RIEB Discussion Paper Series No.2025-14

Title

Bequests

Abstract

In this paper, we discuss bequests and other intergenerational transfers and what impact they have on the consumption, saving, and labor supply behavior of households. We show that bequests and other intergenerational transfers are prevalent in most countries, that they are sometimes motivated by altruism and sometimes by selfishness, that they affect the consumption and saving behavior of households to some extent, especially that of elderly households, that they affect the labor supply behavior of households, especially that of bequest recipients, and that they have important policy implications.

Keywords

Altruism; Bequests; Consumption; Inter vivos transfers; Intergenerational transfers; Labor supply; Life-cycle model; Long-term care insurance; Ricardian equivalence; Saving, Selfishness; Strategic bequest motive; Wealth disparities

JEL Classification

D11, D12, D14, D15, D31, D64, E21, H3, J22

Inquiries

Charles Yuji HORIOKA
Research Institute for Economics and Business Administration,
Kobe University
Rokkodai-cho, Nada-ku, Kobe
657-8501 Japan
Phone: +81-78-803-7036
FAX: +81-78-803-7059
Asian Growth Research Institute
Institute of Social and Economic Research, Osaka University
National Bureau of Economic Research