nep-fle New Economics Papers
on Financial Literacy and Education
Issue of 2021‒05‒31
four papers chosen by

  1. Impact of Financial Inclusion on the Socio-Economic Status of Rural and Urban Households of Vulnerable Sections in Karnataka By Manohar Serrao; Aloysius Sequeira; K. V. M. Varambally
  2. Measuring financial inclusion and financial exclusion By Ozili, Peterson K
  3. Financial literacy, education, and voter turnout. By Lo Prete, Anna
  4. The Role of Technology in Business-to-Consumer E-Commerce: Evidence from Asia By Kang , Jong Woo; Wang, Tengfei; Ramizo, Dorothea

  1. By: Manohar Serrao; Aloysius Sequeira; K. V. M. Varambally
    Abstract: Financial inclusion and inclusive growth are the buzzwords today. Inclusive growth empowers people belonging to vulnerable sections. This in turn depends upon a variety of factors, the most important being financial inclusion, which plays a strategic role in promoting inclusive growth and helps in reducing poverty by providing regular and reliable sources of finance to the vulnerable sections. In this direction, the Government of India in its drive for financial inclusion has taken several measures to increase the access to and availing of formal financial services by unbanked households. The purpose of this paper is to assess the nature and extent of financial inclusion and its impact on the socio-economic status of households belonging to vulnerable sections focusing on inclusive growth. This has been analyzed with the theoretical background on financial access and economic growth, and by analyzing the primary data collected from the Revenue Divisions of Karnataka. The results show that there is a disparity in nature and extent of financial inclusion. Access to, availing of formal banking services pave the way to positive changes in the socio-economic status of households belonging to vulnerable sections which are correlated, leading to inclusive growth based on which the paper proposes a model to make the financial system more inclusive and pro-poor.
    Date: 2021–05
  2. By: Ozili, Peterson K
    Abstract: Achieving high levels of financial inclusion has been a policy priority for policy makers in many countries as policy makers seek to reduce the level of financial exclusion to low levels. There have also been increased interest in financial inclusion research by academics. This paper proposes some index and ratios of financial inclusion and financial exclusion. The proposed index, measures and ratios are easy to compute and are comparable across countries. Policy makers, analysts and academics will find it useful.
    Keywords: Financial inclusion, financial exclusion, poverty, access to finance, index, inclusive growth, development
    JEL: G00 G21 O17
    Date: 2021
  3. By: Lo Prete, Anna (University of Turin)
    Abstract: This work studies the long-run association between political participation and different levels and types of education across countries, with a special focus on financial literacy. In a sample of advanced and developing countries observed over the period 1990-2014, financial literacy increases citizens’ participation to political life. The results hold applying linear and instrumental variables techniques, and in panel regressions that characterize the medium-term determinants of voter turnout. The nexus between education at school and voter turnout is not as robust both in the long-term and in the medium-term. One interpretation is that school education is arguably related to the development of civic skills. However, these skills alone might not be as powerful to spur civic engagement, and in turn electoral participation, as those skills needed to gauge the contents of policies and policy agendas that indicators of financial literacy capture.
    Date: 2021–03
  4. By: Kang , Jong Woo (Asian Development Bank); Wang, Tengfei (United Nations Economic and Social Commission for Asia and the Pacific); Ramizo, Dorothea (Asian Development Bank)
    Abstract: The business-to-consumer (B2C) online commerce landscape is changing rapidly, supported by the technological innovation. However, its diffusion remains concentrated in developed and large economies and is creating a digital divide that excludes small and medium-sized enterprises and people with limited means. The coronavirus disease (COVID-19) pandemic exposed an urgent need to close the divide, both within and across countries. This paper explores disparities in B2C online commerce revenues among selected Asian economies by investigating the role of technology adoption in B2C sales online. Using proprietary panel data to ensure comparability of B2C online commerce across countries and years, the study investigates empirically the possible drivers of B2C online commerce growth. This paper yields important insights for policy makers and businesses and provides evidence that internet access and speed, online security, and financial inclusiveness matter in facilitating internet retail sales. Governments should consider these as important issues in building an enabling environment that will help B2C online commerce adapt to the post COVID-19 world and ensure that innovations create opportunities for all.
    Keywords: broadband; e-commerce; financial inclusion; technology
    JEL: F13 F14
    Date: 2021–02–09

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