CAP Philanthropic Psychology & Donor Motivation 2 — Questions and Answers
Question 1: In the context of charitable giving, effective altruism emphasizes:
- Giving to causes that are emotionally meaningful to the donor regardless of measurable impact
- Directing philanthropic resources to interventions with the highest measurable impact per dollar based on evidence (Correct answer)
- Prioritizing local community needs over global causes
- Using giving as a tool for building social networks and community standing
Correct answer: Directing philanthropic resources to interventions with the highest measurable impact per dollar based on evidence
Effective altruism advocates for directing giving to the interventions proven to do the most good per dollar, using data and analysis rather than emotional appeal or personal connection to determine giving priorities.
Organizations like GiveWell and Open Philanthropy embody EA principles, evaluating charities on cost-effectiveness and scalability. CAP curriculum presents effective altruism as one lens among several—noting that donors' values, relationships, and community context legitimately shape giving decisions beyond pure utilitarian calculation.
Question 2: Which of the following describes social proof as a behavioral economics concept applied in nonprofit fundraising?
- Legally verifying a nonprofit's 501(c)(3) status before soliciting donations
- Using evidence of others' giving behavior to encourage potential donors to contribute (Correct answer)
- Providing donors with proof of how their prior gifts were used
- Showing donors social media endorsements from celebrities
Correct answer: Using evidence of others' giving behavior to encourage potential donors to contribute
Social proof in fundraising means showing potential donors that others like them have already given, which increases giving likelihood by validating the decision.
Research by Robert Cialdini and others shows that matching gift programs, donor honor rolls, and statements like 92% of our board has given all leverage social proof. In major gift contexts, sharing that a respected peer made a leadership gift can catalyze other major donors. CAP advisors understand these behavioral dynamics to help nonprofits design effective cultivation and solicitation programs.
Question 3: A donor who insists on establishing a private foundation primarily to maintain control over grantmaking decisions is exhibiting which philanthropic motivation?
- Altruistic giving driven by pure concern for beneficiaries
- Agency motivation—the desire to act as a decision-maker and express personal values through direct charitable control (Correct answer)
- Obligatory giving driven by tax planning needs
- Reciprocal giving motivated by expectation of social recognition
Correct answer: Agency motivation—the desire to act as a decision-maker and express personal values through direct charitable control
Agency motivation reflects a donor's desire to be an active decision-maker in their philanthropy—to express values, make strategic choices, and maintain involvement—rather than delegating to a third party.
Schervish's framework distinguishes among various giving motivations: altruism, agency, identification, duty, and reciprocity. Donors motivated by agency often prefer private foundations or highly customized DAF arrangements because they value the process of grantmaking as much as the outcomes. CAP advisors use motivation analysis to recommend appropriate vehicles aligned with the client's philanthropic psychology.
Question 4: When a donor expresses philanthropy fatigue, which strategy does the CAP curriculum recommend?
- Encouraging the donor to reduce giving to sustainable levels and revisit values alignment (Correct answer)
- Suggesting a temporary moratorium on all charitable commitments
- Redirecting the donor toward only tax-advantaged giving vehicles
- Referring the donor to a therapist or counselor
Correct answer: Encouraging the donor to reduce giving to sustainable levels and revisit values alignment
CAP advisors address philanthropy fatigue by right-sizing giving to sustainable levels and reconnecting the donor with their core values and philanthropic vision through a comprehensive philanthropic planning process.
Philanthropy fatigue occurs when donors feel overwhelmed by requests, guilty about saying no, or disconnected from impact. CAP curriculum prescribes helping clients articulate a focused philanthropic strategy, establish clear giving priorities, and communicate those priorities gracefully to organizations they are not supporting. A written philanthropic mission statement empowers donors to give strategically rather than reactively.
Question 5: Research on gender differences in philanthropic behavior generally finds that women donors:
- Give smaller amounts but to more diverse causes than men
- Are more likely than men to give because of values alignment and relationship to cause, and to volunteer alongside their giving (Correct answer)
- Prioritize estate planning vehicles over outright gifts more than men
- Focus primarily on local causes while men focus on national and global issues
Correct answer: Are more likely than men to give because of values alignment and relationship to cause, and to volunteer alongside their giving
Studies by the Women's Philanthropy Institute at Indiana University consistently find that women are more values-driven and relationship-oriented in their giving than men, and more likely to combine giving with volunteering and board service.
The Women Give research series shows that women are more likely than men of similar wealth to donate, give larger percentages of income, seek peer networks for giving decisions, and engage holistically with organizations they support. These findings inform CAP advisors' gender-sensitive approaches to major gift cultivation and family philanthropy conversations, particularly as women control increasing proportions of household wealth.
Question 6: The concept of catalytic philanthropy as articulated by Mark Kramer differs from traditional philanthropy primarily in that it:
- Focuses exclusively on matching gifts to maximize donor impact
- Attempts to create systemic change by addressing root causes and engaging multiple stakeholders rather than simply funding service delivery (Correct answer)
- Limits giving to organizations with proven five-year track records
- Uses financial derivatives to amplify philanthropic capital
Correct answer: Attempts to create systemic change by addressing root causes and engaging multiple stakeholders rather than simply funding service delivery
Catalytic philanthropy aims to change systems and address root causes rather than funding symptoms—it involves convening stakeholders, funding advocacy, building infrastructure, and leveraging other resources.
Kramer and Porter's work on catalytic philanthropy argues that the highest-impact giving goes beyond funding nonprofits to actively shaping the ecosystem: funding research, advocacy, leadership development, and cross-sector collaboration. CAP advisors help high-capacity donors identify leverage points where their giving can catalyze change beyond what their dollars alone could achieve.
CAP Philanthropic Psychology & Donor Motivation 2
In the context of charitable giving, effective altruism emphasizes: