Defaults and donations: evidence from a field experiment:

We study how website defaults affect consumer behavior in the domain of charitable giving. In a field experiment that was conducted on a large platform for making charitable donations over the web, we exogenously vary the default options in two distinct choice dimensions. The first pertains to the p...

Full description

Saved in:
Bibliographic Details
Main Authors: Altmann, Steffen 1977- (Author), Falk, Armin 1968- (Author), Heidhues, Paul (Author), Jayaraman, Rajshri 1974- (Author)
Format: Electronic eBook
Language:English
Published: [München] Center for Economic Studies & Ifo Institute December 2014
Series:CESifo working paper no. 5118 : Category 13: Behavioural economics
Online Access:Volltext
Summary:We study how website defaults affect consumer behavior in the domain of charitable giving. In a field experiment that was conducted on a large platform for making charitable donations over the web, we exogenously vary the default options in two distinct choice dimensions. The first pertains to the primary donation decision, namely, how much to contribute to the charitable cause. The second relates to an "add-on" decision of how much to contribute to supporting the online platform itself. We find a strong impact of defaults on individual behavior: in each of our treatments, the modal positive contributions in both choice dimensions invariably correspond to the specified default amounts. Defaults, nevertheless, have no impact on aggregate donations. This is because defaults in the donation domain induce some people to donate more and others to donate less than they otherwise would have. In contrast, higher defaults in the secondary choice dimension unambiguously induce higher contributions to the online platform.
Physical Description:1 Online-Ressource (42 Seiten) Diagramme, Illustrationen

There is no print copy available.

Interlibrary loan Place Request Caution: Not in THWS collection! Get full text