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Do private intergenerational transfers from elderly parents increase social inequality among their middle-aged children? Evidence from the German Ageing Survey
Research Group on Aging and the Life Course (FALL), Institute of Sociology, Free University of Berlin, Germany.
German Centre of Gerontology (DZA), Berlin, Germany.ORCID iD: 0000-0001-8697-1876
Research Group on Aging and the Life Course (FALL), Institute of Sociology, Free University of Berlin, Germany.
2005 (English)In: The journals of gerontology. Series B, Psychological sciences and social sciences, ISSN 1079-5014, E-ISSN 1758-5368, Vol. 60B, no 1, S30-S36 p.Article in journal (Refereed) Published
Abstract [en]

Objectives. This study examines the consequences of private intergenerational transfers from elderly parents to their middle-aged children with respect to social inequality within the children's generation.

Methods. With use of the nationally representative cross-sectional sample of the German Aging Survey, descriptive analyses as well as multivariate logistic regressions are used to identify the effects of three different types of private intergenerational transfers in the middle-age group (40–54 year olds, n = 1,719 for inter vivos and n = 1,446 for mortis causa transfers).

Results. Transfers from parents or parents-in-law during the last 12 months—many of them smaller ones—are not significantly related to children's income. Separated and divorced children have significantly higher probabilities of receiving such transfers, indicating a need-directed family transfer process. Larger transfers before the last 12 months are need directed as well and moreover positively related to income position. Bequests, finally, are positively related to income position while having no need component at the time of observation.

Discussion. Whereas larger monetary transfers and bequests may increase social inequality in the children's generation, a substantial part of the regular monetary flow from elderly parents to their adult children buffers situations of need. Public policy should take into account these different effects. Reducing the general level of public pensions would weaken regular transfer giving and thus lead to more inequality in the children's generation. Higher taxation of very large transfers and bequests would have the opposite effect.

Place, publisher, year, edition, pages
Oxford University Press, 2005. Vol. 60B, no 1, S30-S36 p.
Keyword [en]
Ageing, Generation, Intergenerational Transfers, Socilogy, Gerontology
National Category
Public Health, Global Health, Social Medicine and Epidemiology Other Social Sciences not elsewhere specified
Identifiers
URN: urn:nbn:se:liu:diva-125875DOI: 10.1093/geronb/60.1.S30OAI: oai:DiVA.org:liu-125875DiVA: diva2:909340
Available from: 2016-03-06 Created: 2016-03-06 Last updated: 2016-03-17Bibliographically approved

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Motel-Klingebiel, Andreas
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The journals of gerontology. Series B, Psychological sciences and social sciences
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