scholarly journals Management of Innovations in Finance Education: Cluster Analysis for OECD Countries

2020 ◽  
pp. 235-244 ◽  
Author(s):  
Bohuslava Mihalcova ◽  
Peter Gallo ◽  
Jozef Lukac
Keyword(s):  
Decision Making ◽  
Cluster Analysis ◽  
Financial Literacy ◽  
Financial Education ◽  
Oecd Countries ◽  
Vocational Education And Training ◽  
School Students ◽  
Personal Finances ◽  
Long Time ◽  
Market Needs

Financial literacy and financial education is a concept that helps people in orientation in both the financial markets and the area of personal finances. Financial literacy can be acknowledged through financial education. Financial education should enable individuals to develop their decision-making competencies. It includes issues such are the understanding of money, how to deal with them within the risk of their investment. The issue of financial literacy for primary and secondary school students has been monitored over a long time through several evaluations. In this case, it is very well known the PISA rating, which was lastly performed in the first half of 2018. It represents the ability of how to use skills and knowledge in managing one’s financial resources while achieving maximum prosperity. Financial education should enable individuals to develop their decision-making competencies related to money. The paper aims to perform a cluster analysis based on the data available from the PISA 2015 measurement in selected OECD countries. The analysis represents results in a cluster of countries. The study analysed of financial literacy 15-year-olds students. The study observed similar research results in both the area of financial literacy and mathematical literacy. From the selected PISA 2015 test results applied through cluster analysis, we decided that the Slovak students were placed in a cluster together with students from Spain, Chile and Lithuania. The study observed the quality of vocational education and training is criticized mainly by employers because the area of education is inadequately responsive to labour market needs. Employee stress that it is inadequately linked to practice. Vocational training is inadequate compared to general schools. The methodology we recommend should also be applied to the results of the PISA 2018 evaluation, which are not yet available to the public. We would like to address this issue in future. The cluster analysis helps to reveal competitiveness in the area of financial literacy. The results of our research within Slovak students were based on a similar level of financial literacy among Slovak pupils as in Spain, Chile and Lithuania. Keywords cluster analysis, financial literacy, PISA, pupils, OECD countries, Slovakia.

Teachers’ Interpretation of the Cultural Relevancy of MoneySKILL®

2020 ◽  
pp. 001312452092058
Author(s):  
Thomas A. Lucey ◽  
Elizabeth S. White ◽  
Aline André
Keyword(s):  
High School Students ◽  
Financial Literacy ◽  
Financial Education ◽  
Student Diversity ◽  
School Students ◽  
Geographical Differences ◽  
Convenience Sample ◽  
Cultural Relevancy ◽  
Curricular Materials ◽  
Financial Practices

A comprehensive approach to financial literacy education necessitates an understanding of the degree to which curriculum is relevant for students from various cultural backgrounds. The purpose of this study was to examine the cultural relevancy of MoneySKILL®, an online financial literacy program designed for high school students. A convenience sample of teachers enrolled in a graduate course on student diversity completed 12 MoneySKILL modules and participated in online group discussions. Using a consensual qualitative research (CQR) method, the authors identified themes related to cultural relevancy in participants’ discussions. The results indicated that participants questioned the relevance of module content to marginalized social groups, noting exclusions based on social class, language, and family structure. They also reported a lack of consideration for geographical differences that affect financial practices, stereotypes in module examples, and assumptions in module content regarding America as a meritocracy. These findings indicate the need for more representative curricular materials and greater consideration of the social processes and sociopolitical contexts affecting financial practices. Findings also demonstrate the value of including teachers in the development of financial education curricular materials, as teachers have insights regarding pedagogy and relevancy to current and former students to make informed recommendations about possible curricular modifications.

The Role of Financial Education in the Path Towards Sustainable Development

2021 ◽  
pp. 1-19
Author(s):  
Raquel González Castro ◽  
Joaquín Enríquez-Diaz ◽  
Begoña Alvarez García
Keyword(s):  
High School Students ◽  
Financial Literacy ◽  
Financial Education ◽  
Practical Experience ◽  
School Students ◽  
Financial Decisions ◽  
Level Of Satisfaction ◽  
Level Of Knowledge ◽  
High Level

Financial decisions are present in everyone's daily life. However, citizens do not always have sufficient knowledge to understand the consequences of their decisions and the risks taken. The lack of financial literacy can contribute, along with other factors, to making wrong financial decisions. This is why financial education becomes a key element to achieve a more sustainable and egalitarian future. This research presents a practical experience intended to foster financial education among high school students. The experience consisted in providing training workshops about financial topics, specifically adapted to the students' needs. The students' level of financial knowledge was evaluated and also their level of satisfaction with the experience. Results showed a high level of satisfaction and a significant improvement in their level of knowledge. The research also helped to identify the students' socio-demographic characteristics that explain the differences in their level of financial culture and their capacity for improvement.

Combining Adult Education and Professional Development Best Practice to Improve Financial Education Teacher Training

2017 ◽  
Vol 28 (1) ◽  
pp. 33-48 ◽  
Author(s):  
Billy J. Hensley ◽  
Jesse B. Jurgenson ◽  
Lisa-Anne Ferris
Keyword(s):  
Professional Development ◽  
Adult Education ◽  
Financial Literacy ◽  
Best Practice ◽  
Development Program ◽  
Financial Education ◽  
Financial Behaviors ◽  
Personal Finances ◽  
Teacher Professional ◽  
Financial Decision

Financial education is an important area of study due in part to the need for improved understanding of how to navigate an ever more complex financial decision-making environment, thus the need for effective classroom instruction. The purpose of this study is to examine a “teacher-as-learner” professional development program that is rooted in both professional development and adult education fields of study as means of providing financial education. This program educates teachers on their own personal finance, ultimately better preparing educators to teach financial literacy education. Results showed significant improvements in self-reported financial behaviors between pre- and posttests. Results suggest using contextual learning for teacher professional development because it benefits personal finances and successful teaching practices.

scholarly journals Household’s Overindebtedness during the COVID-19 Crisis: The Role of Debt and Financial Literacy

Risks ◽  
2021 ◽  
Vol 9 (4) ◽  
pp. 62
Author(s):  
Łukasz Kurowski
Keyword(s):  
Financial Literacy ◽  
Multinomial Logistic Regression ◽  
Financial Education ◽  
Management Skills ◽  
Budget Management ◽  
Mortgage Loans ◽  
Consumer Loans ◽  
Personal Finances ◽  
The Face

The COVID-19 pandemic has shown how important it is to prepare one’s own financial budget for the unexpected loss of income. In this dimension, the financial education of the society plays an invaluable role. It allows us to account for events that may adversely affect personal finances in our budget management decisions. Therefore, the aim of the article is to check whether households with a higher level of financial and debt literacy have better management skills from the perspective of a household’s budget, which in the face of a crisis reduces the risk of individuals not paying their liabilities. Thus, at the turn of June and July 2020, we conducted surveys among 1300 Polish citizens. Using the multinomial logistic regression, we show that people with a higher financial and debt literacy are less affected by overindebtedness. During the crisis, people who have a higher debt literacy are better prepared to manage credit liabilities; in this situation, financial literacy is less important. In addition, the type of credit experience turned out to be significant. Respondents who have experience with consumer loans (potentially high-margin products) are more likely to have debt repayment problems than those with mortgage loans experiences.

The Role of Financial Inclusion

2020 ◽  
pp. 248-279
Author(s):  
Ulkem Basdas
Keyword(s):  
Decision Making ◽  
Financial Literacy ◽  
Financial Education ◽  
Financial Inclusion ◽  
Decision Making Process ◽  
Standard Definition ◽  
Financial Decision Making ◽  
Financial Decision ◽  
Different Levels

This chapter highlights the importance of financial education, its link with financial decision-making process, comparative status of different countries, and efforts to improve current situation. Unfortunately, there is no standard definition for neither financial education nor measures to quantify it. Therefore, this chapter first aims to provide a comprehensive definition in order to explain how financial knowledge affects the decision-making process. Then, financial literacy measures from previous studies over different countries would be discussed to show financial illiteracy problem is global. Lastly, solutions and recommendations would be discussed at three different levels: younger people, individuals, and national strategies.

Financial Education and Financial Attitudes: Evidence From a High School Experiment

2020 ◽  
Vol 31 (2) ◽  
pp. 251-266
Author(s):  
Radha Bhattacharya ◽  
Andrew Gill
Keyword(s):  
High School ◽  
High School Students ◽  
Risk Taking ◽  
Financial Literacy ◽  
Financial Education ◽  
Literacy Intervention ◽  
School Students ◽  
Financial Attitudes ◽  
Increase Risk ◽  
Per Se

We surveyed high school students in Southern California to investigate whether there is an improvement in financial attitudes from eight class periods of financial literacy intervention in a high school economics course. We examine whether the money management (MM) and financial investing (FI) components of financial instruction influence attitudes differently and whether they each influence attitudes beyond a standard economics course. We find that the MM treatment influences being thrifty and delaying gratification. Both treatments increase risk-taking behavior, with neither treatment being more important than the other. Within the confines of our experiment, exposure to economics per se did not influence any of the financial attitudes, pointing to the need for financial education to inculcate healthy financial attitudes in high school children.

APPROACHES ON FINANCIAL EDUCATION IN HIGH SCHOOL: INTERFACES WITH RESEARCH IN THE AREA

2020 ◽  
Vol 3 (1) ◽  
pp. 111-123
Author(s):  
Patrícia Da Silva Sá Sartório ◽  
Airton José Vinholi Júnior
Keyword(s):  
High School ◽  
Decision Making ◽  
High School Students ◽  
School Context ◽  
Financial Education ◽  
Formal Context ◽  
Basic Question ◽  
School Students ◽  
Daily Lives

It is of fundamental importance that Brazilian school institutions are concerned with financial education in people's daily lives, since this is indispensable in everyday decision-making, both school and family, because much of what is learned in the school context, is practiced at home. In this sense, the basic question raised for this work is: how to propose a financial education that favors discussions about the family budget of high school students in Brazilian schools? One of the aspects that needs to be pointed out is the problem related to the quality of students' decision-making, with regard to financial education, whether in the formal or non-formal context of teaching. The current situation points to a very significant number of people who have financial defaults, failing to meet their monetary commitments. Thus, in order to maximize studies on this theme, the work sought to collect information and trends on this theme on the national scene, through a bibliographic article, focusing on academic productions related to financial education and aimed at high school. The aim of this study was to show the importance of working on this topic with high school students, the habit since adolescence of having a healthy financial life, which later in adulthood will be put with more practice and experience.

scholarly journals Do Financial Literacy and Financial Education Influence Smoking Behavior in the United States?

2021 ◽  
Vol 18 (5) ◽  
pp. 2579
Author(s):  
Mostafa Saidur Rahim Khan ◽  
Pongpat Putthinun ◽  
Somtip Watanapongvanich ◽  
Pattaphol Yuktadatta ◽  
Md. Azad Uddin ◽  
...  
Keyword(s):  
United States ◽  
Decision Making ◽  
Financial Literacy ◽  
Smoking Behavior ◽  
Positive Association ◽  
Financial Education ◽  
The United States ◽  
Rational Decision ◽  
Probit Regression ◽  
Rational Decision Making

Smoking is still a serious economic, health, and social problem despite various efforts to curb its prevalence. We examined the influence of financial literacy and financial education on the smoking behavior in the United States in terms of the use of rational decision-making abilities to reduce irrational behavior. We hypothesized that financial literacy and financial education, as proxies for rational decision making, would reduce the likelihood of smoking. We used data from the Preference Parameters Study (PPS) of Osaka University conducted in the United States in 2010 and applied probit regression models to test our hypothesis on a sample of 3831 individuals. We found that financially literate people are less likely to be smokers, though we found no clear role of financial education in reducing the likelihood of smoking. Further, respondents’ gender, age, unemployment status, and risky health behaviors such as drinking and gambling, have a significantly positive association with smoking, while marital status, university degree, family size, household income, household assets, physical exercise, and level of happiness have a significantly negative association. Our findings suggest that financial literacy, as an instrument encouraging rational decision making, could be a tool to help reduce smoking in the United States.

scholarly journals Макроекономска (не)стаблиност Босне и Херцеговине – криза: шанса или ограничење // Macroeconomic (in)stability of Bosnia and Herzegovina – crisis: opportunities or limitations

2013 ◽  
Vol 11 (18) ◽  
pp. 67
Author(s):  
Мирко Пуљић
Keyword(s):  
Decision Making ◽  
Bosnia And Herzegovina ◽  
Financial Literacy ◽  
Continuous Monitoring ◽  
Full Employment ◽  
Balance Of Payments ◽  
Price Stability ◽  
Material Resources ◽  
Long Time ◽  
Balanced Budget

Резиме: Одговор на питање да ли су глобални процеси манифестовани у виду финансијске кризе, шанса или ограничење развоја националне економије подразумијева двије основне претпоставке: знање и разумијевање, те способност интерпретације суштине глобалних процеса и познавање структуре, људских и материјалних капацитета, националне економије.Наведене претпоставке се могу испунити само под условом систематског и континуираног праћења и анализе како глобалних процеса, тако и кретања у оквиру националне економије.Знање из финансија и сродних, односно граничних области омогућава успјех у проналажењу шансе и у кризним околностима. Актери одлучивања код нас не посједују финансијску писменост, односно одговарајућа знања и разумијевање за идентификовање и реализацију повољних прилика. А криза је и шанса, давно је речено. То произилази и из саме грчке ријечи krisis, или кинеске weiji које означавају кризу и у себи садрже како опасност или ограничење, тако и шансу, односно прилику. Постојеће макроекономско стање БиХ се од једног броја политичара квалификује као стабилно. У тексту се та констатација оспорава презентирањем шест макроекономских сегмената – кретање БДП, пуна запосленост, стабилност цијена, стабилност девизног курса, уравнотежени биланс плаћања и уравнотежени буџет.Summary: The answer to the question of whether global processes manifested in the form of financial crisis, are opportunities or limitations for the development of the national economy requires two basic assumptions:Knowledge and understanding, and interpretation of the essence of global processes andKnowledge of the structure, of human and material resources, national economy.The aforementioned assumptions can be met only under the condition of systematic and continuous monitoring and analysis of global processes and trends in the national economy.Knowledge in finance and related fields provides success in finding opportunities in crisis circumstances. Decision making authorities do not possess adequate financial literacy and knowledge and understanding to identify and implement opportunities. A crisis is an opportunity, it has been said a long time ago. It derives from the Greek word Krisis or Chinese Wei which indicate crisis and contain danger or limitation as well as chance and opportunity.The current macroeconomic situation in Bosnia and Herzegovina is deemed stable by a number of qualified officials.This paper challenges this conclusion by presenting six macro-economic segments - the growth of GDP, full employment, price stability, exchange rate stability, balanced balance of payments and balanced budget.

scholarly journals Components of Financial Literacy of Young People

2018 ◽  
Vol 6 (1) ◽  
pp. 5-19
Author(s):  
Andrea Hornyák
Keyword(s):  
High School Students ◽  
Financial Literacy ◽  
Family Background ◽  
Core Competencies ◽  
International Comparisons ◽  
Field Research ◽  
Financial Education ◽  
Point Of View ◽  
School Type ◽  
School Students

AbstractThe financial crisis has drawn attention to the importance of the population’s financial literacy. I am investigating assessment methodologies to evaluate financial literacy both from the point of view of macroeconomics and microeconomics in my study. I am of the opinion that the elaboration of the financial competency model based on international database is the solution that can lead to the determination of conditions of financial awareness by collectively investigating financial education, core competencies, and the psychological role of money. I surveyed the financial knowledgeability of Hungarian high school students with the help of field research after assessing the OECD and PISA findings. I received very different results of knowledge, behaviour, and attitudes by school type, gender, age-group, and family background, which might support the assessment of financial literacy indicators, the evaluation of results, and international comparisons.

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