nep-fle New Economics Papers
on Financial Literacy and Education
Issue of 2022‒06‒13
six papers chosen by

  1. Научные представления о финансовой грамотности населения// Humanitarian and Socio-Economic Sciences Journal ISSN 2733-0931, no. 6(17) (November 30, 2021)/ Chief Editor V. Klevtcov /Open European Academy of Public Sciences : Tallinn, Estonia, 2021. P.91-101. By Kudryashov, Alexander
  2. Mobile money-driven financial inclusion, exposure to shocks and households' financial resilience strategies adoption process: Evidence from Cameroon By Patrick-Hervé Mbouombouo Mfossa
  3. Financial Literacy Amongst Young People: When Does the Gender Gap Begin? By Preston, Alison; Wright, Robert E.
  4. Financial Development and Income Inequality: Evidence from Advanced, Emerging and Developing Economies By Carolyn Chisadza; Mduduzi Biyase
  5. Does Public Employment Affect Household Saving Rates? Evidence from Chinese Household Data By Can Xu; Andreas Steiner
  6. The Effects of Microcredit on Households Economy in Cambodia By Phon Sophat; Bun Phany

  1. By: Kudryashov, Alexander (Open European Academy of Public Sciences)
    Abstract: За последнее десятилетие финансовая грамотность населения стала важным вопросом для правительства Российской Федерации. Финансовая грамотность имеет решающее значение для граждан, как эффективное знание для преодоления будущих последствий демографических изменений, прежде всего таких, как старение и низкие темпы воспроизводства населения, что, в свою очередь, находит отражение этого тренда и в развитых странах. Необходимость владения минимальными знаниями в области управления личными финансами также связано с усложнением финансовых рынков и распространением новых финансовых технологий. Финансовая грамотность является необходимым требованием обеспечения финансовой доступности, способствуя стимулированию экономического роста и улучшения благосостояния населения.Over the past decade, the financial literacy of the population has become an important issue for the government of the Russian Federation. Financial literacy is crucial for citizens as effective knowledge to overcome the future consequences of demographic changes, primarily such as aging and low reproduction rates of the population, which, in turn, is reflected in this trend in developed countries. The need to have minimal knowledge in the field of personal finance management is also associated with the complication of financial markets and the spread of new financial technologies. Financial literacy is a necessary requirement for financial inclusion, helping to stimulate economic growth and improve the well-being of the population.
    Date: 2021–11–23
  2. By: Patrick-Hervé Mbouombouo Mfossa (CCAM - Centre Congolais Allemand de Microfinance - UPC - Université protestante au Congo)
    Abstract: Relying on the 2017 Cameroon Finscope Consumer survey dataset, the goal of this working paper is to conceptualize households' adoption of financial resilience strategies to adverse shocks as a multi-step process and investigate the key factors that influence the transition from one step to another as well as the role of mobile money in each of these transitions
    Abstract: En s'appuyant sur les données de l'enquête Finscope 2017 auprès des consommateurs camerounais, l'objectif de ce document de travail est de conceptualiser l'adoption par les ménages de stratégies de résilience financière face à des chocs défavorables comme un processus à plusieurs étapes et d'étudier les facteurs clés qui influencent la transition d'une étape à l'autre ainsi que le rôle du mobile money dans chacune de ces transitions.
    Keywords: Multi-step process,Financial resilience strategies,Fiancial inclusion,Mobile money,Stratégies de résilience financière,Processus à plusieurs étapes,Inclusion financière
    Date: 2022–03–19
  3. By: Preston, Alison (University of Western Australia); Wright, Robert E. (University of Glasgow)
    Abstract: Using micro-data from the Household, Income and Labour Dynamics in Australia (HILDA) Survey, and the Oaxaca-Blinder decomposition technique, this paper contributes to knowledge on gender-gaps in financial literacy (FL) via a study of teenagers, emerging adults and young adults. The analysis suggests that important predictors of FL include schooling, high school-type, labour market activity and parental employment. There are large unexplained gaps, equal to 31.6%, 19.3% and 11.9% amongst those aged 15-19, 20-24 and 25-29, respectively. Very little of the gap may be explained by gender differences in human capital variables and other characteristics, including mathematics ability, cognitive ability and personality. The main conclusion is that the gap starts young and likely derives from gender stereotype beliefs.
    Keywords: financial literacy, gender gap in financial literacy, gender stereotypes, adolescence, Oaxaca-Blinder decomposition
    JEL: B54 D14 D31 G18 I30 J26
    Date: 2022–05
  4. By: Carolyn Chisadza (Department of Economics, University of Pretoria, Pretoria, South Africa); Mduduzi Biyase (Director of the Economic Development and Well-being Research Group (EDWRG); Senior lecturer at the School of Economics, University of Johannesburg)
    Abstract: Using a broad-based index of financial development, this paper investigates the effects of financial development on income inequality for 148 countries between 1980 and 2019. The findings indicate that in general, financial development reduces inequality across emerging and least developed countries, but is not statistically significant for advanced countries. However, when we disaggregate the financial development index into its sub-components (financial institutions and financial markets), we find different effects on inequality, based on the levels of development. Further investigation on the dimensions under financial institutions and financial markets (depth, access and efficiency) reveals that banking sector development under financial institutions has income inequality-reducing effects in emerging and least developed countries, while stock market development under financial markets widens inequality in least developed countries. The findings in our paper firstly highlight the nuances in financial development depending on the level of development in countries, and secondly that policies focussed on financial inclusion of the poor can mitigate inequality.
    Keywords: financial development, financial markets, inequality, financial institutions
    JEL: C22 D63 G20 O55
    Date: 2022–04
  5. By: Can Xu; Andreas Steiner
    Abstract: This paper investigates the impact of public employment on household saving rates in China using representative household-level data. After controlling for a series of variables such as income, risk attitude, financial literacy, and demographic factors, we show that households headed by public employees have higher saving rates than other households. This positive association holds after controlling for self-selection bias. Public employees are more likely to save for their children and they have a higher saving capacity than non-public employees due to better social security. Our results contribute to a better understanding of Chinese household saving rates, which is of great importance given their extremely high level in international comparison.
    Keywords: public employment, household saving rates, Chinese economy
    JEL: D14 E24 H31 G51
    Date: 2022
  6. By: Phon Sophat (National Bank of Cambodia); Bun Phany (Khemerak University)
    Abstract: The impacts of loan on livelihoods' households such as incomes, consumptions, education and their assets in Cambodia are very important to finger out. The AMK data is employed in the year 2007, 2012, 2013 and 2014 which is determined and surveyed entire 18 provinces of Cambodia by research department. The empirical findings to meet the objectives of this study by using Ordinary Least Squares regression (OLS), Fixed Effect model(FE) and Random Effect model(RE). Fixed Effect model is most appropriate tool to use and it suggests that most households using AMK loans increased their livelihoods and incomes. Casual impacts of loan show that other loan get worse off in terms of education expenditures while AMK loans improve the education of the households. Furthermore, loans impact positively on the health expenditures. This increases around 1.03% of health expenditures. AMK loan improves the households' educations around 12.39% across the years. Clients of AMK can foster the households' incomes by 4% due to the regression result. In term of assets, AMK loan improves positively to the total land usage. Most of AMK clients have lesser educational levels than non-clients shown in this survey. Households like to use two loan sources respectively while their incomes have extremely limited. To prove more details, Cambodian households usually use the loan in non-productive business such as wedding expenditures, funeral expenditures, dwelling expenditures and other make-up tools which do not earn much incomes for their livelihoods.
    Keywords: Cambodia,Financial Inclusion,JEL CODE: O16,L31 Micro-credits,MFIs and Over-indebtedness
    Date: 2022–03–25

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