Assume that a charity hired you to improve their results on donations. You decide to mail letters

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Assume that a charity hired you to improve their results on donations. You decide to mail letters asking for donations. You use three different types of letters:
A. Control—standard letter asking for money.
B. “Once and Done”—standard letter but with a statement at the front noting that: “Make one gift now and we’ll never ask for another donation again!”
C. Soft “Once and Done”—an upfront statement of: “It only takes one gift to save a child’s life forever.”
The results are as follows:
Letter B (“Once and Done”) raises much more money than Letter A (Control): In most cases, at least double.
Letter C (Soft “Once and Done”) raises more money than Letter A.
Letter B raises about 50% more money that Letter C.
Of the concepts we have discussed in the chapter—social pressure, altruism, and herding—which do you think is most responsible for the success of treatment B?
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Microeconomics

ISBN: 978-1292079578

Global Edition 1st Edition

Authors: David Laibson, John List

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