From Streets to Charities

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Stanley Logan
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1 IUPUI & Indianapolis Warburg Chapter of the American Council on Germany Universität Konstanz From Streets to Charities Explaining Altruistic Giving to the Poor In Europe Sebastian Koos

2 Cleaning up. 2

3 Organized donations (of money) to the poor across Europe (in%) Universität Konstanz 3 Source: EB 2009

4 Different types of helping the poor across Europe (in %, across 20 countries) Universität Konstanz 45% 40% 35% 30% 25% 20% 15% 10% 5% Source: EB % Organized volunteering Informal donation Organized donation Informal volunteering 4

5 Motivation o Motivation: Persistent poverty and need (refugee crisis) 5

6 Poverty across Europe 90% 80% 70% Income not sufficient to make ends meet Cannot afford basic goods Receiving social assistance (second. Axis) 90% 80% 70% 60% 60% 50% 50% 40% 40% 30% 30% 20% 20% 10% 10% 0% DK SE FI NL AT UK DE BE IR PT FR SI SK IT ES CZ PL RO GR HU 0% 6 Source: EB 2009

7 Motivation o Motivation: Persistent poverty and need (refugee crisis) Large country differences Research gap (Giving to poor, diff. types of giv.) o Research question: How and to what extent do European citizens help the poor? How can different patterns of organized and informal giving be explained across Europe for donations of money and volunteer work? 7

8 Giving to the poor o Altruistic behaviour: Aim: creating advantage for others Intended and voluntary behaviour No external reward (Piliavin and Charng 1990, Monroe 1994) 8

9 Interaction / Involvement Organized and informal giving of money and time Universität Konstanz Organized volunteering Informal volunteering time Organized donation Informal donation money organized informal Level of formalization 9

10 A multilevel framework Contexts Citizens Human Capital Social Capital Cultural Capital Organised Giving Informal Giving 10

11 Individual level o Homophily hypothesis: The rich give to culture, the less affluent give to the poor (rich versus poor) (Popielarz and McPherson 1995; Rooney et. Al 2007) o Status hypothesis: If the upper classes give to the poor, they do so in organized ways (organized versus informal) (Bourdieu 1984) o Resource specificity hypothesis: o You give the resource you have, but there is no spill 11 over (money versus time) (Feldman 2010)

12 Contexts o Which institutions matter? Welfare state (regimes) (Esping-Andersen 1990) 12

13 Contexts o Which institutions matter? Welfare state (regimes) (Esping-Andersen 1990) Social- democratic regime (Sweden) Conservative regime (Germany) Liberal regime (Great Britain) Latin-rim (Spain) Post-communist countries (Hungary) 13

14 Contexts o Which institutions matter? Welfare state (regimes) (Esping-Andersen 1990) Crowding out any help Non-profit sector (regimes) (Salamon & Anheier 1998) Crowding in organized help But: Large overlap in classification of countries Research thus far inconclusive o Revising the framework Statism versus societal authority Religious roots of giving to poor 14

15 Non-Profit-Sector size small big low high high low time Welfare-state spending low high low high high low money medium/ high statist low socialdemocratic medium/ low high medium medium liberal coporatist medium/ high medium/ high time money organized informal organized informal

16 Data & Method o Data Micro-level: Eurobarometer 72.1 (2009) 20 European countries; 17,668 respondents Macro-level: Eurostat, OECD, ESS, JHCNPSP Macro Controls: GDPpc, religiosity, religious heterogeneity, democracy, poverty lvl., education lvl., tax treatment o Method Logistic multilevel regression models Average marginal effects 16

17 Operationalization Dependent variables mean (SD) Survey question and answer options Do you ever help the poor by doing any of the following? Organized donation 0.40 (0.49) Donating money to charities or associations which help the poor Organized volunteering 0.10 (0.30) Working as a volunteer in charities or associations which help the poor Informal donation 0.30 (0.46) Giving poor people some money Informal volunteering 0.05 (0.22) Helping the poor find and access shelters or other appropriate services/ institutions 17

18 Different types of giving across Europe (in %) Universität Konstanz 18

19 Homophily hypothesis 0 Pr(Help) Financial Situation Organized_Donation Informal_Donation Organized_Volunteering Informal_Volunteering 19

20 Status and specificity hypothesis Universität Konstanz Organized donation Informal donation Organized volunteering Informal volunteering Education level Education level Primary education Primary education Secondary education Secondary education Tertiary education Tertiary education Rec. social assistance Rec. social assistance Cannot afford basic goods Cannot afford basic goods Average marginal effects Average marginal effects 20

21 Average marginal effects (AMEs) for donations (micro-level) Universität Konstanz 21

22 Average marginal effects (AMEs) for volunteering (micro-level) Universität Konstanz 22

23 AMEs for regime types 23

24 AMEs social expenditures 24

25 AMEs size of the non-profit sector 25

26 AMEs Protestantism 26

27 Summary Support for status and ressource specificity, not much support for homophily hypothesis No support for crowding out Crowding in for org. giving Religious heritage helps explaining inf. vers. org. giving No support for effect of religiosity or relig. heterogeneity The German situation 27

28 Germany and the refugee crisis 28

29 Reactions to the refugee crisis Approx. 1 Mio refugees arrived in Germany in 2015 Approx. 200 arson attacks on refugee asylums in Germany in

30 Refugees in Germany then and today Universität Konstanz Carnival Parade in Bavaria, 2016 Carnival parade in Lahr., End of 40ies Carnival Parade in Thuringia, 2016 Badenia s most frightful fright. The new refugee trek 30

31 Refugees (Flüchtlinge) in Germany then and today Universität Konstanz 31

32 Germany and the refugee crisis 32

33 Giving Volunteering Demonstrations Giving Volunteering Demonstrations Civic enagagment and the refugee crisis Universität Konstanz Past year Future Source: DIW 33

34 Employed Retired Student Homemaker Unemployed Universität Konstanz Who helps and how? Migrated Migrant parents Source: Karakayali & Kleist

35 Self organized Refugee Initiative Registered society Church group Alone Assosciation Refugee org. Universität Konstanz Who helps and how? Source: Karakayali & Kleist

36 Why do people help? Media coverage Emotions Source: Karakayali & Kleist

37 Future outlook 60 Refugees will have impact on economy cultural life better place to life Source: DIW negative neutral positive 37

38 Charity will not be enough But it is not a charity or gift for their [palatine refugees ] immediate subsistence, that will answer the planting families to live among you. Daniel Defoe 1809 on the Palatine Refugees 38

39 Solidarity 39

40 Perceptions of tensions between social groups across Europe (means in 2010) Universität Konstanz DK NL CY SE FI PT MT NIR IT BE AT UK ES IR LU PL BG CZ SK FR DE GR SI RO EE LV LT HU Tensions btw. Poor and Rich 40

41 AMEs for Financial situation and generalized trust Universität Konstanz 41

42 Results (descriptive) Datenquelle: Eurobarometer 72.1 (2009), eigenen Berechnungen. 42

Professor Heikki Ervasti University of Turku Department of Social Research heikki.ervasti@utu.fi 02-333 5706 040-511 7146

Professor Heikki Ervasti University of Turku Department of Social Research heikki.ervasti@utu.fi 02-333 5706 040-511 7146 Takis Venetoklis University of Turku Department of Social Research ta_vene@yahoo.com