Jellal, Mohamed and wolff, François charles (2002): Altruistic bequests with inherited tastes. Published in: International Journal of Business and Economics
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This paper examines the altruistic model of bequest when a child inherits life standard aspirations from his parents. We prove that the impact of the aspiration effect on transfers can be positive or negative, depending on both the strength of inherited tastes and the coefficients of risk aversion for the parent and the child. However, numerical illustrations indicate that the case for a negative effect is rather weak. Using a French data set on transfers within the family,we investigate how transmission habits affect the level of private assistance. We show that parents are more likely to help their children when they have themselves received money from their own parents. Hence, any public program that affects current transfers also influences family transfers in the future
|Item Type:||MPRA Paper|
|Original Title:||Altruistic bequests with inherited tastes|
|Keywords:||altruism,bequest, inherited tastes, risk aversion|
|Subjects:||Z - Other Special Topics > Z1 - Cultural Economics; Economic Sociology; Economic Anthropology > Z13 - Economic Sociology; Economic Anthropology; Social and Economic Stratification
D - Microeconomics > D1 - Household Behavior and Family Economics
|Depositing User:||Mohamed Jellal|
|Date Deposited:||30. Apr 2012 02:07|
|Last Modified:||17. Feb 2013 22:37|
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