On the Share of Inheritance in Aggregate Wealth: Europe and the USA, 1900–2010

2017/03/27 by Facundo Alvaredo, Bertrand Garbinti, Thomas Piketty · 172 citations
Business, Management and Accounting · Economics, Econometrics and Finance · #Aggregate (composite) #Biology #Business #Economic Growth and Productivity #Economics #Financial Literacy, Pension, Retirement Analysis #Genetics #Historical Economic and Social Studies #Inheritance (genetic algorithm)

paper · doi:10.1111/ecca.12233

published in Economica 84(334), 239-260 (Wiley)

openalex publication_date 2017/03/27 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/31

Abstract

This paper provides historical series on the evolution of the share of inherited wealth in aggregate private wealth in Europe (France, the UK, Germany, Sweden) and the USA over the 1900–2010 period. Until 1910, the inheritance share was very high in Europe (70–80%). It then fell abruptly following the 1914–45 shocks, down to about 30–40% during the 1950–80 period, and is back to 50–60% (and rising) since around 2010. The US pattern also appears to be U‐shaped, albeit less marked, and with significant uncertainty regarding recent trends, due to data limitations. We discuss possible interpretations for these long‐run patterns.

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