Developing countries in need: Which characteristics appeal most to people when donating money?

Paul Hansen (), Nicole Kergozou (), Stephen Knowles () and Paul Thorsnes ()
Additional contact information
Paul Hansen: Department of Economics, University of Otago, New Zealand
Nicole Kergozou: Reserve Bank of New Zealand

No 1312, Working Papers from University of Otago, Department of Economics

Abstract: A discrete choice experiment was conducted to discover the relative importance of five characteristics of developing countries, as suggested by the literature, considered by people when choosing countries to donate money to. The experiment was administered via an online survey involving almost 700 student participants (potential donors) from a New Zealand university. The most important recipient-country characteristic for participants on average is hunger and malnutrition (a weight of 0.29), followed by child mortality (0.24), quality of infrastructure (0.21), income per capita (0.18), and, least importantly, ties to New Zealand (0.09). A cluster analysis of participants' individual `part-worth utilities' representing the relative importance of the country characteristics reveals they are not strongly correlated with participants' demographic characteristics. Our findings overall indicate that to maximise the donations they receive, non-governmental aid organisations are better to focus their marketing efforts on emphasising country characteristics associated with hunger, malnutrition and child mortality than other things.

Keywords: foreign aid; charitable giving; discrete choice experiment; conjoint analysis; PAPRIKA method (search for similar items in EconPapers)
JEL-codes: A13 C91 D64 O1 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2013-09, Revised 2013-09
New Economics Papers: this item is included in nep-dcm, nep-dem, nep-exp and nep-nps
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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http://www.otago.ac.nz/economics/research/otago076647.pdf First version, 2013 (application/pdf)

Related works:
Journal Article: Developing Countries in Need: Which Characteristics Appeal Most to People when Donating Money? (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:otg:wpaper:1312

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