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For Love or Reward? Characterising Preferences for Giving to Parents in an Experimental Setting

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  • Maria Porter
  • Abigail Adams

Abstract

This paper examines the motivation for intergenerational transfers between adult children and their parents, and the nature of preferences for such giving behaviour, in an experimental setting. Participants in our experiment play a series of dictator games with parents and strangers, in which we vary endowments and prices for giving to each recipient. We find that preferences for giving are typically rational. When parents are recipients as opposed to strangers, participants display greater sensitivity to the price of giving, and a higher relative proclivity for giving. Our findings also provide evidence of reciprocal motivations for giving, as players give more to parents who have full information regarding the context in which giving occurs.

Suggested Citation

  • Maria Porter & Abigail Adams, 2014. "For Love or Reward? Characterising Preferences for Giving to Parents in an Experimental Setting," Economics Series Working Papers 709, University of Oxford, Department of Economics.
    • Handle: RePEc:oxf:wpaper:709
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    More about this item

    Keywords

    transfer motives; intergenerational; dictator games; lab experiments; altruism; reciprocity;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers

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