The Influence Of Financial Information Of Charity Foundations On Donations: An Empirical Test

Public officials have recently sought increased regulations of financial disclosure of charitable organizations as a means of improving charity transparency. One subject of this study is to examine whether it exists some important financial information affecting donations to charitable foundations. Further, this study also provides some empirical research evidence of financial information affecting donations to charitable foundations. The paper discusses the influence of different financial information of public and non-public offering charitable foundations on different type donations. The empirical analyses indicate that three main financial information of public offering charitable foundations has influence on both of individual donations and institution donations, which includes the financial information of charity projects, donation income and investment income. These three main financial information of donation income, total assets, and income concentration of non-public offering charitable foundations has effect on both of individual donations and institution donations. By comparison individual donations can be easier to be influenced by the above mentioned financial information. When an institution decides to donate to public offering charitable foundations, it will consider much more fundraising risk information than one person decides to donate to the public offering charitable foundations.