How category reporting can improve fundraising

B-Tier
Journal: Journal of Economic Behavior and Organization
Year: 2013
Volume: 87
Issue: C
Pages: 73-90

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Many fundraisers report donations using categories such as more than £ 1000, more than £ 10,000, etc. One naturally wonders how we should categorise donations and whether categorising raises more than simple uncategorised reporting. To answer these questions, we employ a signalling game framework in which both the donor's donation and his benefits of being in a higher category are determined endogenously. We find that categorised reporting can always improve fundraising. Both high and low category thresholds can increase donations, with prior beliefs determining which is better. While categorising can lead to the existence of a low donation equilibrium, it is less problematic if signalling benefits are low.

Technical Details

RePEc Handle
repec:eee:jeborg:v:87:y:2013:i:c:p:73-90
Journal Field
Theory
Author Count
2
Added to Database
2026-01-25