The PSID is one of the premier social science datasets for the conducting family-based, generational research. The genealogical-based design of the study yields nearly 40,000 unique sibling pairs, thousands of parent-child pairs, and many hundreds of grandparent-grandchild pairs for researchers to investigate processes within families. The broad goals of the current project are to capitalize on the genealogical design by developing tools that will allow all users to more easily construct family-based analytical research files, and using the data to address a series of scientific questions. First, this subproject will develop web-based tools, called the Family Identification Mapping System (FIMS), which will make it easier for users to capitalize on the genealogical design of the PSID. Second, the project will study the magnitude and frequency of inheritances reported by PSID respondents, and work to assess which theory of bequest behavior best explains these inheritances. Third, PSID questions on prospective bequests will be used to assess different theoretical models of behavior, and sharpen several previous questions in the survey to distinguish the direction and destination of intended family intergenerational transfers. Fourth, the project will investigate the relation of the magnitude of PSID respondent wealth accumulations to their incentives to leave estates, and study the possible importance of inter-household heterogeneity of preferences. Fifth, covariates in the PSID will be used to examine the degree to which household plans to create estates and choices of when to retire impinge upon one another. Finally, models of transmission in education, economic status, and health status across two and three generations will be estimated, including an examination of endogenous family structure. The leader and principal investigator of Project 5 is Frank P. Stafford.
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