FINANCIAL LITERACY, FINANCIAL EDUCATION AND ECONOMIC OUTCOMES

By Justine S. Hastings, B. Madrian, William L. Skimmyhorn. Annual Review of Economics, 2012

931 citations recorded by the source corpus.

In this article we review the literature on financial literacy, financial education, and consumer financial outcomes. We consider how financial literacy is measured in the current literature, and examine how well the existing literature addresses whether financial education improves financial literacy or personal financial outcomes. We discuss the extent to which a competitive market provides incentives for firms to educate consumers or offer products that facilitate informed choice. We review the literature on alternative policies to improve financial outcomes, and compare the evidence to evidence on the efficacy and cost of financial education. Finally, we discuss directions for future research.

Subfields: Accounting, Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/7c1d942457702309f54972aaecfea27fc4fbce40

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Accounting

In Economics and Econometrics

In Finance

Citations in the corpus

Financial Literacy and Credit Card Behaviors: A Cross-Sectional Analysis by Age (2013, neutral): “Although the NFCS test questions focus on basic financial concepts in a simple format, they have been found to be challenging for adults and have served as valuable indictors of financial literacy in the above cited studies and several others (e.g., Lusardi 2011; Hastings et al. 2012).”
Financial literacy, financial advice, and financial behavior (2017, positive): “Hastings et al. (2013) document that respondents with higher cognitive abilities and more comfortable with numerical calculations on average exhibit higher levels of financial literacy.”
Learning to Take Risks? The Effect of Education on Risk-Taking in Financial Markets (2018, neutral): “For a thorough overview of the schooling reform, see Holmlund (2008) and Lundborg et al. (2014). (17) Hjalmarsson et al.”
Financial education in schools: A meta-analysis of experimental studies (2020, neutral): “, 2015) as well as narrative reviews (Fox et al., 2005; Collins and O’Rourke, 2010; Willis, 2011; Xu and Zia, 2012; Hastings et al., 2013; Blue et al., 2014; Lusardi and Mitchell, 2014) we also screen the references of more recent or more focused narrative reviews of financial education for children”
Financial Literacy, Financial Education, and Downstream Financial Behaviors (2014, neutral): “But several excellent recent literature reviews have drawn sharply different conclusions about the effects of financial literacy and financial education (Adams and Rau 2011; Collins and O’Rourke 2010; Hastings et al. 2013; Hira 2010; Thaler and Sunstein 2008; Willis 2009, 2011).”
Financial literacy: A systematic review and bibliometric analysis (2020, neutral): “Rather than a one-size-fits-all approach, financial education must be tailored according Extant literature is scarce to conclude that financial education interventions are always effective in achieving ideal financial behaviour (Fernandes et al., 2014; Hastings et al., 2013; Lusardi, 2019).”