Gender Differences in Inter Vivos Transfers

To what extent do parents exhibit preferential treatment for one gender with respect to financial gifts to children? Using the Health and Retirement Study from 1992-2014, I estimate differences in the frequency and magnitude of gifts to sons and daughters. Conditional on a transfer, there is no evidence of differences in amounts between sons and daughters. However parents give to daughters at higher rates. I explore potential mechanisms for this disparity: in particular, I address the altruism and exchange motives for inter vivos transfers. I find that the difference in giving rates is partially explained by higher expected rates of future care from daughters. Even after controlling for discrepancy in care-taking, income levels, and other observable characteristics, parents are still 10-20% more likely to give a transfer to their daughters. The discrepancy in giving rates is driven by unmarried children: once daughters marry they are less likely to receive a transfer