Bequest motives of older people in rural China: from the perspective of intergenerational support

Abstract

China, a society long characterized by traditional Confucianism and the practice of filial piety, is undergoing dramatic socioeconomic development and erosion of traditions. In this rapidly changing context, the motives behind rural parental bequests have not been well studied. This paper draws on a survey conducted in rural Anhui province of China and uses hierarchical linear models (HLM) to examine whether three kinds of support from children are associated with older parents’ bequest motives. We find that while instrumental support accords with an exchange model of motivation, financial transfer is consistent with an altruistic motivation for parental bequest plans. Offspring gender is strongly associated with parental planning of bequests, when only sons are considered; family division is a strong correlate of parents’ bequest plan and reflects exchange motivation. These findings have important implications for research on traditional culture and an evolving social security system.

Social adaptation and adaptation pressure among the “drifting elderly” in China: A qualitative study in Shanghai

“…At the same time, Chinese adult children used to undertake the filial responsibility of supporting their parents, which increased as their parents aged . Because of personal expectations of future old‐age care, the elderly need to spare no effort to support their children/grandchildren, which ensures the maintenance of the social contract . In turn, adult children support their parents in their old age, as a reward for the support that they received in earlier years, which is also part of the fulfillment of the social contract …”

“…Nonfamily social support for the elderly and their children's families is limited. Therefore, elderly individuals have to rely on the intergenerational support structure, which includes their reward for supporting their children in the past . Additionally, most adult children rely on their parents' support to a certain degree, which induces them to accept and satisfy their parents' future support expectations .…”

“…However, this filial culture has recently been challenged by transformations in living arrangements and family structure induced by demographic changes and migration . Owing to the insufficiency of the national old‐age support provided by the social security system, most elderly Chinese individuals remain greatly dependent on the old‐age support of their adult children, which is seen as a reward for providing support in earlier years and which is based on the traditional filial culture.…”

Providing More but Receiving Less: Daughters in Intergenerational Exchange in Mainland China

“…The financial type of transfers involved the following questions: (a) “Did you provide financial support when this child purchased or decorated his or her house/apartment?” (b) “In the past 12 months, did you or your coresiding spouse support this child with money, food, or gifts?” and (c) “Do you plan to make a bequest to this child?” Regarding housework transfers, I used the following question: “In the past year, did you provide this child assistance with household chores?” Again, the options to these questions are binary. It is necessary to mention that the parents' plans to give a bequest is different from the other measures of monetary support because it is not yet realized, but this plan is still relevant because premortem property division plans such as this have been a relevant factor considered by both parents and children in their provision of mutual support (Jiang et al, ; Li, Xie, & Lin, ).…”

How house price appreciation affects homeowners' labour force participation

“…A house is one of the most important 'status goods' in China, and usually a necessary condition for young men to get married (Wei and Zhang, 2011). Urban parents often prefer to leave bequests in the form of housing, or commonly prepare marriage housing for their children (Jiang et al, 2015). As a consequence, current homeowners may work hard to stock additional housing for the next generation, rather than enjoying housing capital gains by reducing their labour supply.…”