Maja Adena Steffen Huck Narrow framing in charitable giving: Results from a two-period field experiment Discussion Paper SP II 2017–305 May 2017 Research Area Markets and Choice Research Unit Economics of Change Wissenschaftszentrum Berlin für Sozialforschung gGmbH Reichpietschufer 50 10785 Berlin Germany www.wzb.eu Copyright remains with the authors. Discussion papers of the WZB serve to disseminate the research results of work in progress prior to publication to encourage the exchange of ideas and academic debate. Inclusion of a paper in the discussion paper series does not constitute publication and should not limit publication in any other venue. The discussion papers published by the WZB represent the views of the respective author(s) and not of the institute as a whole. Affiliation of the authors: Maja Adena, WZB ([email protected]) Steffen Huck, WZB and University College London ([email protected]) Abstract Narrow framing in charitable giving: Results from a two-period field experiment * Do donors examine a single ask to donate in isolation or do they consider that other and future asks may come along? In the first year of our field experiment, we vary whether or not potential donors are informed that the ask will be repeated in the following year. This information has dramatic effects on the amount given: if present, donations fall by around 40%. This indicates strong support for the prevalence of narrow framing which benefits the fundraiser. In the second year of our experiment we show that previous non-donors behave as if expecting future calls, regardless of whether they have been explicitly told or have simply observed two subsequent asks, that is, they are de-biased through learning. Finally, we document that donors from year 1 tend to give the same amount again in year 2 which generates a long-run effect of initial narrow framing on donation amounts. JEL classifications: C93, D64, D12 Keywords: Charitable giving, natural field experiment, decision framing * We thank all those at the Dresden Opera House and actori for making this project possi- ble. We thank Arnim Falk, Judd B. Kessler, David Reiley, and participants of the BBE Workshop for helpful suggestions and comments. We are grateful to Jana Wittig and Rita Reischl for excellent research assistance, and many others for help in conducting the field experiment. This paper has been screened to ensure that no confidential information is revealed. 1. Introduction We do not know much about how donors make decisions over time. Do donors consider an ask in the context of other and possible future asks or do they engage in narrow framing and decide about single asks in isolation? Meer (2017) finds that fundraising activities increase total giving, that is, they do not appear to crowd out giving to similar causes, either contemporaneously or over time – suggesting the presence of narrow framing. However, Meer’s study is restricted to one internet platform (DonorsChoose), and it is not clear whether donors, as a result of more giving within the platform, reduce their giving in other contexts. While it may seem that a definitive answer to the question would require the observation of the whole universe of giving choices made by an individual, we take a different approach by studying how potential donors respond to different information about the intertemporal characteristics of a fundraising campaign in two field experiments that take place in subsequent years. In the first year we present clients of an opera house – for the first time ever – with a fundraising call for the opera’s youth activities and vary whether or not potential donors are told that the call will be repeated in the following year. In the second year, the call is repeated and those who were informed about repetition in year 1 are either reminded of the ongoing nature of the fundraising or not. Our three main findings are: (i) the presence of information about another call in year 2 reduces donations in year 1 by 40%, a result strongly indicative of narrow framing1 (with de-biasing occurring through the explicit information about year 2); (ii) first-time donors in year 2 (that is, non-donors in year 1) do not react to treatments, neither past nor present, indicating that in year 2 all potential donors have now identical beliefs about the intertemporal nature of the project (that is, de-biasing occurs not only through information but also through learning); and (iii) two-time donors tend to give the same amount in year 2 as in year 1 suggesting the presence of habit formation (and doubling the beneficial effect of narrow framing for the fundraiser). There are a number of other studies that relate to intertemporal aspects of giving. In a large-scale field experiment Kamdar et al. (2015) sent some potential donors a letter that offered to cease 1 Also known as narrow versus broad bracketing as introduced by Read, Loewenstein, and Rabin (1999). Also see, for example, Rabin and Weizsacker (2009). 2 future fundraising activities upon donating. The letter offered “Make one gift now and we’ll never ask for another donation again.” A control group received a standard letter. The authors found that the promise of never bothering the donor again doubled the response rate at a similar average donation. Cairns and Slonim (2011) found that churchgoers that knew that a 2nd collection would take place during the same Sunday Mass reduced their donations to 1st collection by 4.3%. The 2nd collection increased the total donations by 17.8%. Huck and Rasul (2010) studied the role of reminders for fundraising campaign and showed that a considerable fraction of non-responses to a fundraising campaign were due to transaction costs. If these vary over time, sending reminders is profitable for the fundraiser. Damgaard and Gravert (2016) added a caveat to this by showing that reminders can lead to increased unsubscriptions from mailing lists. Intertemporal considerations have been confirmed in studies on the tax price elasticity of donations based on long panels of administrative tax return data, mostly from the US. This literature (Adena 2014; Bakija and Heim 2011) usually finds the coefficients on past and future prices to be significantly different from zero indicating that (at least some) donors engage in intertemporal considerations. 2. The year 1 experiment 2.1. Design In order to have a clean slate, that is a true first period, we decided to conduct our experiment with an institution that had previously not engaged in this type of fundraising activities. This led to the choice of the Semper Opera in Dresden. At the end of November 2015 the opera house sent 35,705 letters to its customers asking them to support a social youth project that enhances cultural education and social integration (see the Appendix B for details of the mail-out). The recipients were randomly selected from the opera’s database of individuals who had attended at least one opera performance in the opera season 2014/2015 and lived in Germany, Austria or Switzerland. Recipients were randomly assigned to one of three treatment groups, such that there 3 were almost 12,000 subjects per treatment.2 Given that a number of customer characteristics were available from the database, we made sure that the treatment groups were sufficiently balanced. In Appendix A, Table A1 we present evidence that treatment groups do not differ significantly in terms of observables: the sum of money spent on opera tickets, the number of purchased tickets, the average price per ticket, the distance from the opera house, and dummy variables for season ticket holder, females, couples, college degree,3 PhD, professor title, living locally in Dresden, living in Germany, living in a big city, belonging to a small circle of benefactors, and online customer. In the control treatment (A) the recipients received a standard solicitation letter that asked them to donate money. The second (B) and third (C) treatment suggested that the fundraising will be repeated and that the present letter will be the first in an annual series. Specifically, the letters in treatments A and B differed only at seven places in the text where in treatment B the following words were injected: first, permanently, over the long-term, year by year, in the year 2015 (x2), this year (see the letter in the Appendix B). The third treatment contained an additional footnote informing about the possibility of unsubscribing from future fundraising mailings. All letters contained information that seed money of €15,000 had been provided by an anonymous donor. Beyond that, one additional page described the project in more detail, and this was equal in all treatments (see Appendix B for details). Notice that the project is not one-off but will be continued in the future. The money is collected to ensure financing in the coming year. Therefore, we hypothesized that if donors engaged in broad framing they would also anticipate in treatment A that future calls will occur, that is, broad framing should imply no differences between treatments A and B. In contrast, under narrow framing differences may occur. Specifically, one would conjecture that donors would reduce their donations in the presence of information about a substitute to giving today (namely, giving next year). Since our treatment C offers a possibility of unsubscription, it is somewhat similar to Kamdar et al. (2015). Therefore, we hypothesized that it might increase giving relative to treatment B. 2 We allocated exactly 11,905 individuals to each of the treatments. However, between treatment assignment and mailing ten subjects allocated to the treatments passed away or got otherwise erased from the database. 3 Academic degrees can only be taken into account if stated (truthfully or not). However, a standard (online) form in Germany contains an open space for title. This is often used (especially by the older generations) to enter any title including academic degrees. 4 2.2. Results Overall, 455 individuals donated, resulting in a response rate of 1.27%. The average donation was €53.60, yielding a return of 68 cents per mail-out, and a total income of €24,388. Table 1 summarizes the results by treatment. Table 1: Results Treatment A Number Numbe of r of recipients donatio ns (1) (2) 11,903 158 Response rate Average positive donation Median Mini Maximu mum m (3) (4) (5) (6) (7) .0133 (0.001) 0.013 (0.001) 0.012 (0.001) 0.647c 71.456 (10.467) 45.907 (3.779) 42.239 (4.936) 0.025a / 0.168b 0.014a / 0.002b 0.555a / 0.079b 37.5 5 1000 Return (8) No Unsubscrip unsubscript tions rate ions (in %) (9) (10) 0.949 10 [6] 0.084 (0.157) (0.000) B 11,902 150 25 5 300 0.579 7[3] 0.059 (0.067) (0.000) C 11,900 147 20 5 500 0.522 44[40] 0.370 (0.074) (0.001) A=B 0.243d 0.031a / 0.467a b 0.640 A=C 0.528c 0.074d 0.014a / 0.000a 0.513b B=C 0.862c 0.376d 0.570a / 0.000a 0.852b Notes: Mean, standard error in parentheses; p-value of a T-test, b MWU-test, c Test of proportions, d Median test. Square brackets indicate unsubscription from the fundraising only whereas the remaining subjects asked for erasing from the database which might have other explanations like death or no interest in the opera anymore. Treatment A generated much higher donations than the remaining treatments. The average donation in treatment A was €71.46 compared to only €45.91 in treatment B and €42.24 in treatment C (see also Figure 1, left graph). The differences between treatment A and the remaining treatments are significant at 5% level (T-tests).4 The median donation also decreases when moving from treatment A (€37.5) to treatment B (€25) and further to treatment C (€20). A nonparametric equality-of-medians test rejects the equality between treatment A and treatment C at 10%. Figure 2 presents histograms of donation amounts by categories in different treatments. The response rate was almost identical in all three treatments, ranging from 1.23% in treatment C to 1.32% in treatment A; these differences are not statistically significant. The combined effect 4 This is not, however, true for the MWU test that does not reject the equality between A and B (p=0.168) and rejects equality between B and C at 10% level. 5 rendered treatment A much more effective, with a return of 95 cents per mail-out. Treatment B generated 58 cents and treatment C yielded only 52 cents (see also Figure 1, right graph). The differences between treatment A and the remaining treatments are significant at 5% level (Ttests). Table A2 in the Appendix shows additionally regression results for positive donations and return after including control variables. The results are, as expected, very similar to those presented in the main text due to balanced characteristics. Figure 1: Average donation and return by treatment Return 0 20 .5 40 60 1 80 1.5 100 Average donation A B C A B C Notes: The spikes represent 95% confidence intervalls. The overall unsubscription rate was low at 0.17% but it was much (four- to sixfold) higher in treatment C, which highlighted this option explicitly in a footnote. This difference between treatment C and the remaining treatments is significant at p<0.0001. Only one person in treatment C donated (€20) and unsubscribed from the mailing list. In order to understand whether the same types of donors behave differently in treatments A versus B and C or whether different types self-select into donations depending on treatment, we compare the individual characteristics of donors between treatments in Table 2. Out of 16 comparisons only three are significant at a 10% level (both in t-tests and MWU tests). Adjusting for multiple hypotheses testing we conclude that donors do not differ on observables. 6 Figure 2: Shares of donations in different categories by treatment B C 125 24 50 49 75 74 10 - 9 0- 9 12 12 5 4 15 -14 0 9 17 -17 5 4 20 -19 0 9 22 -22 O 5-2 4 ve 4 r2 9 50 125 24 50 49 7 74 10 5-9 0- 9 12 12 5 4 15 -14 0 9 17 -17 5 4 20 -19 0 9 22 -22 O 5-2 4 ve 4 r2 9 50 125 24 50 49 7 74 10 5-9 0- 9 12 12 5 4 15 -14 0 9 17 -17 5 4 20 -19 0 9 22 -22 O 5-2 4 ve 4 r2 9 50 0 .2 .4 .6 A Table 2: Donors characteristics by treatments Treat ment N (1) A 158 B 150 C 147 Total spent on tickets (2) No. of tickets (3) Average price (4) Internet customer (5) female (6) titled (7) Dresden (8) Distance in km (9) 324.139 29.486 282.507 25.023 309.347 24.966 0.285 6.797 .611 6.18 .686 6.797 6.510 0.501 57.557 2.666 58.774 2.794 61.624 3.064 0.753 .304 .037 .213 .034 .272 .037 0.071 .468 .040 .54 .041 .476 .041 0.210 .133 .027 .067 .020 .075 .022 0.054 .430 .040 .367 .040 .401 .041 0.255 140.506 14.297 148.372 14.423 152.108 15.130 0.699 A=B T-test p-value 0.629 0.426 0.707 0.071 0.210 0.054 0.255 0.402 A=C MWU test pvalue T-test p-value 0.704 0.735 0.316 0.543 0.891 0.099 0.609 0.577 MWU test pvalue 0.640 0.974 0.376 0.542 0.891 0.099 0.608 0.606 Notes: Mean, standard error in parentheses 7 Overall, we find strong evidence for narrow framing in treatment A and successful de-biasing (of the same type of donors) in treatment B. Offering recipients the opt-out possibility, i.e. the option to turn a two-period problem into one-period one, does neither increase the giving amount nor the response rate relative to B. 3. The year 2 experiment 3.1. Design The fundraising campaign was repeated a year later on a smaller scale. Specifically, using the known characteristics of the opera goers we predicted a donation value for each individual. The twenty-five percent with the highest imputed donation plus all previous donors were included in the new campaign. The final prediction was based on an OLS regression of log of donations (plus one) on several available characteristics.5 The independent variables were chosen using a lasso selection procedure. We also tested other regression methods like tobit or probit, or more advanced specifications, including higher order polynomials, but no alternative performed obviously better than our chosen OLS in predicting actual donors to be in the top 25% of the previous sample (around 50%). As a result, we took the top 3000 individuals from the past treatment A plus any remaining actual donors and again allocated them to treatment A (now denoted A-A). We pooled individuals from the previous treatments B and C,6 selected the top 25%, and added remaining previous donors. Then we ordered individuals by predicted donation value, and within each pair, we randomly selected one individual to receive treatment A (now denoted BC-A), and the other to receive treatment B (now denoted BC-B).7 In total, 6,149 individuals received a neutral donation ask (treatment A-A and BC-A) and 3,072 received a letter with extra words (revival: second, permanently, over the long term, year by year, in the year 2016, this year, in the year 2016) that suggested the regular character of the project and fundraising (treatment BC-B). Figure 3 presents the treatment assignment procedure described above. All letters additionally informed recipients about seed money of €10,000. 5 The characteristics included: number of opera tickets, total spent, average per ticket, female , couple, subscription holder, academic, doctor title, professor title, living in Dresden, Germany, big city, dummy internet buyer and benefactor circle. 6 This was based on the observation that recipients in B and C did not differ in their donative choices (see Table 1). 7 We did not include AB treatment since we were restricted to only a small sample, and did not want to lose power. 8 Figure 3: Randomization procedure in the second period First year non-donors Predicted donation AA AA BA BB CA BA BB CB Second year treatment CA CB First year donors First year treatment A B C Additionally, we selected a smaller sample of customers with the highest spending on tickets that were not included in the fundraising campaign last year. Treatments A and B were assigned to around 2000 customers each (now denoted 0-A and 0-B). Our key question is now whether the previous stark effect of narrow framing persists, that is, whether A-A generates higher donations than BC-B and BC-A. Additionally, we can examine whether a narrow framing can re-emerge even though donors were previously fully aware of the intertemporal nature of the project, that is, whether BC-A outperforms BC-B. Finally, we can study for previous donors whether they make fresh choices or anchor their decisions at last year’s amounts. 3.2. Results Out of 9,221 repeated mail receivers 367 donated on average €58.15 yielding a return per mailout of €2.31 and a response rate of 4%. The total amount raised was €21,341.2, that is, 87% of the year 1 amount at a quarter of the costs and with a lower lead gift. While the high response rate 9 among donors (36.5%) is not surprising, the year 1 non-donors still responded at 2.3% —almost double of the total rate in the previous year speaking for the validity of our selection model. Table 3 presents raw results—the averages by treatment—subdivided into previous donors and previous non-donors. In the year 1 non-donor group, we observe no significant differences in giving behavior by treatment, neither in terms of donation amounts nor in terms of the response rate. In the group of year 1 donors we observe a number of significant differences between treatments. However, as we will show further below these differences are completely explained by the persistence in donation choices, and other than that there are no differences between the treatments in year 2. In the raw data, the average positive donation is significantly lower in the BC-A group than in the A-A group. In both groups, the average donation is almost identical to the average donation in the previous year, see Table 1. The average positive donation in the BCB group is higher than in the previous year and the difference to BC-A is at the margin of being statistically significant. The response rate is lowest in the BC-A group (30%) compared to A-A and BC-B group ( 39% in both) but these differences are not significant. As a result, the return from BC-A group is approximately half of that from the A-A and BC-B groups (significant at 5% with, both, t-tests and MWU tests). Figure 4 and 5 presents additionally histograms of donations by treatment, donation category, and year 1 donor status. Some previous studies (see, for example, Meier 2007 or Adena, Huck, and Rasul 2014) document strong persistence of donation amounts over time. We document such persistence also in our case, see Figure 6. The correlation between first and second year donations is 0.78 (for those who donated twice). To control for such persistence, we show in Table 4 results from regressions of year 2 donations (positive donations only in columns I and II and including zeros in column III and IV) on treatment dummies and past donations. The result of this exercise is following. After controlling for past donations, the coefficients on the treatment dummies decrease and turn insignificant, and R2 increases considerably. This means that other than the persistence in the donative level over time, there is no difference in giving by past donors in the second year regardless of second year broad versus narrow framing.8 8 This shows that our balancing procedure based on predicted donations performed poorly in terms of balancing on actual characteristics. 10 Table 3: Second year results Mean, standard error in parentheses Treatment Number of recipients (1) Number of donations (2) Response rate (3) Average positive donation (4) Median Minimu Maximum m Return (5) (6) (7) (8) 25 5 500 30 5 500 25 5 500 Panel A: past non-donors A-A 2,920 68 A-A=BC-A 0.023 (0.003) 0.026 (0.003) 0.020 (0.003) 0.522c 48.559 (8.774) 53.753 (8.130) 55.948 (10.857) 0.664a / 0.222b 0.390d 1.131 (0.244) 1.391 (0.262) 1.115 (0.259) 0.452a / 0.511b BC-A 2,937 76 BC-B 2,912 58 BC-A =BC-B 0.128c 0.869a / 0.518b 0.241d 0.367a / 0.126b Panel B: past donors A-A 157 57 A-A=BC-A 0.389 (0.039) 0.304 (0.040) 0.394 (0.039) 0.130c 76.721 (9.615) 44.805 (7.716) 64.356 (10.153) 0.019a / 0.005b BC-A 135 39 BC-B 160 59 50 10 400 0.058d 29.809 (4.773) 13.608 (2.927) 26.2 (4.741) 0.006a / 0.032b 25 1 250 50 5 500 BC-A =BC-B 0.107c 0.125a / 0.092b 0.016d 0.031a / 0.050b Notes: p-values of a T-test, b MWU-test, c Test of proportions, d Median test Table 4: Results from linear regressions after controlling for past donations Treatment BC-A Treatment BC-B Donation 2015 Observations R2 Donation 2016 -31.916** -6.263 (14.530) (9.420) -10.182 2.096 (12.924) (8.285) 0.736*** (0.048) 165 165 0.029 0.607 ** -16.202 (6.278) -3.609 (6.009) 452 0.016 Return 2016 -9.172 (5.925) 1.227 (5.641) 0.218*** (0.027) 452 0.144 Standard errors in parentheses; * p < 0.10, ** p < 0.05, *** p < 0.01 11 A-A BC-A 125 24 50 49 75 74 10 - 9 0 12 -129 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 125 24 50 49 75 74 10 - 9 0- 9 12 12 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 125 24 50 49 75 74 10 - 9 0- 9 12 12 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 0 .5 BC-A 125 24 50 49 75 74 10 - 9 0 12 -129 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 .5 Fraction A-A 125 24 50 49 75 74 10 - 9 0- 9 12 12 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 125 24 50 49 75 74 10 - 9 0- 9 12 12 5 15 -144 0 17 -179 5 20 -194 0 22 -229 O 5-2 4 ve 4 r2 9 50 0 Fraction Figure 4: Number of donations in different categories by past non-donors by treatment BC-B contribution amount Figure 5: Number of donations in different categories by past donors by treatment BC-B contribution amount 12 1 2 3 4 5 6 Figure 6: Donation value choices over time 1 2 A-A 3 4 log donation2015 BC-A BC-B 5 6 45° line Notes: Only repeated donors. Separate graphs by treatment in the Appendix, Figure A2. This result documents an important behavioral effect. It shows that all year 2 recipients correctly updated their beliefs about the repeated nature of the fundraising campaign, including those in treatment A-A who were never informed about the repetition. They simply learn from the repetition in year 2 that future calls are likely, and, thus switch from narrow to broad framing. Neither those in the BC-A group are affected by the year 2 treatment. In the second year, we also tried to replicate the year 1 treatment differences but with a considerably smaller sample of customers that had not received an ask in year 1. The average donation is €152.5 in 0-A treatment and €64 in 0-B treatment at equal response rates of 2.4% (see Table 5 and Figure A1 in the Appendix for the histogram of donations by treatment). While the direction of the observed difference goes in the direction predicted by narrow versus broad 13 framing, the difference is not statistically significant at conventional levels with a t-test pvalue<0.20.9 Table 5: Second year results – new donation ask recipients Mean, standard error in parentheses Treatment Number of recipients Response rate (1) Number of donations (2) 0-A 2011 50 0-B 2014 49 0-A=0-B Median (3) Average positive donation (4) (5) (6) (7) (8) .025 (.003) .024 (.003) 0.913c 152.5 (62.566) 64.020 (12.537) 0.172a / 0.794b 42.5 10 2500 30 2 500 3.792 (1.629) 1.558 (.374) 0.181a /0.910b 0.794d Minimu Maximum m Return Notes: p-values of a T-test, b MWU-test, c Test of proportions, d Median test. 4. Conclusion We document the role of narrow framing in charitable giving. Recipients of a fundraising call are asked to give for a cause that by its very nature will also require funding in future years (a permanent educational program rather than emergency aid after a natural disaster). We find that donors who are explicitly informed about the ongoing nature of the fundraising campaign give much smaller amounts than donors who are not. Notice that giving larger amounts to a one-off campaign is predicted by standard household theory as long as the charitable good in year 1 is a substitute to the charitable good in year 2 and absent transaction costs. While the first condition is likely to be satisfied in our setting (see Adena and Huck 2017), the transaction costs are likely to be positive (see Huck and Rasul 2010). With large transaction costs of giving donors should prefer to make one large donation instead of two. Such reasoning would, however, predict equal average positive donation in year 1 in all treatments and lower or equal response rate in year 1 by those who were in treatment B compared to A. This is not the case. 9 With the given sample size and under an assumption that the year 1 effect on return among top quarter clients is the true one, the power is only 0.29. 14 We find no evidence for economically meaningful annoyance costs (Damgaard and Gravert 2016). In treatment C we make recipients aware of an easy option to unsubscribe from future calls but only very few recipients make use of this option and there is no “getting over with it once and for all” as in Kamdar et al. (2015). It appears that opera goers do not mind very much to receive mail from the opera even if it is for a fundraising campaign for which they do not give. Incidentally, this is in line with Huck and Rasul’s (2010) observation that printing a slogan on the envelope that indicates that the envelope contains an ask has no effect on giving in the opera context. Our results speak to the literature on whether new donations can be generated through fundraising or whether any fundraising campaign just moves money from one cause to another. Our results suggest (as the results of Meer 2017) that fundraising can generate additional income – through the behavioral channel of narrow framing. Moreover, thanks to persistence in giving, framing an initial fundraising campaign as “one off” also increases donations in future campaigns. References: Adena, Maja. 2014. ‘Tax-Price Elasticity of Charitable Donations - Evidence from the German Taxpayer Panel’. WZB Discussion Paper. Adena, Maja, and Steffen Huck. 2017. ‘Matching Donations without Crowding out? Some Theoretical Considerations, a Field, and a Lab Experiment’. 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Kluwer Academic Publishers: 171–97. doi:10.1023/A:1007879411489. 16 Appendix A: Additional Figures and Tables Table A1: Results of randomization A Total Number Average value of of price abo female couple academic PhD Profe- tickets tickets mean 215,019 3,893 65,017 0,107 0,496 0,002 0,045 0,040 0,006 Std. 2,006 0,043 0,302 0,003 0,005 0,000 0,002 0,002 0,001 mean 213,359 3,849 65,179 0,107 0,496 0,001 0,045 0,040 Std. 2,037 0,040 0,298 0,003 0,005 0,000 0,002 mean 213,451 3,878 65,209 0,108 0,496 0,001 Std. 1,846 0,040 0,302 0,003 0,005 0,000 Dresden Ger- Big Distance Online many city in km customer 0,227 0,964 0,416 207,486 0,526 0,004 0,002 0,005 1,718 0,005 0,006 0,227 0,964 0,416 208,374 0,526 0,002 0,001 0,004 0,002 0,005 1,722 0,005 0,045 0,040 0,005 0,227 0,963 0,416 209,036 0,526 0,002 0,002 0,001 0,004 0,002 0,005 1,718 0,005 ssor error B error C error t-test A=B 0,561 0,457 0,704 0,968 0,933 0,369 0,976 0,975 1,000 0,960 0,944 0,975 0,715 0,963 p- A=C 0,565 0,799 0,653 0,918 0,985 0,736 0,956 0,998 0,872 0,989 0,890 0,992 0,524 0,988 value B=C 0,973 0,617 0,943 0,950 0,918 0,573 0,932 0,976 0,872 0,971 0,835 0,983 0,785 0,951 17 Table A2: Regression results Treatment B Treatment C -25.549** (10.117) -29.217*** (10.170) Number of tickets in the past season (logarithm) Average price of tickets in the past season Internet customer Positive donation -24.167** (9.930) -31.290*** (9.938) 13.544*** (5.068) -20.843** (9.895) -29.499*** (9.868) 14.339*** (5.382) 0.615*** (0.125) 9.475 (9.718) Female dummy Couple dummy Titled dummy Dresden dummy Distance in km 71.456*** (7.060) Observations 455 Adjusted R2 0.017 Standard errors in parentheses * p < 0.10, ** p < 0.05, *** p < 0.01 Constant 13.440 (14.454) 455 0.065 Return -0.369** (0.152) -0.428*** (0.152) 0.666*** (0.103) -0.368** (0.152) -0.429*** (0.152) 0.585*** (0.108) 0.551*** (0.129) 0.009*** (0.002) 0.008*** (0.002) 7.495 (9.982) -5.113 (8.581) 44.697 (61.128) 36.532** (14.474) 14.936 (11.308) 0.085*** (0.032) -4.569 (18.348) 455 0.086 -0.452*** (0.133) -0.443*** (0.139) -0.219* (0.127) 3.506** (1.696) 1.311*** (0.309) 0.430** (0.192) 0.001** (0.000) -0.240 (0.277) 35705 0.003 -0.370** (0.152) -0.427*** (0.152) 0.949*** (0.108) 35705 0.000 -0.101 (0.234) 35705 0.002 The treatment assignment ensures that the top 3000 groups are similar between treatments. However, given the sophisticated treatment assignment procedure, in Table A3 we present averages after controlling for individual characteristics. Specifically, we run linear regressions that mimic columns (3), (4), and (8) in Table 3 (for example, column (1) in Table A3 is an analogue to column (3) in Table 3). It shows the coefficients from a regression of a dummy response respectively continuous variables donation and return on all treatments and by donor status, excluding a constant. Every second column repeats the previous one but adds controls (demeaned such that the resulting coefficients on treatments still represent averages). The key message of this table is that the means almost do not change at all when controlling for individual characteristics. That suggests again that the treatment groups are well balanced. 18 Table A3: Results from linear regressions with controls A-A non-donors BC-A non-donors BC-B non-donors A-A donors BC-A donors BC-B donors Controls Observations R2 response response donation donation return (1) (2) (3) (4) (5) (6) 0.023 (0.003) 0.026 (0.003) 0.020 (0.003) 0.389 (0.014) 0.304 (0.016) 0.394 (0.014) 0.023 (0.003) 0.026 (0.003) 0.019 (0.003) 0.397 (0.015) 0.312 (0.016) 0.403 (0.014) yes 9221 0.186 48.559 (8.926) 53.753 (8.443) 55.948 (9.665) 76.721 (9.424) 44.805 (11.495) 66.540 (9.273) 53.026 (8.512) 49.639 (8.233) 54.033 (9.371) 71.808 (9.195) 47.438 (11.574) 61.271 (8.919) yes 367 0.485 1.131 (0.331) 1.391 (0.330) 1.114 (0.332) 29.809 (1.428) 13.607 (1.540) 26.200 (1.415) 1.105 (0.330) 1.365 (0.329) 1.097 (0.331) 30.144 (1.438) 14.059 (1.547) 26.759 (1.421) yes 9221 0.097 9221 0.179 367 0.396 9221 0.089 return Standard errors in parentheses, individual characteristics include number of opera tickets, total spent, average per ticket, female , couple, subscription holder, academic, doctor title, professor title, living in Dresden, Germany, big city, dummy internet buyer and benefactor circle dummy. 19 1 1 1 2 2 2 4 1 A-A 2 3 4 5 log donation2015 6 45° line 4 1 BC-A 3 4 log donation 2016 3 log donation 2016 3 log donation 2016 5 5 5 6 6 6 12 25 4 -4 50 9 -7 75 4 10 -99 012 124 515 149 017 174 520 199 022 224 5 O -24 ve 9 r2 50 12 25 4 -4 50 9 -7 75 4 10 -99 012 124 515 149 017 174 520 199 022 224 5 O -24 ve 9 r2 50 0 .1 .2 Fraction .3 .4 .5 Figure A1: Giving in year 2 by nonparticipants in year 1 0-A 0-B contribution amount Figure A2: Donation value choices over time 2 3 4 5 log donation2015 6 45° line 1 2 3 4 5 log donation2015 BC-B 6 45° line 20 Appendix B: Mailing details Mail-out: original 2015 The additional words in B and C are in square brackets, the additional footnote in C is in curled brackets. The letter contained an additional page with information about the project that was equal across treatments and therefore is not presented here. Dresden, 18.11.2015 Sehr geehrter Herr , [Premiere: es ist der Semperoper Jungen Szene ein großes Anliegen, jungen Menschen mit altersgerechten Angeboten die faszinierende Welt des Musiktheaters und die damit verbundenen Chancen [dauerhaft] zu eröffnen. Insbesondere mit den theaterpädagogischen Veranstaltungen fühlen wir uns den Themen Nachwuchsförderung, Nachhaltigkeit und gesellschaftliche Verantwortung verpflichtet und möchten [langfristig] wichtige Workshops und Projekte mit dem Schwerpunkt Inklusion und Integration anbieten. Erster] Spendenaufruf Semperoper Junge Szene Ihre Kundennummer 10123456 Intendant Staatsoper (kommissarisch) & Kaufmännischer Geschäftsführer XXX T 0351 XXX F 0351 XXX [email protected] Da für derartige Projekte kaum eigene Mittel aus dem Haushaltsetat zur Verfügung stehen, ist die Semperoper Junge Szene hierbei [jedes Jahr aufs Neue] überwiegend auf Ihre Spende angewiesen. Helfen auch Sie mit Ihrer Spende [im Jahr 2015]! Dadurch tragen Sie entscheidend zur Entwicklung von musikalischer Bildung und Begeisterung für Oper und Musik junger Menschen bei, unabhängig von deren sozialem Hintergrund. Darüber hinaus unterstützen Sie die Stärkung sozialer Kompetenzen vieler Kinder aus verschiedenen gesellschaftlichen Milieus und Nationen. Wir freuen uns, Ihnen mitteilen zu können, dass ein Geber, der anonym bleiben möchte, bereits gewonnen werden konnte. Er unterstützt die Junge Szene [in diesem Jahr] mit 15.000 Euro. Als Dankeschön verlosen wir unter allen Spendern einen Besuch der Vorstellung »Lohengrin« mit Anna Netrebko im Mai 2016 für zwei Personen in der Intendantenloge. Herzlichen Dank für Ihre Unterstützung [im Jahr 2015]! Mit freundlichen Grüßen XXX Intendant Staatsoper (kommissarisch) und Kaufmännischer Geschäftsführer {P.S. Falls Sie in der Zukunft keine weiteren Spendenanfragen der Semperoper erhalten möchten, teilen Sie uns dies bitte unter Angabe Ihrer Kundennummer mit: [email protected] oder 0351 XXX} 21 Mail-out: Translation 2015 The additional words in B and C are in square brackets, the additional footnote in C is in curled brackets. The letter contained an additional page with information about the project that was equal across treatments and therefore is not presented here. Dear Sir /Madam, Dresden, 18.11.2015 [Premiere: First] call for donations Semperoper Junge Szene Your customer number 10123456 Director Staatsoper (temporarily) and Commercial manager XXX T 0351 XXX F 0351 XXX [email protected] The Semperoper Junge Szene attaches great importance to [permanently] opening up the fascinating world of music theatre and the associated opportunities to young people with age-group-specific projects. Especially with our educational theatre events, we feel committed to the topics of youth development, sustainability and societal responsibility and aim at offering important workshops and projects with a focus on inclusion and integration [over the long term]. Due to the lack of resources from our own budget for projects of this kind, the Semperoper Junge Szene relies [year by year] heavily on your donations. Help us by donating [in the year 2015]! In doing so, you will contribute decisively to the future development of musical education and enthusiasm for the opera and music among young people, irrespective of their social background. In addition, you will help many children from different social milieus and nations to strengthen their social skills of. We are pleased to inform you that we have managed to attract a donor who wishes to remain anonymous for the project. He is supporting the Junge Szene to the tune of 15,000 Euro [this year]. As a thank you for taking part, all donors will be entered into a draw and the winner will get 2 tickets for the show “Lohengrin” with Anna Netrebko in May 2016 for 2 persons in the director’s loge. Many thanks for your support [in the year 2015]! Sincerely XXX Director Staatsoper (temporarily) and Commercial manager {P.S. In case you do not wish to receive any further donation inquiries for the Semperoper in the future, please inform us, stating your customer number: [email protected] oder 0351 XXX} 22 Mail-out: original 2016 The additional words in B are in square brackets. The letter contained an additional page with information about the project that was equal across treatments and therefore is not presented here. Dresden, 29.11.2016 Sehr geehrter [Wiederaufnahme: Zweiter] Spendenaufruf die Semperoper engagiert sich seit vielen Jahren durch Projekte der Jungen Szene auch für die Förderung von Kindern und Jugendlichen aus einem gesellschaftlich benachteiligten Umfeld, um ihnen [dauerhaft] die spannende Welt der Oper erlebbar und zugänglich zu machen. Ihre Kundennummer 10123456 Intendant Staatsoper (kommissarisch) & Kaufmännischer Geschäftsführer XXXX T 0351 XXX F 0351 XXX [email protected] Da wir gesellschaftliche Verantwortung sehr ernst nehmen, wollen wir künftig noch einen Schritt weiter gehen, indem wir Kindern aus diesen benachteiligten Milieus gemeinsam mit ihren Familien [langfristig] den Zugang zu Vorstellungen in der Semperoper ermöglichen wollen. Da uns für derartige Vorhaben keine eigenen Mittel zur Verfügung stehen, ist die Semperoper hierbei [jedes Jahr aufs Neue] auf Ihre Spende angewiesen. Helfen auch Sie mit Ihrer Spende [im Jahr 2016]! Ihre Spende leistet einen Beitrag zur Verminderung von sozialer Ungleichheit. Sie ermöglicht den Kindern aus benachteiligten Milieus und ihren Familien den Zugang zu kultureller Bildung. Sie trägt dazu bei, musikalische Neugier und die Begeisterung für Oper, Musik und Tanz zu wecken. Wir freuen uns, Ihnen mitteilen zu können, dass ein Geber, der anonym bleiben möchte, bereits gewonnen werden konnte. Sein Beitrag in Höhe von EUR 10.000 deckt bereits [in diesem Jahr] die Verwaltungskosten, so dass jede Spende den Kindern direkt zugute kommen wird. Als Dankeschön verlosen wir unter allen Spendern einen Vorstellungsbesuch für zwei Personen in meiner Loge sowie 5 DVDs (Carl Maria von Weber »Der Freischütz«, Christian Thielemann, 2015). Herzlichen Dank für Ihre Unterstützung! Mit freundlichen Grüßen XXX Intendant Staatsoper (kommissarisch) und Kaufmännischer Geschäftsführer 23 Mail-out: Translation 2016 The additional words in B are in square brackets. The letter contained an additional page with information about the project that was equal across treatments and therefore is not presented here. Dresden, 29.11.2016 Dear Sir / Madam, [renewal: second] call for donations The Semperoper has for many years been committed, through projects of the Jungen Szene, to support children and young people from a socially disadvantaged context, to [permanently] enable them to experience and access the exciting world of opera. Your customer number 10123456 Director Staatsoper(temporarily) and Commercial manager XXXX T 0351 XXX F 0351 XXX [email protected] As we are taking social responsibility very seriously, we want to go even further by giving children from these disadvantaged milieus together with their families [longterm] access to performances at the Semperoper. Since we have no funds of our own available for such projects, the Semperoper is dependent on your donation [every year]. Please help with your donation [in 2016]! Your donation contributes to the reduction of social inequality. It allows children from disadvantaged backgrounds and their families access to cultural education. It helps to evoke musical curiosity and the enthusiasm for opera, music and dance. We are pleased to inform you, that a donor, who wants to remain anonymous, could already be won. His contribution of EUR 10,000 already covers the administrative costs [in this year], so that every donation will directly benefit the children. As a thank you, we raffle an opera visit for two people in my box as well as 5 DVDs among all donors (Carl Maria von Weber "Der Freischütz", Christian Thielemann, 2015). Thank you for your support! Sincerely XXX Director Staatsoper (temporarily) and Commercial manager 24 Flyer 2015 original: Die Junge Szene der Semperoper Dresden Das Angebot der Semperoper Jungen Szene thematisiert in der aktuellen und der kommenden Spielzeit das Spannungsfeld zwischen Fremdbestimmung und Selbstbehauptung, zwischen Egoismus und sozialer Verantwortung. Das »Cochlear-Ferienprojekt« für schwerhörige und hörende Kinder und der Integrationsworkshop »Telling Stories - Fremd sein! - Wie gehe ich mit Fremden um?« sind ein wichtiger Bestandteil der Integrations- und Inklusionsarbeit der Semperoper Jungen Szene. Mit den theater-, tanz- und gesangspädagogischen Projekten, wie dem »Spielclub für Kinder« und der Neugründung eines »szenischen Jugendchores« sollen die Formate zum Thema kulturelle Bildung und soziale Integration weiter entwickelt werden. Kinder und Jugendliche sind eingeladen, sich in die aufregende Welt des Musiktheaters zu stürzen. Denn die Erfahrung zeigt: Sie tun dies mit Begeisterung. Viele Kinder und Jugendliche nehmen jede Spielzeit am vielseitigen Angebot des Programms der Semperoper Jungen Szene teil, das gezielt auf die Bedürfnisse junger Menschen eingeht. Das Team der Jungen Szene arbeitet dabei eng mit Schulkalssen alle Schulformen zusammen. Die große Resonanz zeigt, wie wichtig es ist, die Phantasie und Kreativität junger Menschen zu fördern und ihre Neugier auf die Welt der Oper zu unterstützen. Wir sind auf Ihre Mithilfe angewiesen, um dieses Angebot fortsetzen und erweitern zu können. Helfen auch Sie und ermöglichen Sie weiteren Kindern die Teilnahme an den Projekten der Jungen Szene! Gewinnen Sie einen Besuch der Vorstellung »Lohengrin« mit Anna Netrebko im Mai 2016 für 2 Personen in der Intendantenloge. Ihre Spende Falls Sie nicht den beigefügten Überweisungsträger verwenden, überweisen Sie Ihre Spende bitte auf folgendes Konto: Empfänger: IBAN: BIC: Stichwort: Sächsische Staatsoper Dresden XXX Sparkasse XXX XXX XXX Spende Semperoper Junge Szene: Ihre Kundennummer Spendenquittung Sie erhalten eine Spendenquittung ab einer Spende von € 50,-. Falls diese an eine andere Adresse als im Briefkopf angegeben gesendet werden soll, wenden Sie sich bitte an das Development-Büro unter Tel. XXX. Flyer 2015 translation: The Junge Szene of the Semperoper Dresden The offer of the Semperoper Junge Szene (Semeroper young scene) focuses, in the current and coming season, on the central theme of tension between heteronomy and self-determination, between selfishness and social responsibility. The »Cochlear-Ferienprojekt« (Cochlear holiday project) for children with and without hearing impairments and the integrationional workshop »Telling Stories - Be Different! - How do I deal with strangers? "Are an important part of the integration and inclusion work of the Semperoper Junge Szene. Theater, dance and vocal pedagogic projects, such as the "Spielclub für Kinder" (Children's Play Club) and the founding of a new “scenic youth choir“, will further develop our formats of cultural education and social integration. Children and young people are invited to plunge into the exciting world of the musical theater. Because experience shows: that they do so with enthusiasm. Every season, many children and adolescents take part in the varied program of the Semperoper Junge Szene, which focuses specifically on the needs of young people. The team of the Junge Szene cooperates closely with school classes of all school forms. The great response shows how important it is to promote the imagination and creativity of young people and to support their curiosity in the world of opera. To continue and expand this offer we require your support. Please Help and enable more children to benefit from the participation in the projects by the Jungen Szene! You can win a visit of the performance »Lohengrin« with Anna Netrebko on Mai 2016 Mai for two people in the box of the creative director. Your donation Unless you are using the attached transfer form, please transfer your donation to the following account: Empfänger: IBAN: BIC: Stichwort: Sächsische Staatsoper Dresden XXXXSparkasse XXXXXX XXXX Spende Semperoper Junge Szene: Ihre Kundennummer Donation receipt You will be send a receipt for every donation larger than € 50,- In case you need the receipt to be send to a different address than in he letterhead please contact Development-Office at Tel. XXXX 26 Flyer 2016 original: Gesellschaftliche Verantwortung und Nachhaltigkeit Operninszenierungen eröffnen neue Gedankenräume, machen Unsagbares sicht- und hörbar und laden den Zuschauer jeden Abend ein, einen neuen Kosmos mit allen Sinnen zu erleben. Kinder haben die Gabe in diese Welten ganz unbedarft einzutauchen und mit den Figuren auf der Bühne die Reise durch die Handlung mitzuerleben. Nach und nach lernen sie die Sprache des Theaters, die Sprache der Bilder und der Bewegung kennen. Wer als Kind die Möglichkeit hatte, diese Welten kennenzulernen, behält sein Leben lang die dadurch geweckte Neugier, Kreativität und Kritikfähigkeit. Leider ist der Zugang zum Musiktheater bis heute abhängig vom sozialen Umfeld der Kinder. Wer nicht das Glück hat, mit der Schule in die Oper zu gehen, dem bleibt häufig die faszinierende Welt des Musiktheaters verwehrt. Dabei könnte der gemeinsame Vorstellungsbesuch der Familie ein Höhepunkt im Familienleben sein und Eltern und Kinder dazu anregen sich über das erlebte auszutauschen. Oper sollte unabhängig von sozialer Herkunft und Haushalteinkommen ein Gut für Alle sein, eine Möglichkeit im Kreise der Familie seine Freizeit zu gestalten. Aus diesem Grund möchten wir insbesondere Kindern und deren Familien aus benachteiligen sozialen Milieus den Zugang zu den Vorstellungen der Semperoper ermöglichen. Der familienübergreifende Aspekt ist wichtig, um Schwellenängste abzubauen, sozialer Ungerechtigkeit entgegen zu wirken und die Begeisterung für das Musiktheater umfassend und nachhaltig in der Familie zu etablieren. Helfen auch Sie und ermöglichen Sie Kindern und ihren Familien den Besuch einer Opern- oder Ballettvorstellung in der Semperoper! Gewinnen Sie einen Opernbesuch in der Intendantenloge für 2 Personen oder eine von 5 DVDs der 2015 in der Semperoper aufgezeichneten Inszenierung von »Der Freischütz« (Musikalische Leitung: Christian Thielemann). Ihre Spende Falls Sie nicht den beigefügten Überweisungsträger verwenden, überweisen Sie Ihre Spende bitte auf folgendes Konto: Empfänger: IBAN: BIC: Stichwort: Sächsische Staatsoper Dresden XXX Sparkasse XXX XXXX XXXX Spende Familienförderung + Ihre Kundennummer Spendenquittung Gerne stellen wir Ihnen ab einer Spende von € 200,- eine Spendenquittung aus (bis zu dieser Spendenhöhe ist der Überweisungs- oder Einzahlungsbeleg ausreichend). Falls diese an eine andere Adresse als im Briefkopf angegeben gesendet werden soll, wenden Sie sich bitte an das Development-Büro unter Tel. XXX. 27 Flyer 2016 translation: Social responsibility and sustainability Opera productions open up new mental spheres, making the unspeakable visible and audible, and invite the audience, every night, to experience a new cosmos with all their senses. Children have the ability to fully immerse themselves in these worlds and experience the story with the characters by parttaking in their journeys on stage. Gradually they learn the language of theater, the language of pictures and movement. Those who had the opportunity to get to know these worlds as a child, will for the rest of their life benefit from the curiosity, creativity and critical abilities generated through these experiences. Unfortunately, even today, the access to musical theater still depends on the social environment of the children. Those not lucky enough to visit the Opera with their school, will be denied the fascinating world of musical theater. Notwithstanding a collective visit of an opera performance with the family could be a highlight in family life and encourage parents and children to exchange their experiences. Opera should be a good for all, independent of social origin and household income, it should be a possible option when spending recreational time with the family. For this reason, we particularly want to enable children and their families from disadvantaged social backgrounds to take part in the performances of the Semperoper. Including the children’s families is an important aspect in overcoming inhibitions, relieving social injustice and establishing a lasting enthusiasm for the musical theater in the family. Please help to facilitate the visit of an Opera or Ballet performance in the Semperoper for children and their families! You can win an Opera visit in the box of the artistic director for 2 people or one of 5 DVDs of the in 2015 in the Semperoper recorded production »Der Freischütz« (Artistic director: Christian Thielemann). Your donation Unless you are using the attached transfer form, please transfer your donation to the following account: Empfänger: Sächsische Staatsoper Dresden XXXX Sparkasse IBAN: xxxxxx BIC: XXX Stichwort: Spende Familienförderung + Ihre Kundennummer Donation receipt We are happy to send you a receipt for every donation larger than € 200,- (For donations smaller than this amount the transfer receipt is usually sufficient.) In case you need the receipt to be send to a different address than in the letterhead please contact Development-Office at Tel. XXXX 28 Discussion Papers of the Research Area Markets and Choice 2017 Research Unit: Market Behavior Dorothea Kübler, Julia Schmid, Robert Stüber Be a man or become a nurse: Comparing gender discrimination by employers across a wide variety of professions SP II 2017-201 Dietmar Fehr, Julia Schmid Exclusion in the all-pay auction: An experimental investigation SPII 2017-202 Research Unit: Economics of Change Jannis Engel, Nora Szech The political economy of multilateral aid funds SP II 2017-301 Maja Adena, Jeyhun Alizade, Frauke Bohner, Julian Harke, Fabio Mesners Quality certifications for nonprofits, charitable giving, and donor’s trust: experimental evidence SP II 2017-302 Terri Kneeland Mechanism design with level-k types: Theory and an application to bilateral trade SP II 2017-303 Dominik Duell, Justin Mattias Valasek Social identity and political polarization: Evidence on the impact of identity on partisan voting trade SP II 2017-304 Maja Adena, Steffen Huck Narrow framing in charitable giving: Results from a two-period field experiment SP II 2017-305 All discussion papers are downloadable: http://www.wzb.eu/en/publications/discussion-papers/markets-and-choice
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