This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Altruism, Exchange or Indirect Reciprocity: What do the Data on Family Transfers Show?

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Luc Arrondel
André Masson

Additional information is available for the following registered author(s):

Abstract

Most models of family transfers consider only two generations and focus on two motives : altruism and exchange. They also assume perfect substitution between inter vivos financial transfers and bequests to children. On the contrary, this survey of recent developments in the literature emphasizes the strong heterogeneity of downward financial transfers and motives for these transfers over the life-cycle. In face of the empirical failure of standard models in developed countries (these models may perform better in less developed countries or in old Europe), it also advocates "mixed" motivations of transfers, such as strategic altruism, models with endogenous heterogeneous behavioral regimes (Becker, Cigno), and especially indirect reciprocities between three generations, which lead to the replication of the same type of transfer from one generation to the next. Indirect reciprocities appear able to accommodate several empirical puzzles : they are thus compatible (against altruism) with small compensatory effects of transfers both between and within generations, and (against exchange) with the lack of parents' observable counterpart to financial or time support given by their children. They also predict "3rd generation effects" - transfers between parents and children being determined by grandparents' transfers or again grandchildren's characteristics - which appear corroborated by (mainly French or U.S.) available evidence. We thus face the challenge of innovative modelling of indirect reciprocities within the framework of individual forward-looking rationality.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help file. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.delta.ens.fr/abstracts/wp200218.pdf
File Format: application/pdf
File Function:
Download Restriction: no

Publisher Info
Paper provided by DELTA (Ecole normale supérieure) in its series DELTA Working Papers with number 2002-18.

Download reference. The following formats are available: HTML, plain text, BibTeX, RIS (EndNote), ReDIF
Length:
Date of creation: 2002
Date of revision:
Handle: RePEc:del:abcdef:2002-18

Contact details of provider:
Postal: 48 boulevard Jourdan - 75014 Paris
Phone: 01 43 13 63 00
Fax: 01 43 13 63 10
Email:
Web page: http://www.delta.ens.fr/
More information through EDIRC

For technical questions regarding this item, or to correct its listing, contact: ().

Related research
Keywords:

Other versions of this item:

This paper has been announced in the following NEP Reports: Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)
  1. Joseph Altonji & Ernesto Villanueva, 2007. "The Marginal Propensity to Spend on Adult Children," Advances in Economic Analysis & Policy, Berkeley Electronic Press, vol. 7(1), pages 1488-1488. [Downloadable!] (restricted)
    Other versions:
  2. Carmen Li & Javier Olivera, 2005. "Participation in the Peruvian reformed pension system," Economics Discussion Papers 592, University of Essex, Department of Economics. [Downloadable!]
  3. Ralitza Dimova & François-Charles Wolff, 2006. "Do Downward Private Transfers Enhance Maternal Labor Supply? Evidence from around Europe," IZA Discussion Papers 2469, Institute for the Study of Labor (IZA). [Downloadable!]
Statistics
Access and download statistics

Did you know? RePEc also has a blog.

This page was last updated on 2008-7-20.


This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.