Is the Extended Family Altruistically Linked? Direct Tests Using Micro Data

  • Altonji J
  • Hayashi F
  • Kotlikoff L
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This paper uses Panel Study of Income Dynamics data on parents and their adult children to test the standard altruism model. This model predicts that, within the extended family, the distribution of consumption is independent of the distribution of resources. Our findings strongly reject this prediction.

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  • Joseph G Altonji

  • Fumio Hayashi

  • Laurence J Kotlikoff

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