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Intergenerational Support and the Life-Cycle Incomes of Young Men and Their Parents: Human Capital Investments, Coresidence, and Intergenerational Financial Transfers

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Author Info
Rosenzweig, Mark R
Wolpin, Kenneth I
Abstract

This article examines the resource allocations of parents in the form of both shared residence with and financial transfers to their young adult sons. Based on an overlapping generations model incorporating a game between parents and adult children, estimates of the determinants of such transfers are obtained from the kinship-linked cohorts of the National Longitudinal Surveys. The estimates suggest that both types of parental assistance are as important as governmental transfers in supporting young men and are responsive to the current and anticipated earnings of their offspring, suggesting that young men cannot adequately smooth their consumption without parental help. Copyright 1993 by University of Chicago Press.

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Publisher Info
Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 11 (1993)
Issue (Month): 1 (January)
Pages: 84-112
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Handle: RePEc:ucp:jlabec:v:11:y:1993:i:1:p:84-112

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  1. Sascha O. Becker & Samuel Bentolila & Ana Fernandes & Andrea Ichino, 2005. "Youth Emancipation and Perceived Job Insecurity of Parents and Children," IZA Discussion Papers 1836, Institute for the Study of Labor (IZA). [Downloadable!]
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  2. Francesco C. Billari & Guido Tabellini, 2008. "Italians are Late: Does it Matter?," NBER Chapters, in: Demography and the Economy National Bureau of Economic Research, Inc. [Downloadable!]
  3. Alger, Ingela & Weibull, Jörgen, 2007. "The Fetters of the Sib: Weber Meets Darwin," Working Paper Series in Economics and Finance 682, Stockholm School of Economics. [Downloadable!]
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  4. Joseph Altonji & Ernesto Villanueva, 2003. "The Marginal Propensity to Spend on Adult Children," Economics Working Papers 667, Department of Economics and Business, Universitat Pompeu Fabra. [Downloadable!]
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  5. Becker, Sascha & Bentolila, Samuel & Fernandes, Ana & Ichino, Andrea, 2004. "Job Insecurity and Children's Emancipation," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
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  6. Becker, Sascha O. & Bentolila, Samuel & Fernandes, Ana & Ichino, Andrea, 2005. "Job Insecurity and Youth Emancipation: A Theoretical Approach," CEPR Discussion Papers 5339, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  7. Gianna Claudia Giannelli & Chiara Monfardini, 2001. "JOINT DECISIONS ON HOUSEHOLD MEMBERSHIP AND HUMAN CAPITAL ACCUMULATION OF YOUTHS The role of expected earnings and local markets," CHILD Working Papers wp02_01, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY. [Downloadable!]
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  8. Maria Perozek, 2005. "Escaping the Samaritan's Dilemma: implications of a dynamic model of altruistic intergenerational transfers," Finance and Economics Discussion Series 2005-67, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
  9. Manacorda, Marco & Moretti, Enrico, 2005. "Why Do Most Italian Young Men Live With Their Parents? Intergenerational Transfers and Household Structure," CEPR Discussion Papers 5116, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  10. Chiuri, Maria Concetta & Del Boca, Daniela, 2008. "Household Membership Decisions of Adult Children," IZA Discussion Papers 3546, Institute for the Study of Labor (IZA). [Downloadable!]
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