Giving behavior of millionaires

P.M.A. Smeets; R.M.M.J. Bauer; U. Gneezy

doi:10.1073/pnas.1507949112

Giving behavior of millionaires

P.M.A. Smeets^*, R.M.M.J. Bauer, U. Gneezy

^*Corresponding author for this work

Finance

Research output: Contribution to journal › Article › Academic › peer-review

Abstract

This paper studies conditions influencing the generosity of wealthy people. We conduct incentivized experiments with individuals who have at least €1 million in their bank account. The results show that millionaires are more generous toward low-income individuals in a giving situation when the other participant has no power, than in a strategic setting, where the other participant can punish unfair behavior. Moreover, the level of giving by millionaires is higher than in any other previous study. Our findings have important implications for charities and financial institutions that deal with wealthy individuals.

Data source:
experiment with ABN AMRO clients

Original language	English
Pages (from-to)	10641-10644
Number of pages	4
Journal	Proceedings of the National Academy of Sciences of the United States of America
Volume	112
Issue number	34
DOIs	https://doi.org/10.1073/pnas.1507949112
Publication status	Published - 25 Aug 2015

Keywords

philanthropy
donations
experimental economics
dictator game
ultimatum game
SOCIAL-CLASS
BARGAINING EXPERIMENTS
HIDDEN COSTS
FAIRNESS
TRUSTWORTHINESS
FRAMEWORK
TRUST
GAMES
AGE

Access to Document

10.1073/pnas.1507949112

BBC News: Five ways to encourage generosity
Rob Bauer & Paul Smeets
15/09/16
1 item of Media coverage
Press/Media: Public Engagement › Popular

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title = "Giving behavior of millionaires",

abstract = "This paper studies conditions influencing the generosity of wealthy people. We conduct incentivized experiments with individuals who have at least €1 million in their bank account. The results show that millionaires are more generous toward low-income individuals in a giving situation when the other participant has no power, than in a strategic setting, where the other participant can punish unfair behavior. Moreover, the level of giving by millionaires is higher than in any other previous study. Our findings have important implications for charities and financial institutions that deal with wealthy individuals.Data source: experiment with ABN AMRO clients",

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author = "P.M.A. Smeets and R.M.M.J. Bauer and U. Gneezy",

year = "2015",

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AU - Gneezy, U.

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AB - This paper studies conditions influencing the generosity of wealthy people. We conduct incentivized experiments with individuals who have at least €1 million in their bank account. The results show that millionaires are more generous toward low-income individuals in a giving situation when the other participant has no power, than in a strategic setting, where the other participant can punish unfair behavior. Moreover, the level of giving by millionaires is higher than in any other previous study. Our findings have important implications for charities and financial institutions that deal with wealthy individuals.Data source: experiment with ABN AMRO clients

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KW - donations

KW - experimental economics

KW - dictator game

KW - ultimatum game

KW - SOCIAL-CLASS

KW - BARGAINING EXPERIMENTS

KW - HIDDEN COSTS

KW - FAIRNESS

KW - TRUSTWORTHINESS

KW - FRAMEWORK

KW - TRUST

KW - GAMES

KW - AGE

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M3 - Article

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JO - Proceedings of the National Academy of Sciences of the United States of America

JF - Proceedings of the National Academy of Sciences of the United States of America

IS - 34

ER -

Giving behavior of millionaires

Abstract

Keywords

Access to Document

Press/Media

BBC News: Five ways to encourage generosity

Cite this