Giving in Europe launched at Spring of Philanthropy

The total amount of philanthropic contributions in Europe is estimated at EUR 87.5 billion annually. This is a lower bound estimate from 20 European countries that contributed to Giving in Europe, the first study measuring philanthropy in Europe. The study was officially presented in Brussels at the King Baudouin Foundation organized event “Spring of European Philanthropy” on May 12th. Mr. Herman van Rompuy, former President of the European Council received the first copy. According Mr. van Rompuy ‘there would be no Europe without philanthropy’.   Giving in Europe sheds light on authentic European philanthropic performance and serves as a tool to measure the prosocial surplus in European societies. It is an initial attempt to map philanthropy in Europe and presents a first overall estimation of the total philanthropic giving by households, bequests, foundations, corporations and charity lotteries. The study shows that households (including bequests) are the main source of philanthropic contributions (53%, EUR 46 billion), followed by corporations (25%, EUR 21.7 billion), foundations (19%, EUR 16 billion) and lotteries (3%, EUR 3 billion). ERNOP President Prof. Theo Schuyt states that ‘Philanthopy is not an American , but a European invention’. Giving in Europe contributes to reframing philanthropy in the mindset of many policymakers and politicians in Europe. Despite the promising signs of an emerging philanthropy sector in Europe, it is still a phenomenon and a sector that is not very well understood. Besides the anecdotal glimpses from national researchers and the great work that has been carried out on the subdomains of philanthropy, we know little about its actual scope, size and forms in Europe. For a better discussion and assessment of the (potential) role that philanthropy can play in solving societal problems, a clear picture of the size and scope of philanthropy is needed. Giving in Europe further aims to stimulate researchers, policy makers and philanthropy professionals in fostering research on philanthropy and to inspire to exchange knowledge and information. This pioneering study has been carried out by the European Research Network on Philanthropy (ERNOP), an association that was founded in January 2008 by collaborating philanthropy researchers in Europe. ERNOP’s mission is to advance, coordinate and promote excellence in philanthropic research in Europe. A two-pager with the most important numbers and an Executive Summary are available as download. Giving in Europe. The State of Research on Giving in 20 European Countries. Barry Hoolwerf & Theo Schuyt (eds.). Lenthe Publishers. Amsterdam, 2017. ISBN 9789075458862 For more information on the study contact Barry Hoolwerf: info@ernop.euSuccessfully Encoded / l.k.hoolwerf@vu.nlSuccessfully Encoded /...

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Treasury efficiency of the charitable deduction in the Netherlands | René Bekkers and Elly Mariani

This paper investigates the effects of the charitable deduction in the income tax in the Netherlands on donations. The deduction was introduced in 1952 to ‘relieve the financial needs of charitable organizations’ and has remained essentially unchanged. Within certain boundaries, donations to registered charities can be deducted from taxable income. Because of the progressive tax system, the price of giving decreases with income. We seek to answer the question to what extent the tax deduction actually reaches the objective of stimulating donations. Using data from the Income Panel Study, we show trends in the use and the volume of the deduction between 1977 and 2005. Using data from the Giving in the Netherlands Panel Survey, we estimate the change in the amount donated in response to changes in the use of the deduction. We find that changes in the use of the deduction are followed by changes in the amount donated. However, we also find that changes in the use of the deduction are also preceded by changes in total giving. The endogeneity of the deduction combined with a lack of data on income before taxes makes it difficult to quantify the treasury efficiency of the deduction. Working Paper Bekkers, R. & Mariani, E. (2009). Treasury efficiency of the charitable deduction in the Netherlands. Paper presented at the Economics of Charitable Giving conference, Mannheim, October 8-9, 2009. Click here to read and download the...

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Limits of Social Influence on Giving: Who is Affected When and Why? | René Bekkers

In this paper  evidence is presented from tax records and three large scale field experiments testing social influence effects on giving in the Netherlands. The experiments are conducted among university alumni (n=6,672) and among large random samples of the Dutch population (n=1,474; n=1,765). Also tax records are used to test peer effects among a very large random sample (n=172,947) of citizens in the Netherlands. The experiments show evidence for positive but weak social information effects on small donations. Social information effects are stronger in conditions in which people are actively imagining what others are giving. The tax records show that amounts donated by high level donors (exceeding 1% of income) are strongly sensitive to changes in the tax price as well as to changes in giving by other high level donors in the area of residence. Working paper Bekkers, R. (2012). The Limits of Social Influence on Giving. Paper presented at the workshop “Social influences and charitable giving”, Centre for Market and Public Organisation, University of Bristol, February 24, 2012. Click here to read and download the...

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Regional Differences in Philanthropy | René Bekkers

This paper explores regional differences in philanthropy, narrowly defined here as the contribution of money to nonprofit organizations.1 Across the globe, the practices and traditions in philanthropy differ strongly from one place to another. There are striking differences not only in the size and nature of philanthropy between nations but also in the methods used to contribute to nonprofit organizations. Data from an extensive Eurobarometer survey from 2004 on civic engagement that will be discussed in more detail in this paper, show that the proportion of the population reporting donations to at least one out of 14 categories of nonprofit organizations varies from 20% in Spain to almost 80% in the Netherlands. Recent evidence from the Gallup World Poll (CAF, 2011) shows that the proportion of the population reporting donations to charity in the course of a calendar year varies from 79% in the UK to 7% in Greece. The figures for Spain and the Netherlands, the lowest and highest scoring countries in the Eurobarometer survey, are 24% and 75%, respectively. In Part 1 of this paper hypotheses on regional differences in philanthropy are examined and the empirical evidence available on these hypotheses is reviewed.  In Part 2 the methodological problems involved in testing hypotheses on regional differences are examined.   Working paper Bekkers, R. (2012). Regional Differences in Philanthropy. Paper presented at the 41st Arnova Conference, Indianapolis, November 15, 2012. The first part of this paper is forthcoming in Routledge Companion to Philanthropy, edited by J. Harrow, T. Jung & S. Phillips. Routledge. Click here to read and download the...

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