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IZA Discussion Paper No. 1318
September 2004
Charity Donations and the Euro Introduction: Some Quasi-Experimental Evidence on Money Illusion
Peter Kooreman, Riemer Faber, Heleen Hofmans

published in: Journal of Money, Credit, and Banking, 2004, 36 (6), 1121-1124

We compare the revenues of a house-to-house collection for a charity before and after the introduction of the euro in a ceteris paribus setting. We find strong evidence of money illusion, supplementing earlier econometric, experimental, and survey evidence on its existence.

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