This paper provides novel evidence on the spillover effect of negative reputation shocks affecting a charity on donations to other charities. I identify negative reputation shocks to large charities by using sentiment analysis on the universe of news articles in the United Kingdom. I then link these large charities to all other charities by constructing measures of textual similarity between charities’ mission statements. I find that a negative reputation shock to a charity increases donations to other charities that share similar objectives. This finding is consistent with the charity market being a differentiated market in which donors care about charities’ missions and substitute across charities with similar objectives. 

This paper examines how flood exposure affects environmental behaviour. I rely on precise outlines of all floods in England from 2009 to 2022, and complement these flood incidents with precise flood risk modelling. Using a longitudinal survey on daily activities and data on individual donations, I show that individuals living in postcodes affected by a flood become more pro-environmental in their day-to-day activities, and they increase their support for environmental charities and the Green Party. The sense of guilt may be the driving force behind their greener behaviours: floods make these individuals view their actions as not environmentally friendly enough. In contrast, individuals are not responsive to floods that affect their close neighbours, even within a narrow range of 200 meters.