Transfer Behavior Within the Family: Results from the Asset and Health Dynamics Survey

This paper provides new empirical evidence on the relationship between the income of the recipients and the likelihood and magnitude of cash transfers. Results offer strong evidence that respondents are more likely to make transfers and more likely to transfer larger amounts to their children who are less well off. These findings are consistent with recent studies that support the altruistic model of behavior. This study also presents descriptive statistics which cast some doubt on the exchange model of behavior, which views financial transfers as a payment for services.