Altruism and Beyond: An Economic Analysis of Transfers and by Oded Stark PDF

By Oded Stark

ISBN-10: 051101094X

ISBN-13: 9780511010941

ISBN-10: 0521474191

ISBN-13: 9780521474191

How do altruistic hyperlinks impact allocative habit and wellness? Can the techniques of transmission and possible acquisition of parental qualities lead to a reliable equilibrium the place all brokers are altruists? Why do teenagers provide their mom and dad with consciousness and care? Does the timing of the intergenerational move of the family's efficient asset impact the recipient's incentive to procure human capital? Why do migrants remit? Altruism and past presents solutions to those and similar questions. additionally, it lines the various industry repercussions of the intrafamilial, intergenerational, and intragroup transfers and exchanges that it types.

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Additional resources for Altruism and Beyond: An Economic Analysis of Transfers and Exchanges within Families and Groups (Oscar Morgenstern Memorial Lectures)

Sample text

An earlier paper (Stark [1989]) raises the point that while an economy with substantial altruism will be Pareto superior to an economy with no altruism, an economy with a little altruism may be inferior to an economy with no altruism at all. This unhappy, second-best type result arises from the fact that altruism can increase possibilities for exploitation and limit the availability of credible strategies, narrowing the range of possible bene®cial social arrangements. This may explain the prevalence of economies of self-interested rather 25 Altruism and beyond than altruistic people.

The empirical dif®culty here is that children who observe a longer life expectancy of their parents may infer that their own life expectancy will also be longer, so that their human capital investment decisions may be fully explained by the traditional human capital framework. To overcome this dif®culty, though, we can think of a situation where the life expectancy of the parents rises while that of the children falls, yet human capital formation by the children is larger. Such an outcome can only arise from the operation of the parental life expectancy effect since the negative children's life expectancy effect implies reduced investment in human capital by the children.

961±87. World Bank (1979) World Development Report 1979. New York: Oxford University Press. (1991) World Development Report 1991. New York: Oxford University Press. 48 3 An exchange implication of transfers: the demonstration effect This page intentionally left blank Introduction Recent evidence indicates that private intergenerational transfers of income, wealth, and in-kind services are motivated, at least in part, by exchange considerations. For example, parents attach strings to money given to their children and transfers are made with the expectation of future repayment.

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Altruism and Beyond: An Economic Analysis of Transfers and Exchanges within Families and Groups (Oscar Morgenstern Memorial Lectures) by Oded Stark


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