Intergenerational Transfers and Private Savings: An Experimental Study
This paper presents the results of an overlapping-generations experiment on the individual choice between transfers and savings. One dominant finding of the authors' experiment is that, if savings are possible, individuals choose to (gradually) opt out of the intergenerational transfer system. In this case, the average individual payoffs are lower but their distribution among individuals is less volatile. The willingness to give to previous generations does not disappear completely, however. Moreover, the degree of cohesion between successive generations does not diminish significantly after the introduction of the savings option. Coauthors are Jan H. M. Nelissen, Jan J. M. Potters, and Harrie A. A. Verbon. Copyright 1997 by WWZ and Helbing & Lichtenhahn Verlag AG
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Volume (Year): 50 (1997)
Issue (Month): 2 ()
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