Tax-Price Elasticities of Charitable Giving and Selection of Declaration: Panel Study of South Korea

共同研究者:後藤剛志(千葉大学)・ 金栄禄(兵庫県立大学)


In this study, we estimate the tax-price elasticity of charitable giving and address the bias caused by the existence of unreported donations and self-selection to the declaration of giving. To eliminate this bias, we propose a simple estimation method based on intention-to-treat analysis. Using our proposed method and the exogenous variation in tax incentives in the 2014 South Korean tax reform, we estimate the price elasticity of donations to be -1.6 for the intensive margin and -2.6 for the extensive margin, which are more elastic than the standard results that do not account for unreported donations and self-selection. The result implies that the 2014 tax reform reduced the total amount of giving and that tax incentives should be expanded.


  • ディスカッションペーパー
    • [更新版] HIAS Discussion Paper Series (一橋大学社会科学高等研究院), 2023年9月. [本文リンク]
    • Discussion Papers in Economics and Business (大阪大学経済学研究科), 2023年3月. [本文リンク]