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How Inheritances Relate to Wealth Distribution? Theoretical Reasoning and Empirical Evidence on the Basis of LWS Data

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  • Peter Mooslechner
  • Martin Schürz
  • Pirmin Fessler

Abstract

The aim of this paper is to study the analytical scope for cross-country comparisons of inheritances based on Luxembourg Wealth Study (LWS) data. In the first part of the paper, we review in a selective way the existing literature on inheritances and bequests. In the second part, we focus on cross country data issues and survey designs. In the third part, we show stylized results on inheritances in different countries, based on LWS data. These data reveal a rather similar picture: beneficiaries tend to have better education, higher income and own more wealth. In the last part of the paper, conclusions for data improvements in the future will be drawn.

Suggested Citation

  • Peter Mooslechner & Martin Schürz & Pirmin Fessler, 2008. "How Inheritances Relate to Wealth Distribution? Theoretical Reasoning and Empirical Evidence on the Basis of LWS Data," LWS Working papers 6, LIS Cross-National Data Center in Luxembourg.
  • Handle: RePEc:lis:lwswps:6
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    References listed on IDEAS

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    More about this item

    Keywords

    inheritances; bequests; inter vivos gifts; wealth; inequality;
    All these keywords.

    JEL classification:

    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access
    • D10 - Microeconomics - - Household Behavior - - - General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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