Time vs. money - The supply of voluntary labor and charitable donations across Europe

•Analysis of the determinants of participation in charitable organizations•Focus on the relationship between time and money donations•Heterogeneity across different types of charitable organizations•Heterogeneity across different welfare regimes across Europe

In spite of its importance for civil society, we know relatively little about the way in which individuals spend their time and money in the charitable provision of goods and services. In this paper, we provide a comprehensive picture of the philanthropic behavior in Europe by analyzing both, the correlates of individuals' charitable cash donations and volunteer labor as well as their interdependence. Using data from the European Social Survey, we document a positive correlation between time and money contributions on the individual as well as on the country level. In addition, we find evidence that individuals substitute time donations by money donations as their time offered to the market increases. Moreover, analyzing philanthropic behavior on the disaggregated level reveals large differences in the determinants and the relationship of time and money donations in Europe - both across different types of voluntary organizations and across different welfare regimes.