Defining the Area of Knowledge for Financial Literacy: The Influence of Financial Courses on Materialism

2021 ◽  
Vol 12 (3) ◽  
pp. 573-581
Author(s):  
Rosmini Ismail Et.al
Keyword(s):  
Financial Literacy ◽  
Moderating Effect ◽  
Moderator Variables ◽  
Credit Hours ◽  
Accounting Courses ◽  
Attitude Scales ◽  
Debt Crises ◽  
Money Attitude ◽  
Materialistic Values ◽  
Business Undergraduates

Numerous studies have foundthatfinancial literacy may assist in averting irresponsible spending that linked to materialistic values. However, the area of knowledge that delivers financial literacy varies among studies. The study determines whether credit hours of financial courses,namely, economics, finance and accounting, affect materialism. Consequently, three moderator variables namely gender, year of study and financial sponsorship, were added into the analysis. A survey was conducted on 1022 business undergraduates in Universiti Pendidikan Sultan Idris using money attitude scales as a proxy to measure materialism. Findings indicate that there werenodirectcorrelations between credithoursof financial courses cumulatively or individually, with materialism scores. However, when the year of studyvariable,specifically fourth-year students category, wasinserted as a moderating effect, all three financial courses credit hours were found to be negatively correlatedwith materialism score. The findings demonstrate that accounting courses credit hours affect all materialism dimensions. Meanwhile, three and two materialism dimensions negatively correlated with economic and finance courses, respectively. It indicates that final year students materialistic values lessen as particular financial courses credit hours increased. The findings may provide input to financial literacy modules to mitigateyoung-executive debt crises.

The Impact of Financial Literacy on Financial Preparedness for Retirement in the Small and Medium Enterprises Sector in Uganda

2020 ◽  
Vol 9 (3) ◽  
pp. 26-41
Author(s):  
Colin Agabalinda ◽  
Alain Vilard Ndi Isoh
Keyword(s):  
Financial Literacy ◽  
Small And Medium Enterprises ◽  
Group Analysis ◽  
Moderating Effect ◽  
Primary Data ◽  
Retirement Preparedness ◽  
Medium Enterprises ◽  
The Impact ◽  
The Relationship ◽  
Effect Of Age

The study investigated the direct effects of financial literacy (knowledge, skills, and attitudes) on financial preparedness for retirement and the moderating effect of age among the small and medium enterprises in Uganda. Primary data was collected from a sample of n = 380 selected from the SME workforce. Descriptive analysis was run on SPSS, while validity and reliability of the measurement items yielded satisfactory composite reliability scores and average variance explained (AVE) scores for all items. Structural equation modelling (SEM) was used to test the hypotheses and multi-group analysis conducted to test for the moderating effect of age on the relationship between financial literacy and retirement preparedness. The results revealed that knowledge and skills were significant predictors of retirement preparedness. However, ‘attitude' was not a significant predictor, and age had no moderating effect on the relationship between the study variables. These findings present practical implications for policymakers and financial educators in a developing country context.

Wealth Optimization: A Conceptual Model of Financial Literacy, Financial Socialization, Parental Norms and Money Attitude

2016 ◽  
Vol 22 (12) ◽  
pp. 4312-4315
Author(s):  
Sheela Devi D Sundarasen ◽  
Muhammad Sabbir Rahman ◽  
Noor Shahaliza Othman ◽  
Jennifer a/p Danaraj
Keyword(s):  
Conceptual Model ◽  
Financial Literacy ◽  
Financial Socialization ◽  
Money Attitude

Impact of Financial Attitude, Financial Literacy and Parental Financial Socialization on Prudent Financial Management Practices: A Moderating Effect of Financial Well-Being among the Youth of Pakistan

2021 ◽  
pp. 14-33
Author(s):  
Syed Hamza Farooq ◽  
Syed Zulfiqar Ali Shah ◽  
Shahid Rasheed
Keyword(s):  
Financial Literacy ◽  
Financial Management ◽  
Management Practices ◽  
Well Being ◽  
Moderating Effect ◽  
Financial Socialization ◽  
Market Place ◽  
Online Questionnaire ◽  
Parental Financial Socialization ◽  
The Right

This study intends to explore the effect of Financial Attitude, Financial Literacy, and ParentalFinancial Socialization on the prudent financial management practices, amid the youth of Pakistan with moderating effect of Financial Well-Being. The population consist over the youth of Pakistan for which the data was collected through an online questionnaire. The study adopted the quantitative approach for which the data from 450 respondents was collected. Subsequently, the data was analyzed with the help of Smart PLS. The results indicated that Parental Financial Socialization, Financial Attitude, and Financial Literacy have a significant and positive relationship with Prudent Financial Management Practices. However, Financial Well-Being does not have significant moderating effect with Parental Financial Socialization, Financial Literacy, and FinancialAttitude. The results further highlighted serious concerns of the effectiveness of Financial Well-Being towards improving youth capabilities in managing their financial affairs in the marketprudently. It shows that challenges faced by the youth in the country market to strengthen thefinancial well-being of an individual by guiding them thoroughly, enhance the effectiveness, andencompass the right elements pertains to financial well-being to ensure today's young Pakistaniability to apply that in the real market place and have full financial freedom Keywords: Financial Attitude, Parental Financial Socialization, Financial Literacy, Prudent FinancialManagement Practices, Financial Well-Being

Financial Well-Being among Young Employees in Malaysia

2015 ◽  
pp. 221-235 ◽  
Author(s):  
Mohamad Fazli Sabri ◽  
Nurul Farhana Zakaria
Keyword(s):  
Significant Influence ◽  
Financial Literacy ◽  
Central Zone ◽  
Sampling Technique ◽  
Well Being ◽  
Demographic Characteristics ◽  
Financial Capability ◽  
Multi Stage ◽  
Long Run ◽  
Money Attitude

The purpose of this study is to identify the levels of financial literacy, money attitude, self-esteem, financial capability and financial well-being of young employees, to explore the differences in financial well-being based on demographic characteristics of young employees and to identify the determinants of financial well-being among young employees. The sample consists of 508 of young employees aged 40 and under in central zone of Malaysia, which selected through multi stage sampling technique. Data were collected through self-administered questionnaires. Financial literacy, domains in money attitude and financial capability had significant influence toward financial well-being whereby financial capability become a major contributing factor to the financial well-being. By understanding more about the determinants of financial well-being, it is hoped to help young employees to become financial prudence and in the long-run could decrease the number of young employees declared bankruptcy.

scholarly journals Factors Influencing Financial Planning for Marriage amongst Young Malaysian Couples

2021 ◽  
Vol 22 (1) ◽  
pp. 33-54
Author(s):  
Joyce Hwee-Nga Koe ◽  
Ken Kyid Yeoh
Keyword(s):  
Social Influence ◽  
Financial Literacy ◽  
Financial Planning ◽  
Structural Equation ◽  
Married Couples ◽  
Negative Influence ◽  
Mediating Effect ◽  
Key Factors ◽  
Mediating Role ◽  
Money Attitude

Financial planning for marriage contributes to happier, more satisfying and longer-lasting unions. However, there is increasing evidence that young Malaysian couples are burdened by excessive debts and have a tendency to overspend on their wedding. Based on the Theory of Planned Behaviour, the current study investigates key factors — financial literacy, attitude towards money, attitude towards debt, financial goals and social influence — that are likely to influence the degree of financial planning for marriage undertaken by married and soon-to-be-married couples. The study also examines the mediating role of financial literacy on the relationships between the aforementioned key factors and financial planning for marriage. The study collected data from a sample of 201 respondents recruited via purposive sampling and used a bootstrapped partial least squares structural equation modelling (PLS-SEM) approach for data analysis. The results showed that (i) financial literacy positively influences financial planning for marriage; (ii) attitude towards money, financial goals and social influence positively influence both financial literacy and financial planning for marriage; (iii) attitude towards debt has a negative influence on financial planning for marriage but no influence on financial literacy; and (iv) financial literacy has a mediating effect. The findings highlight the importance of financial counselling, education as well as discipline in bringing about successful marriages.

scholarly journals Understanding Determinants of Individual Intention to Invest in Digital Risky Investment

2019 ◽  
Vol 10 (1) ◽  
pp. 124-137
Author(s):  
Willy Abdillah ◽  
Rika Permatasari ◽  
Ernie Hendrawaty
Keyword(s):  
Emotional Intelligence ◽  
Locus Of Control ◽  
Risk Aversion ◽  
Financial Literacy ◽  
Moderating Effect ◽  
Partial Least Square ◽  
Least Square ◽  
Online Questionnaire ◽  
Risky Investment ◽  
Negative Effect

This study examines the effect of emotional intelligence, the locus of control, and risk aversion on intention to risky investment with financial literacy as moderating effect. This study uses 98 investors distributed by online questionnaire. Data examined using Partial Least Square (PLS) technique. The results show that the emotional intelligence, the locus of control have a positive effect and risk aversion and financial literacy have a negative effect on intention to a risky investment. However, there is no moderating effect of financial literacy on those direct effects. The implication for stakeholder and further research are discussed.

scholarly journals The effect of money attitude, subjective norm, perceived behavioural control, and perceived risk on millennial’s saving intention

2021 ◽  
Vol 14 (1) ◽  
pp. 1-14
Author(s):  
Nadia Asandimitra ◽  
I Made Narsa ◽  
Andry Irwanto ◽  
Helmi Ishartanto
Keyword(s):  
Financial Literacy ◽  
Perceived Risk ◽  
Theory Of Planned Behaviour ◽  
Financial Sector ◽  
Subjective Norms ◽  
Behavioural Control ◽  
Perceived Behavioural Control ◽  
Money Attitude ◽  
Moderating Role

The Theory of Planned Behaviour (TPB) has been widely applied in the financial sector. However, no research has investigated the moderating role of financial literacy in saving intention. This study investigates the moderating role of financial literacy in the partial influence of money attitude, subjective norms, perceived behavioural control, and perceived risk on saving intention. According to the Moderated Regression Analysis (MRA) findings, financial literacy moderated the effect of money attitude, subjective norms, and perceived behavioural control on saving intention. On the other hand, financial literacy has not mitigated the effect of perceived risk on saving intention. These findings validate TPB's application in the financial sector by incorporating moderating role of financial literacy. It is also discovered that the millennial generations who participate in this study have good financial literacy.

scholarly journals FINANCIAL LITERACY, MONEY ATTITUDE, DAN FINANCIAL MANAGEMENT BEHAVIOR GENERASI MILENIAL

2020 ◽  
Vol 4 (2) ◽  
pp. 406
Author(s):  
Ida Ida ◽  
Sri Zaniarti ◽  
Graciela Ervina Wijaya
Keyword(s):  
Financial Literacy ◽  
Financial Management ◽  
Millennial Generation ◽  
Sampling Technique ◽  
University Education ◽  
Management Behavior ◽  
Purposive Sampling ◽  
Technological Developments ◽  
Money Attitude ◽  
Consumptive Behavior

Perkembangan teknologi dan gaya hidup generasi milenial mendorong perilaku konsumtif sehingga pentingya mengetahui faktor- faktor yang memengaruhi financial management behavior generasi milenial agar tidak terjebak pada masalah keuangan. Penelitian ini mempunyai tujuan untuk menguji pengaruh financial literacy dan money attitude dari dimensi power prestige dan anxiety terhadap financial management behavior pada generasi millenial yang tinggal di Bandung. Teknik pengambilan sampel dengan metode sampling non-probability yaitu teknik purposive sampling. Sampel berjumlah 1.120 responden yang mayoritas adalah perempuan dan berpendidikan perguruan tinggi. Dari hasil pengujian menggunakan analisis regresi berganda menunjukkan financial literacy dan money attitude dari dimensi power prestige mempunyai pengaruh yang signifikan terhadap financial management behavior sedangkan money attitude-anxiety tidak mempunyai pengaruh terhadap financial management behavior pada generasi millenial yang tinggal di Bandung. Penelitian ini menyarankan peningkatan financial literacy dan money attitude- Power-prestige bagi generasi milenial, adanya kurikulum pendidikan mengenai literasi keuangan, dan bagi peneliti selanjutnya dapat melakukan penelitian bagi generasi milenial di luar kota Bandung serta meneliti faktor- faktor lain yang memengaruhi financial management behavior. Technological developments and the lifestyle of the millennial generation encourage consumptive behavior, so it is important to know the factoes that influence the financial management behavior of the millennial generation so that they are not trapped in financial problems. The purpose of this study was to empirically examine the effect of financial literacy and money attitude form the dimensions of power prestige and anxiety on financial management behavior in the millennial generation living in Bandung. This study uses a non-probability sampling method with a purposive sampling technique. The sample consisted of 1,120 respondents, the majority of whom were women and had university education. From the test results using multiple regression analysis shows that financial literacy and money attitude from the power prestige dimension have a significant effect on financial management behavior, while money attitude from the anxiety dimension has no effect on financial management behavior in the millennial generation who live in Bandung. in Bandung. This study suggests an increase in financial literacy and money attitude from the Power-prestige dimension for the millennial generation, the existence of an educational curriculum regarding financial literacy, and for further researchers to conduct research for millennials outside Bandung and examine other factors that influence financial management behavior.

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