Social identity based preferences - Vietnam : effects of status seeking behavior on donations across communities

• Main Authors: Chong, Chean Yee, Chai, Katherine Kui Yi, Sakthivel Bhargavi
• Other Authors: Nadeeka Prashadani Withana
• Format: Final Year Project
• Language: English
• Published: 2013
• Subjects: DRNTU::Humanities
• Online Access: http://hdl.handle.net/10356/54969
• Institution: Nanyang Technological University

This paper focuses on the difference in donation patterns between individuals from different ethnic and income groups in Vietnam based on their group influenced status seeking behaviour. Using Maximum Likelihood Estimation, we obtain values for status seeking behaviour and estimate individuals' desirability to status-seek. Overall, we do observe differences in donation patterns across ethnicity and income groups. Groups displaying less desirability to status-seek might be influenced by pre-existing reference dependent beliefs regarding their endogenous lower status in society. This study also attempts to reconcile the effect group identity has on status seeking behaviour and thus ultimately on donations when they are made visible. With careful interpretation, the results of this paper can be generalised across communities around the world that encompass diverse members. By studying the different groups and their status seeking behaviours, sensible social development policies and charitable transfer schemes can be undertaken by the government and others in the future.