Rent seeking is more likely to occur in a family when the parents make their inheritance plans clear by telling the children ahead of time that their estate will be divided equally among the children (and that under no circumstances will the parents change their minds)than when there is more uncertainty with regards to the parents' inheritance plans.

Question

Quizplus · Accepted Answer

This statement is not necessarily true. Rent seeking can occur regardless of whether the parents' inheritance plans are clear or uncertain. It depends more on the individual personalities and behaviors of the family members involved.

Rent Seeking Is More Likely to Occur in a Family