We review theoretical hypotheses and empirical findings regarding transfers from children to parents. While many Western studies find evidence of family altruism, most Japanese studies report evidence supporting rational selfish behavior of family members based on a positive correlation between (1) transfers from parents to children, and (2) provision of care and attention for parents by children (including intergenerational co-residence). However, this correlation is also consistent with parental altruism. Additionally, differences in empirical frameworks could contribute to the uniqueness of the findings using Japanese data. We propose that future studies need to exploit theoretical frameworks that offer clearer interpretations and empirical frameworks that account for endogeneity and allow for international comparisons.
