How Inheriting Affects Bequest Plans

We present and test the idea that bequest planning is linked with the experience of inheriting. We consider “a family tradition of bequeathing” as a channel through which the intention to bequeath is moulded by and is positively correlated with the experience of inheriting. Using data from the Survey on Health, Ageing and Retirement in Europe (SHARE), we find that the experience of inheriting enhances the intention to bequeath, independently of the positive impact of wealth. We also find that the expectation of inheriting has a positive impact on the intention to bequeath, controlling for the expected increase in wealth on account of future inheritances