Bequest motives: A comparison of Sweden and the United States
2001 (English)In: Journal of Public Economics, ISSN 0047-2727, E-ISSN 1879-2316, Vol. 79, no 1, 205-236 p.Article in journal (Refereed) Published
This paper reviews four well-known theoretical models of private bequest behavior, notes their differing implications for public policy, and discusses a way of empirically discriminating among them. Then it implements the test with micro data from Sweden (LLS) and the U.S. (PSID). The so-called altruistic (or dynastic) model, which, among the four models, has perhaps the most wide-ranging implications for policy, receives some support. The sign pattern is as the model predicts, while the magnitude is much smaller than the altruistic theory implies. There is evidence of a potential complication due to a dependence of children’s education on parents’ financial status in the case of the U.S.
Place, publisher, year, edition, pages
2001. Vol. 79, no 1, 205-236 p.
accidental model, altruistic model, egoistic model, exchange model
Research subject Economics
IdentifiersURN: urn:nbn:se:uu:diva-68869DOI: 10.1016/S0047-2727(00)00101-8OAI: oai:DiVA.org:uu-68869DiVA: diva2:96780