This paper examines the role of intergenerational transfers in aggregate capital accumulation in the United States using historical data. The authors find that intergenerational transfers account for the majority of U.S. capital formation, with only a small fraction of capital accumulation attributed to life cycle or "hump" savings. The study uses actual longitudinal age consumption profiles, which are too flat to generate substantial life cycle savings. The paper emphasizes the need for more research and data collection on intergenerational transfers, suggesting that models emphasizing life cycle savings should be replaced by models that highlight the significant role of intergenerational transfers in the U.S. economy. The findings are supported by recent studies by Betsy White and Michael Darby, who also used different data and methods to reach similar conclusions. The paper concludes by discussing the implications of these findings for economic issues such as the national debt, social security, taxation, and wealth inequality.This paper examines the role of intergenerational transfers in aggregate capital accumulation in the United States using historical data. The authors find that intergenerational transfers account for the majority of U.S. capital formation, with only a small fraction of capital accumulation attributed to life cycle or "hump" savings. The study uses actual longitudinal age consumption profiles, which are too flat to generate substantial life cycle savings. The paper emphasizes the need for more research and data collection on intergenerational transfers, suggesting that models emphasizing life cycle savings should be replaced by models that highlight the significant role of intergenerational transfers in the U.S. economy. The findings are supported by recent studies by Betsy White and Michael Darby, who also used different data and methods to reach similar conclusions. The paper concludes by discussing the implications of these findings for economic issues such as the national debt, social security, taxation, and wealth inequality.