Financial literacy: an overview of practice, research, and policy

By S. Braunstein, Carolyn E. Welch. 2002

603 citations recorded by the source corpus.

Attention to financial literacy has grown in recent years, in large part because technological, market, and legislative changes have resulted in a more complex financial services industry that requires consumers to be more actively involved in managing their finances. Consumer and community interest groups, banking companies, government agencies, and policymakers, among others, have become concerned that many consumers lack a working knowledge of financial concepts and the tools they need to make decisions most advantageous to their economic well-being. As a result, considerable resources have been devoted to financial literacy, with a wide range of organizations providing training, including banks, consumer and community groups, employers, and government agencies. Overall, studies suggest that financial literacy training can lead to better decisionmaking; however, the findings raise numerous questions about the best means of providing that training, the most appropriate setting, and the most opportune timing. Findings from recent research on personal money management styles, combined with awareness of human behavioral traits, offer insights that may be useful in developing successful training programs and strategies.

Subfields: Accounting, Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/aea8508b7c52a69827a75e03c930db45afc4f027

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Citations in the corpus

Financial Literacy: What Works? How Could it be More Effective? (2010, neutral): “…through the mid-1980s and tends to focus on 1 Earlier reviews of financial literacy or financial education efforts, with somewhat different focus from this one, include Braunstein and Welch (2002), Martin (2007) and Lusardi and Mitchell (2009a). overall financial responsibility and record-keeping.”
Motivation and financial literacy (2007, background): “In recent years the Federal Reserve has focused on the importance of financial education and literacy in the functioning of the financial markets [e.g., see Morton (2005), Greenspan (2003, 2005), Hilgert, Hogarth & Beverly (2003), and Braunstein & Welch (2002)].”
Impact of Financial Literacy and Investment Experience on Risk Tolerance and Investment Decisions: Empirical Evidence from Pakistan (2016, background): “Those people who possess financial literacy commonly believe that many consumers can’t go for critical financial decisions in their best benefits because they lack the financial education required to go for those decisions (Perry, 2008; Braunstein and Welch, 2002).”
The Making of Investor Subjects in Anglo-American Pensions (2006, background): “Initiatives undertaken in the name of `financial literacy' (Braunstein and Welch, 2002; Whitehouse, 2000) also follow that seek to further individual responsibilityöfor example, the SAVER Act and the creation of the Pensions Service as part of the UK Department of Work and Pensions (DWP).”
Predicting financial literacy in Australia (2006, background): “Apart from these, Braunstein and Welch (2002) present a generally positive appraisal of homebuyer counseling programs, savings initiatives and workplace programs in the United States, while the Consumer Bankers Association (2003) documents the growth in financial literacy programs provided by US ban”
Translating Financial Education into Behavior Change for Low-Income Populations (2013, neutral): “For an overview of the literature, see Braunstein and Welch (2002), Fox, Bartholomae, and Lee (2005), Hilgert, Hogarth, and Beverly (2003), Hogarth (2002), and Hogarth, Beverly, and Hilgert (2003).”
Financial Illiteracy and Stock Market Participation: Evidence from the RAND American Life Panel (2010, positive): “This population is also increasingly diversified, with a growing number of foreign-born households that face further language, educational, and cultural barriers to entry into formal financial systems (Braunstein and Welch, 2002).”
Financial Knowledge and Credit Card Behavior of College Students (2011, background): “Research has shown, however, that the acquisition of additional information can result in improved behavior, but this relationship is by no means automatic (Braunstein and Welch 2002).”