Motives and barriers to bequest giving

Much is known about motivations for giving to charities generally. However, much less has been identified about bequestors as a unique type of charitable donor. This paper explores the motives and barriers for charitable bequest giving. Hypotheses are drawn from the general philanthropic literature and tested using survey data from Australia, a nation distinguished by very high lifetime (inter vivos) giving but low estate (post mortem) giving. The results show that belief in the efficacy of charitable organizations is requisite for leaving a bequest, as the deceased donor has no control over the enactment of the gift. This effect is mediated by the perceived difficulty of making a charitable bequest, which forms an important barrier for leaving such a legacy. Having family whose financial needs are perceived as not taken care of and the perception of financial inability to make a difference also form barriers for bequest giving. The results confirm that bequests constitute a distinctive charitable behaviour, with unique motives and barriers compared to other types of inter vivos giving. While charitable behaviour in general is driven by altruistic attitudes and political and religious values, as well as social reputation, these factors do not affect charitable bequest making as expected. Surprisingly, we find a negative relationship between financial resources and the inclination to leave a charitable bequest. The article ends with suggestions for ways charities might connect more meaningfully with their bequestors or with donors who might consider bequeathing to them. Copyright © 2011 John Wiley & Sons, Ltd.     

Age differences in financial decision making: The benefits of more experience and less negative emotions

The emerging literature on aging and decision making posits that decision‐making competence changes with age, as a result of age differences in various cognitive and noncognitive individual‐differences characteristics. In a national life‐span sample from the United Kingdom (N = 926), we examined age differences in financial decisions, including performance measures of sunk cost and credit card repayment decisions, and self‐report measures of money management and financial decision outcomes. Participants also completed four individual‐differences characteristics that have been proposed as relevant to financial decision making, including two cognitive ones (numeracy and experience‐based knowledge) and two noncognitive ones (negative emotions about financial decisions). First, we examined how age was related to the four financial decision‐making measures and the four individual‐differences characteristics. Older age was correlated to better scores on each of the four financial decision‐making measures, more experience‐based knowledge, less negative emotions about financial decisions, whereas numeracy and motivation were not significantly correlated with age. Second, we found that considering both the two cognitive and the two noncognitive individual‐differences characteristics increased predictions of financial decision making, as compared with considering either alone. Third, we examined how these four individual‐differences characteristics contributed to age differences in financial decision making. Older adults' higher levels of experience‐based knowledge and lower levels of negative emotions seemed to especially benefit their financial decision making. We discuss implications for theories on aging and decision making, as well as for interventions targeting financial decisions.     

Consumer financial planning in the post-Covid-19 era: The role of emotional and economic vulnerability

The present research examines the relationship between emotional vulnerability, economic vulnerability, and intentions to improve financial planning for American households in the post-Covid-19 era. Using a survey of 504 household financial decision markers, we show that the effects of psychological fears and concerns experienced during the pandemic (i.e., emotional vulnerability) on post-pandemic household financial planning intentions are mediated by their perceived economic vulnerability. Specifically, for those who experience higher levels of emotional vulnerability, economic vulnerabilities are perceived to be harsher, further motivating them to raise their financial preparedness. Moreover, we identify an individual factor, personality trait of conscientiousness, as a boundary condition affecting this relationship. Specifically, individuals who are more conscientious tend to be more willing to learn from harsh pandemic experiences and are more willing to adapt in the long run.     

Consumer decision making in low‐income families: The case of conflict avoidance

• This paper explores consumer decision making in low‐income families. The focus is on the issue of conflict avoidance within the family when making consumption choices. Whereas previous studies have focused on conflict resolution strategies, this paper considers the ways in which families prevent conflict from arising in the first instance. These include individual control in purchasing and budgeting decisions, giving in to the requests of children and ensuring open communication about the family's financial situation. Importantly, the connections between the poverty narrative and the family decision making narrative are considered as the decision making strategies employed are not only aimed at avoiding conflict but also making experiences of poverty more manageable.

Copyright © 2009 John Wiley & Sons, Ltd.     

Better to Decide Together: Shared Consumer Decision Making,Perceived Power,and Relationship Satisfaction

Shared consumer decisions, particularly those made with a relationship partner, can be very different from decisions that are made alone. Across multiple studies, we investigate how shared consumer decision making affects perceptions of power and relationship satisfaction. We integrate two streams of research to create a novel theory about consumer decision making and perceived power. Specifically, we suggest that shared consumer decision making combines two necessary components of power—an individual's influence over and a partner's engagement in the decision—and that these combined components drive power perceptions. In other words, individuals who relinquish some control and make a decision with their partner, ironically, perceive having greater power than if they had made the decision alone. We further find that shared decision making and greater perceived power lead to greater satisfaction with the relationship in which the decisions are made. By focusing on consumer decision making within relationships, the current research contributes to the literatures on decision making, social influences in consumer behavior, close relationships, consumer well-being, and power.     

Religion and Charitable Financial Giving to Religious and Secular Causes: Does Political Ideology Matter?

Previous research on charitable giving has identified a significant relationship between political conservatism and greater financial giving to charitable causes. Yet that research has not adequately explored the important role of religion in that relationship, nor differences in financial giving targets (i.e., religious congregations, noncongregational religious organizations, and nonreligious organizations). Support for competing theories concerning political ideology, religious practice, and charitable financial giving is assessed using data from the Panel Study on American Ethnicity and Religion (PS‐ARE). For both religious and nonreligious giving, the effect of political ideology is completely mediated by participation in religious and civic practices. These findings support recent arguments on “practice theory” in cultural sociology and suggest that it is less the effect of ideology than of active participation in religious, political, and community organizations that explains Americans’ financial giving to religious and nonreligious organizations.     

Combining Emotion Appraisal Dimensions and Individual Differences to Understand Emotion Effects on Gift Giving

Multiple studies have revealed that emotion appraisal dimensions can predict the effects of emotions on decision making. For example, givers' intention to buy gifts depends on whether they feel positive or negative (valence) and on whether the feeling is caused by the givers themselves or by gift receivers (agency). However, there is little understanding of how the effects of such appraisal dimensions might depend on individual characteristics. The current research addresses this gap by studying the interaction effects of emotions and individual characteristics on gift giving. Study 1 demonstrates that emotion effects on gift‐giving behavior are explained by two things: the cause of those emotions (self or others, agency) and whether those emotions are positive or negative (valence). Moreover, four studies reveal that these effects depend on the givers' interpersonal orientation. For high interpersonally oriented givers, who care mostly about interpersonal relationships, emotion effects on gift giving depend on both valence and agency. In contrast, for low interpersonally oriented givers, who care mostly about their own gains, emotion effects on gift giving depend only on valence. Together, these findings suggest that although a focus on appraisal dimensions can be useful, individual characteristics should also be taken into account when trying to understand emotion effects on gift giving, in particular, and on decision making, in general. Copyright © 2016 John Wiley & Sons, Ltd.     

Income Expectations and Happiness: Evidence from British Panel Data

We analyze the impact of households’ subjective current and future financial measures on their well-being by using three waves of a longitudinal data set—Understanding Society -from the UK. We use a fixed-effects regression method to get rid of individual heterogeneity, and find that even after controlling for some demographic characteristics, including equivalent household income, subjective measures of current and future financial well-being are still significant correlates of life satisfaction in UK households. The same results hold for income satisfaction and mental health. Our main contribution however is showing that positive surprises in financial expectations decrease the subjective well-being of the household’s, and vice versa for negative surprises. This result shows that even though a household’s expectations of its future financial situation may not be accurate, any unexpected shock regarding household income could be significantly correlated with subjective well-being.     

Family decision at the turn of the century: has the changing structure of households impacted the family decision‐making process?

Evaluation of husbands' and wives' influence in family decision making is heavily reliant on studies conducted in the 1970s and 1980s. Since that time, profound changes have occurred in the American family. These changes may have affected the nature of decision making in the household. To examine the degree to which earlier findings are still generalisable today, hypotheses are developed and tested with a contemporary sample of 458 men and women. Results suggest that there have been significant changes in the roles assumed in the family decision‐making process, with the wife gaining more influence in all decision areas. The results indicate that marketers must re‐examine their marketing strategies for some products and/or services. Possible theoretical explanations are suggested to explain why these changes may have occurred. Copyright © 2002 Henry Stewart Publications.     

Coping with Age‐related Threats to Role Identity: Older Couples and the Management of Household Money

As more couples live together into old age, difficult decisions have to be made about money matters, including the financing of late‐life care. This paper analyses in‐depth qualitative data from six older heterosexual couples, part of a wider study concerning money management in later life. Research when these cohorts were younger found that the organisation of money management within households was specialised and highly gendered, leading to substantive imbalances of power and access to financial resources, while also being core to the formation and maintenance of gendered role identities and couple identities. We find in this study that if a partner's ability to fulfil a money management role identity is threatened by later‐life issues such as poor health and cognitive decline, the other partner may try to protect that aspect of the spouse's role identity, using various covert strategies. This might be done to shore up the spouse's self‐esteem in the face of such age‐related threats to role identity, to ‘keep up appearances’ to the outside world or to maintain their identity as a couple at a time of life when there may be multiple difficulties to deal with. These findings have implications for practice and policy in the realm of money and identity management in later life. Copyright © 2013 John Wiley & Sons, Ltd.     

The influence of number line estimation precision and numeracy on risky financial decision making

This study examined whether different aspects of mathematical proficiency influence one's ability to make adaptive financial decisions. “Numeracy” refers to the ability to process numerical and probabilistic information and is commonly reported as an important factor which contributes to financial decision‐making ability. The precision of mental number representation (MNR), measured with the number line estimation (NLE) task has been reported to be another critical factor. This study aimed to examine the contribution of these mathematical proficiencies while controlling for the influence of fluid intelligence, math anxiety and personality factors. In our decision‐making task, participants chose between two options offering probabilistic monetary gain or loss. Sensitivity to expected value was measured as an index for the ability to discriminate between optimal versus suboptimal options. Partial correlation and hierarchical regression analyses revealed that NLE precision better explained EV sensitivity compared to numeracy, after controlling for all covariates. These results suggest that individuals with more precise MNR are capable of making more rational financial decisions. We also propose that the measurement of “numeracy,” which is commonly used interchangeably with general mathematical proficiency, should include more diverse aspects of mathematical cognition including basic understanding of number magnitude.     

Financial prospect relativity: context effects in financial decision‐making under risk

We report three studies in which methodologies from psychophysics are adapted to investigate context effects on individual financial decision‐making under risk. The aim was to determine how the range and the rank of the options offered as saving amounts and levels of investment risk influence people's decisions about these variables. In the range manipulation, participants were presented with either a full range of choice options or a limited subset, while in the rank manipulation they were presented with a skewed set of feasible options. The results showed that choices are affected by the position of each option in the range and the rank of presented options, which suggests that judgments and choices are relative. Copyright © 2006 John Wiley & Sons, Ltd.     

Dispositional optimism,self‐framing and medical decision‐making

Self‐framing is an important but underinvestigated area in risk communication and behavioural decision‐making, especially in medical settings. The present study aimed to investigate the relationship among dispositional optimism, self‐frame and decision‐making. Participants (N = 500) responded to the Life Orientation Test‐Revised and self‐framing test of medical decision‐making problem. The participants whose scores were higher than the middle value were regarded as highly optimistic individuals. The rest were regarded as low optimistic individuals. The results showed that compared to the high dispositional optimism group, participants from the low dispositional optimism group showed a greater tendency to use negative vocabulary to construct their self‐frame, and tended to choose the radiation therapy with high treatment survival rate, but low 5‐year survival rate. Based on the current findings, it can be concluded that self‐framing effect still exists in medical situation and individual differences in dispositional optimism can influence the processing of information in a framed decision task, as well as risky decision‐making.     

Ceding and Succeeding: How the Altruistic Can Benefit from the Selfish in Joint Decisions

We examine how the interplay of two partners’ interpersonal orientations (selfish vs. altruistic) in a decision‐making dyad impacts the extent to which the joint decision matches each partners’ individual a priori preferences. Two experiments, in which we manipulate and measure interpersonal orientations, as well as examine real consumption decisions, demonstrate the benefit of mismatching interpersonal orientations (selfish‐altruistic) in dyadic decisions. Specifically, altruistic and selfish consumers reach joint decisions that better reflect their individual preferences when working with a partner who has the opposite interpersonal orientation (heterogeneous dyad) versus a matching one (homogeneous dyad). Initial evidence suggests that this effect occurs because homogeneous dyads are more prone to engage in negotiation (communication that involves departure from one's initial position to a mutually serving position) than heterogeneous dyads. This leads homogeneous dyads to focus more on equally preferred options than on their own most preferred options, which pushes them further down both partners’ preferences lists. This research contributes to the literature on joint decision making and has important implications for consumer well‐being.     

National identity and international giving: Irish adults' accounts of charitable behaviour

Research on helping behaviour has emphasized the importance of the group and particularly the nation in establishing the norms and boundaries of emergency helping. Less attention has been paid to the role of the national group in longer‐term routine helping such as charitable giving. This is particularly important given recent research on intergroup helping which points to the impact of power relations on willingness of national groups to give and receive aid. The present research examines people's accounts of charitable giving in their day‐to‐day lives in Ireland, a country which has recently undergone a transformation in economic development and international relations. Discursive analysis of five focus groups with 14 Irish university students illustrates how participants proactively invoke national identity to account for giving or withholding charity. Our findings demonstrate how Irish national identity can be strategically and flexibly used to manage participants' local moral identity in the light of Ireland's changing international relations and in particular how participants display concerns to be seen to intend ‘autonomous’ rather than ‘dependency’‐oriented helping. The findings suggest that both national identity and international relations provide resources for individuals negotiating the complex demands and concerns surrounding charitable giving. Copyright © 2009 John Wiley & Sons, Ltd.     

Generating consensus priority interval vectors for group decision‐making in the AHP

Many practical and important decision‐making problems are complicated by at least two factors: (1) the qualitative/subjective nature of some criteria often results in uncertainty in the individual ratings; and (2) group decision‐making is involved and some means of aggregating individual ratings is required. Traditionally, both individual and group priorities have been represented as point estimates, but this approach presents severe limitations for accommodating imprecision in the decision‐making process. This paper examines the group decision‐making problem in the context where priorities are represented as numeric intervals. A set of techniques that could be used at some of the phases of an analytic hierarchy process (AHP)‐based group decision‐making process, which has the objective of generating a ‘consensus’ priority that represents the group's opinion with regards to the relative importance of a set of N objects (e.g. criteria, alternatives), is presented. Copyright © 2000 John Wiley & Sons, Ltd.     

‘It's gotten a bit old,charity’: Young adults in New Zealand talk about poverty,charitable giving and aid appeals

An extensive body of literature exists on the phenomena of poverty, charitable giving and the effectiveness of aid appeals. To date psychological research has predominantly focused on individualistic models to explain people's understandings of poverty and their charitable giving practices. Based upon a social constructionist epistemology, this study investigates how understandings of aid appeals, poverty and charitable giving are discursively produced and constructed in relation to one another through an analysis of New Zealand young adults' talk about these issues. Data were collected from three focus group discussions among pre‐existing friendship groups comprising three male and nine female students aged between 18 and 25. A brief video clip of aid appeals was used to stimulate discussion on poverty and charitable giving. Analysis of these discussions revealed three discursive themes relating to the aid appeals: local versus international need, emotional arousal and insufficient information. Drawing upon these themes the participants constructed poverty as relative or extreme, and largely explained by educational deficits. They constructed charitable giving as solicited through aid appeals, as compromised through immunity to such appeals, and as diminished through positionings of self‐help and self‐responsibility. These discursive constructions were drawn on by participants to legitimate their own non‐donor position. Copyright © 2008 John Wiley & Sons, Ltd.     

Multiple Criteria Decision‐Making in Management Accounting and Control‐State of the Art and Research Perspectives Based on a Bibliometric Study

As an academic discipline as well as in practice, decision support is one of the most important functions of management accounting and control (MAC). Owing to decision settings' increasing complexity, suitable multiple criteria methods are becoming increasingly important for MAC. We, therefore, examine the extent to which certain multiple criteria decision‐making (MCDM) methods are used in the MAC context. In order to do so, we undertook an extensive bibliometric analysis of the management accounting field during the last three decades. The results indicate an increase in the importance of MCDM. Furthermore, recent research activities were classified into different areas of decision‐making within MAC since the majority of publications deal with the areas of strategic management, budgeting and performance management. More specifically, strategy and performance evaluation, strategic planning and the selection of alternatives are the most prominent MCDM applications. Our analysis reveals that the analytic hierarchy process (AHP) is the most popular analytical tool with which to support management in complex decision‐making situations. The results of the study prove that technical MAC literature does not cover a desirable range of MCDM applications and that the AHP, as well as the analytic network process (ANP) are of increasing importance in respect of the international scope of MAC. Therefore, the area of MCDM continues to be an active part of management science research and application, specifically of MAC. Copyright © 2011 John Wiley & Sons, Ltd.     

Giving,Fast and Slow: Reflection Increases Costly (but Not Uncostly) Charitable Giving

Are people intuitively generous or stingy? Does reflection make people more willing to give generous amounts to charity? Findings across the literature are mixed, with many studies finding no clear relationship between reflection and charitable giving (e.g., Hauge, Brekke, Johansson, Johansson‐Stenman, & Svedsäter, 2016 ; Tinghög et al., 2016 ), while others find that reflection negatively affects giving (e.g., Small, Loewenstein, & Slovic, 2007 ), and still others find that reflection is positively associated with giving (e.g., Lohse, Goeschl, & Diederich, 2014 ). I demonstrate that reflection consistently increases costly giving to charity. In Study 1, people were initially reluctant to give costly amounts of money to charity, but those who reflected about the decision were more willing to give. In Studies 2–3, I isolated the role of costly stakes by randomly assigning people to either an uncostly donation (Are people intuitively generous or stingy? Does reflection make people more willing to give generous amounts to charity? Findings across the literature are mixed, with many studies finding no clear relationship between reflection and charitable giving (e.g., Hauge, Brekke, Johansson, Johansson‐Stenman, & Svedsäter, 2016 ; Tinghög et al., 2016 ), while others find that reflection negatively affects giving (e.g., Small, Loewenstein, & Slovic, 2007 ), and still others find that reflection is positively associated with giving (e.g., Lohse, Goeschl, & Diederich, 2014 ). I demonstrate that reflection consistently increases costly giving to charity. In Study 1, people were initially reluctant to give costly amounts of money to charity, but those who reflected about the decision were more willing to give. In Studies 2–3, I isolated the role of costly stakes by randomly assigning people to either an uncostly donation ($0.40) or costly donation condition (e.g., $100), and randomly assigning them to decide under time pressure or after reflecting. Reflection increased their willingness to give costly amounts, but did not influence their willingness to give uncostly amounts. Similarly, the relationship between decision time and giving was positive when the stakes were costly but was relatively flat when the stakes were uncostly (Study 4). Copyright © 2017 John Wiley & Sons, Ltd.     

Purchasing decisions in non‐traditional households: the case of lesbian couples

• Extant research on family purchase behavior has focused almost exclusively on heterosexual couples. This exploratory study of non‐traditional households shows that lesbian couples are strongly egalitarian in decision behavior for a wide range of products and services. Perceptions about relative influence of each partner in these dyads are increasingly congruent as the decision process progresses. Findings demonstrate the inapplicability of two concepts long associated with family research, that is, power and relative resource theory, in lesbian couples. Instead, gender dynamics and equity play dominant roles in these relationships.

Copyright © 2007 John Wiley & Sons, Ltd.