Bequests, Inheritances, and Family Traditions

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This study addresses the following question: If someone receives an inheritance from their parents, are they more likely to give a bequest to their children, even after taking into account the boost in wealth that the inheritance confers? Further, does being the recipient of an inheritance affect the flexibility of bequest plans in the face of changing wealth or other circumstances? For example, does a wealth shortfall have a smaller effect on the bequest plans of someone who has received an inheritance, and is therefore attempting to “carry on a family tradition,” compared to someone who is from a family with no tradition of bequests and inheritances?

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