Research Report Private Transfers, Race, and Wealth
Signe-Mary McKernan, Caroline Ratcliffe, Margaret Simms, Sisi Zhang
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How do private transfers differ by race and ethnicity and do such differences explain the racial and ethnic disparity in wealth? Using the Panel Study of Income Dynamics, this study examines private transfers by race and ethnicity and explores a causal relationship between private transfers and wealth. We examine private transfers in the form of financial support received and given from extended families and friends, as well as large gifts and inheritances. Our findings highlight important differences in private transfers by race and ethnicity: African Americans and Hispanics (both immigrant and nonimmigrant) receive less in private transfers than non-Hispanic whites.
Research Areas Economic mobility and inequality Wealth and financial well-being Social safety net
Tags Low-Income Home Energy Assistance Program (LIHEAP) Asset and debts Income and wealth distribution Financial stability
Policy Centers Center on Labor, Human Services, and Population