Monday, July 19, 2010

Shared social responsibility - a model for charities?

Tyler Cowen describes an experiment that tested four different models of pricing:  fixed price, customer set price, fixed price with half to charity and customer set price with half to charity.  The economists found that by far the most lucrative option for both the business and the charity was the customer set price with half going to charity.  It has rather dramatic implications for fundraising of all sorts.

Just in case you're stuck helping your kids raise money for their scout troop:  out on the Openwater.

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