Wednesday, March 16, 2011

Economics of Charity

I have my share of skepticism about altruism, like in my earlier post on not giving money to panhandlers. But perhaps some selflessness results in less work and more production:
The researchers videotaped people approaching and passing through the door of a university building. The tapes were analyzed for the relationships among several behaviors: Did the first person hold the door for a follower or followers and for how long? How did the likelihood of holding the door depend on the distance between the first person at the door and whomever followed? 
“The most important result,” Rosenbaum said, “was that when someone reached the door and two people followed, the first person at the door held the door longer than if only one person followed. The internal calculation on the part of the first arriver was, ‘My altruism will benefit more people, so I’ll hold the door longer.’” 
Another finding: the followers who noticed the door-holder hastened their steps, helping to “fulfill the implicit pact” between themselves and the opener “to keep their joint effort below the sum of their individual door-opening efforts,” the authors write.
This is a very simple example, but perhaps it could be a measure of whether a charity is worth it.

No comments:

Post a Comment

You are the reason why I do not write privately. I would love to hear your thoughts, whether you agree or not.