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Bequests and family traditions: the case of nineteenth century France

Author

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  • Luc Arrondel

    (PSE - Paris-Jourdan Sciences Economiques - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Cyril Grange

    (CRM - Centre de Recherche Roland Mousnier Histoire et Civilisation - EPHE - École Pratique des Hautes Études - PSL - Université Paris sciences et lettres - UP4 - Université Paris-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

Like father, like son: is the bequest behavior of children "inherited" from that of their parents? Most economic models (altruistic, paternalistic or exchange models) postulate that bequest behavior does not depend per se on parents' behavior. Yet because of data limitations, few empirical studies have analyzed the link between bequests left and inheritances received. In this paper, we evaluate the effect of inheritance relative to lifetime income on the amount that individuals bequeath, in the case of France. This study uses original historical data including wealth genealogies covering the nineteenth and first half of the twentieth centuries for the Loire Inférieure département. Empirical evidence suggests that the propensity to bequeath is much greater for inheritance than for human resources: a deceased having inherited twice the average wealth leaves 35–60 % more to his own heirs that the average for his generation. In nineteenth century France, bequests are explained more by inheritance received than by personal savings per se.

Suggested Citation

  • Luc Arrondel & Cyril Grange, 2014. "Bequests and family traditions: the case of nineteenth century France," PSE - Labex "OSE-Ouvrir la Science Economique" halshs-01109018, HAL.
    • Handle: RePEc:hal:pseose:halshs-01109018
    DOI: 10.1007/s11150-013-9216-7
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    as
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    Cited by:

    1. Mengyuan Zhou, 2022. "Does the Source of Inheritance Matter in Bequest Attitudes? Evidence from Japan," Journal of Family and Economic Issues, Springer, vol. 43(4), pages 867-887, December.
    2. Sandra Ferrando-Latorre & Jorge Velilla & Raquel Ortega, 2019. "Intergenerational Transmission of Entrepreneurial Activity in Spanish Families," Journal of Family and Economic Issues, Springer, vol. 40(3), pages 390-407, September.
    3. Philipp Krug, 2022. "Optimal Estate Taxation: More (about) Heterogeneity across Dynasties," Working Papers 217, Bavarian Graduate Program in Economics (BGPE).
    4. Carlos Bethencourt & Lars Kunze, 2019. "Like Father, Like Son: Inheriting and Bequeathing," German Economic Review, Verein für Socialpolitik, vol. 20(2), pages 194-216, May.
    5. Mengyuan Zhou, 2019. "The Effect of the Source of Inheritance on Bequest Attitudes: Evidence from Japan," Keio-IES Discussion Paper Series 2019-018, Institute for Economics Studies, Keio University.
    6. Dale R. DeBoer & Edward C. Hoang, 2017. "Inheritances and Bequest Planning: Evidence from the Survey of Consumer Finances," Journal of Family and Economic Issues, Springer, vol. 38(1), pages 45-56, March.

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    More about this item

    Keywords

    Indirect reciprocities; Wealth transmission; Intergenerational transfers;
    All these keywords.

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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