publication . Book . Other literature type . 2010

Is charity a homogeneous good?

Backus, Peter; Backus, Peter;
Open Access English
  • Published: 01 Jan 2010
  • Publisher: University of Warwick. Dept. of Economics
  • Country: United Kingdom
Abstract
In this paper I estimate income and price elasticities of donations to six different charitable causes to test the assumption that charity is a homogeneous good. In the US, charitable donations can be deducted from taxable income. This has long been recognized as producing a price, or taxprice, of giving equal to one minus the marginal tax rate faced by the donor. A substantial portion of the economic literature on giving has focused on estimating price and income elasticities of giving as the received wisdom suggests that a price elasticity greater than unity is indicative of the ‘treasury efficiency’ of the tax deductibility of charitable contributions, as the ...
Subjects
free text keywords: HB, Financial Economics
Related Organizations
80 references, page 1 of 6

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80 references, page 1 of 6
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publication . Book . Other literature type . 2010

Is charity a homogeneous good?

Backus, Peter; Backus, Peter;