The interaction of private intergenerational transfers types

Abstract

The rapid ageing of the population, particularly in the developed world, accentuates the importance of both the family and of private intergenerational transfers, whether this be due to the longer periods of coexistence resulting from longer life expectancy or the threat posed to the very sustainability of the welfare state. While the magnitude of intergenerational transfers is well documented, and the motives underlying them have received broad attention, we focus on a much less studied topic: the way the different forms of private transfers – time, money and space - interact with each other. In order to understand the complete effects of decisions, the costs and benefits to donors and recipients of transfers, it is crucial to take into account the full set of options for family transfers. We survey the literature to ascertain current knowledge on the extent to which a) the provision of one form of intergenerational family transfer is related to the provision of another form by the same person; b) the modes adopted by different generations are interrelated. We then put forward suggestions for future research and conceptual refinement.