A Note on the Multi-Good Model of Altruistic Private Transfers

Masato Hiwatari

Economics Bulletin, 2007, vol. 9, issue 6, 1-7

Abstract: This paper extends a standard altruism model of private transfers to a multiple goods model. It has been pointed out that unlike the exchange-motivated transfers, altruistically motivated private transfers would mitigate income inequality in terms of quantity. However, taking the effect of multiple goods into account, it is shown that inequality-increasing transfers with purely altruistic motives can be apparently observed when market exchange is not available. This paper also introduces some concrete examples from the cases in a post-Soviet State.

Keywords: Altruism (search for similar items in EconPapers)
JEL-codes: I3 R2 (search for similar items in EconPapers)
Date: 2007-04-09
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