Parental Financial Assistance to Young Adult Children and the Black-White Wealth Gap

We examine the roles of parental financial assistance to young adult children for college, homeownership, and “other reasons” in explaining Black-White wealth gap. Using Panel Study Income Dynamics data, we run Blinder-Oaxaca decompositions. Results show that socioeconomic position Black parents, not their proclivity give, explains lower receipt children—especially form college which turn, translates into intergenerational reproduction racial Accordingly, policies should focus on equalizing resource endowments across lines. The findings support a structural/stratification frame.