Search Results
Title: Financial Literacy: An Essential Tool for Informed Consumer Choice?
Resulting in 1 citation.
| 1. |
Lusardi, Annamaria |
|
Financial Literacy: An Essential Tool for Informed Consumer Choice? NBER Working Paper 14084, National Bureau of Economic Research, June 2008. Also: http://www.nber.org/papers/w14084 Cohort(s): NLSY79 Publisher: National Bureau of Economic Research (NBER) Keyword(s): Demography; Economics of Minorities; Financial Investments; Literacy; Savings Increasingly, individuals are in charge of their own financial security and are confronted with ever more complex financial instruments. However, there is evidence that many individuals are not well-equipped to make sound saving decisions. This paper demonstrates widespread financial illiteracy among the U.S. population, particularly among specific demographic groups. Those with low education, women, African-Americans, and Hispanics display particularly low levels of literacy. Financial literacy impacts financial decision-making. Failure to plan for retirement, lack of participation in the stock market, and poor borrowing behavior can all be linked to ignorance of basic financial concepts. While financial education programs can result in improved saving behavior and financial decision-making, much can be done to improve these programs' effectiveness. |
|
|
Bibliography Citation
Lusardi, Annamaria. "Financial Literacy: An Essential Tool for Informed Consumer Choice?" NBER Working Paper 14084, National Bureau of Economic Research, June 2008. |