavior have been overstated.

Date: 2024
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