Inter-charity competition under spatial differentiation: Sorting, crowding, and spillovers

Research output: Journal contributionsJournal articlesResearchpeer-review

Authors

  • Carlo Gallier
  • Timo Goeschl
  • Martin Kesternich
  • Johannes Lohse
  • Christiane Reif
  • Daniel Römer

We study spatially differentiated competition between charities in a framed field experiment. We introduce spatial differentiation by varying the observability of charities’ location such that each donor faces a socially close ‘home’ and a socially distant ‘away’ charity. In our field setting, we observe spatially differentiated competition between charities offering the same good to be characterized by sorting, crowding-in, and an absence of spill-overs: Donors sort themselves by distance; fundraising (through matching) for one charity raises checkbook giving to that charity, irrespective of spatial distance; but checkbook giving to the unmatched charity is not affected.

Original languageEnglish
JournalJournal of Economic Behavior and Organization
Volume216
Pages (from-to)457-468
Number of pages12
ISSN0167-2681
DOIs
Publication statusPublished - 01.12.2023
Externally publishedYes

Bibliographical note

Funding Information:
We would like to thank John List, Michael Price, Kimberly Scharf as well as conference and seminar audiences at the ESA meetings in Berlin and Manchester, the Science of Philanthropy Initiative Conference in Indianapolis, the Recent Advances in the Economics of Philanthropy Workshop, the University of Birmingham, the London School of Economics and Political Sciences, the University of Innsbruck, the University of Marburg, the University of Montpellier, Newcastle University, and the University of Stirling for very helpful comments. We are grateful to Raphael Epperson for valuable research assistance. Financial support by the German Federal Ministry of Education and Research ( FKZ 01UT1411A ) is gratefully acknowledged.

Funding Information:
We would like to thank John List, Michael Price, Kimberly Scharf as well as conference and seminar audiences at the ESA meetings in Berlin and Manchester, the Science of Philanthropy Initiative Conference in Indianapolis, the Recent Advances in the Economics of Philanthropy Workshop, the University of Birmingham, the London School of Economics and Political Sciences, the University of Innsbruck, the University of Marburg, the University of Montpellier, Newcastle University, and the University of Stirling for very helpful comments. We are grateful to Raphael Epperson for valuable research assistance. Financial support by the German Federal Ministry of Education and Research (FKZ 01UT1411A) is gratefully acknowledged.

Publisher Copyright:
© 2023 The Author(s)

    Research areas

  • Altruism, Charitable giving, Competition, Framed field experiment, Public goods, Social distance
  • Politics