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Author: Fox, Jonathan
Resulting in 1 citation.
1. Letkiewicz, Jodi C.
Fox, Jonathan
Conscientiousness, Financial Literacy, and Asset Accumulation of Young Adults
Journal of Consumer Affairs 48,2 (Summer 2014): 274-300.
Also: http://onlinelibrary.wiley.com/doi/10.1111/joca.12040/abstract
Cohort(s): NLSY97
Publisher: American Council on Consumer Interests (ACCI)
Keyword(s): Assets; Financial Literacy; Net Worth; Personality/Big Five Factor Model or Traits

Permission to reprint the abstract has not been received from the publisher.

This study utilizes the 1997 National Longitudinal Survey of Youth to examine the relationship between financial literacy, conscientiousness, and asset accumulation among young adults. Findings indicate that both conscientiousness and financial literacy are consistent predictors of asset accumulation among young Americans. A one-standard-deviation increase in conscientiousness is correlated with a 40% increase in net worth, a 53% increase in illiquid asset holdings, and a 33% increase in liquid asset holdings. A one-standard-deviation increase in financial literacy is correlated with a 60% increase in illiquid asset holdings and a 30% increase in liquid asset holdings. Financial literacy moderates the effect of conscientiousness on net worth. These findings suggest that conscientiousness and financial literacy are important factors and that policies and programming with a dual emphasis on increasing conscientiousness and financial literacy are likely to have a positive impact on consumer savings and asset-building.
Bibliography Citation
Letkiewicz, Jodi C. and Jonathan Fox. "Conscientiousness, Financial Literacy, and Asset Accumulation of Young Adults." Journal of Consumer Affairs 48,2 (Summer 2014): 274-300.