Does education affect charitable giving?

Abstract

This paper investigates the causal effects of education on charitable giving. We exploit variation in exposure to China’s compulsory education laws across cohorts and regions to construct instruments for schooling. Both OLS and IV estimation results show positive effects of education on donations. Further evidence suggests that education enhances preferences for fairness and increases awareness of social security problems, increasing perception of the social benefits of giving. Our paper highlights charitable giving as a novel channel through which education generates social benefits.