Research On The Correlation Among Financial Information Disclosure, Organizational Characteristics And Donation Income

In the 21 st century, with the rapid development of social economy, the third sector, which is independent of government and the market, is quietly rising. And as an important part of the third sector, the commonwealth foundation is in constant development. However, the principal-agent relationship between foundations and donors make the information asymmetry problem. In this situation, information has become effective communication bridge between foundations and donors. Existing research shows that the disclosure of information has a significant influence on donation income. Then, as an important content of information disclosure and a sign of organization internal governance, the integrity, timeliness and availability of financial information disclosure will affect the donation income? On the other hand, the organization’s heterogeneity also has a significant impact on donation income. To clarify these issues for the future direction of the Commonwealth Foundation and policy development of information disclosure is particularly important.In this paper, by using normative study and empirical analysis, the author research on the above issues, including five chapters. The first chapter describes the background and significance of this paper, reviews the related literature of information disclosure and donation income, and points out the research ideas, research methods and research content. In the second chapter, the paper analyzes the hypothesis of rational economic man, the information asymmetry theory, the principal-agent theory and the stakeholder theory, and introduces the system background of the Commonwealth Foundation. Under the analysis of the situation of financial information disclosure, Organizational characteristics and donation income, the third chapter put forward the research hypothesises of this paper. The fourth chapter builds the model of donation income, and has the empirical test on it. Through the empirical analysis, the fifth chapter draws the conclusion and puts forward the corresponding policy recommendations.Main conclusions:(1) to promote the quality of financial information disclosure can significantly increase the foundation’s donation. The integrity and availability of financial information disclosure have a positive role to the donation income, and the timeliness has a significantly negative correlation with donation income of public-raising foundation;(2) the organization characteristics of Commonwealth Foundation can significantly affect the donation income. Nature, scale, geographical and sector of organization were significantly positively related to donation income. Public raised type, large-scale, national foundations and areas of activity related to the field of education are more likely to get charitable donations. But there is a negative correlation between the age of organization and donation income;(3) the increase in the price of the Commonwealth Foundation can significantly reduce the donation income, and the improvement of fundraising costs can promote the donation income corresponding improvement.In the last part of paper, based on the empirical research, the author put forward the corresponding proposals from the company level, external donor level, government and the third-party supervision level. We must strengthen the internal self-discipline mechanism of the Commonwealth Foundation and the external supervision; improve the system of financial information disclosure; unify the evaluation mechanism of third parties.