Parents’ and Adult Children’s Reports of Intergenerational Transfers

I-Fen Lin, PI

Parents’ and Adult Children’s Reports of Intergenerational Transfers (PSID - Univ. of Michigan)

Using the Family Roster and Transfer Module of the 2013 Panel Study of Income Dynamics, this study aims to evaluate the quality of survey questions that ask parents and adult children about the same transfer. Specifically, two questions are addressed. First, how valid are survey questions used to obtain information about transfers from parents to adult children and transfers from adult children to parents? Second, to what extent are parents’ and adult children’s needs and resources associated with true transfer, net of their associations with bias? A modified multiple-indicators-and-multiple-causes (MIMIC) model will be used to analyze approximately 3,707 parent-child dyads. This analytic strategy distinguishes true transfer (i.e., shared commonality) from bias (i.e., uniqueness in survey questions), which makes it possible to assess the validity of survey questions measuring intergenerational transfers and identify covariates associated with true transfer and bias. Findings from the study are expected to (a) differentiate survey questions with high validity from those with low validity, and (b) pinpoint covariates that are associated with intergenerational transfers net of bias in reports.