. Author manuscript; available in PMC: 2013 Apr 1.

Published in final edited form as: Rev Econ Dyn. 2012 Apr 1;15(2):226–243. doi: 10.1016/j.red.2011.03.001

Table 6.

Parameters of the different types of bequest motives. All other parameters are the same as in the baseline model presented in the text.

Bequest motives parameterization
General form
$v (b) = θ_{1} \frac{{(θ_{2} + b)}^{1 - θ_{3}}}{1 - θ_{3}}$
Parameter values
	θ ₁	θ ₂	θ ₃
Linear	≥ 0, targets b*/N	N/A	0
Dynasty	≥ 0, targets b*/N	$\sum_{i = 1}^{\infty} \frac{y_{pre}}{{(1 + r)}^{i - 1}}$	σ
Threshold 25	≥ 0, targets b*/N	$\sum_{i = 1}^{25} \frac{y_{pre}}{{(1 + r)}^{i - 1}}$	σ
Homothetic	≥ 0, targets b*/N	0	σ