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on Financial Literacy and Education |
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Issue of 2026–01–12
five papers chosen by Viviana Di Giovinazzo, Università degli Studi di Milano-Bicocca |
| By: | Chakanika, Precious; Qutieshat, Abubaker |
| Abstract: | The paper presents findings from a study carried out to assess the level of financial literacy among women in Malawi. A survey method was used, whereby a questionnaire was developed and administered through Google Forms. The findings indicate that financial literacy for women in Malawi is moderate. The study recommends more trainings on financial literacy for women in Malawi, and the findings indicate a willingness among women to participate in such trainings. The study also recommends learning institutions, Ministry of finance, financial institutions and other players should enhance involvement of in financial literacy programs which should target both young and adult populations. The study will help inform other similar studies in the future considering that there is limited literature on the topic in Malawi and Africa at large. This research is the only one that has been carried out to indicate the levels of financial literacy for Women in Malawi. |
| Keywords: | Budget Management, Financial Behavior, Financial Literacy, Financial Management, Saving Culture, Finance, Malawi, Africa, Women |
| JEL: | D14 D91 G02 |
| Date: | 2025–12–12 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:127390 |
| By: | Alhumaidhi, Taiba; AlReshaid, Faisal; Alzayed, Kenda |
| Abstract: | This study aims to validate a questionnaire designed to measure financial literacy among youth in Kuwait. The instrument was developed using items sourced from various existing tools and tailored to the Kuwaiti context, with a focus on youth aged 18–25 years. The questionnaire was initially divided into seven domains, covering different aspects of financial literacy, including budgeting, savings, investments, debt management, financial planning, risk awareness and digital financial tools. A sample of 1064 participants completed the questionnaire. Exploratory factor analysis (PCA) and Confirmatory Factor Analysis (CFA) were employed to evaluate the structure, reliability and validity of the instrument. The results of the CFA confirmed that financial literacy can be grouped into four distinct domains: Consuming Behaviour (CB), Information Literacy (IL), Financial Practices (FP) and Investment Behaviour (IB). These four domains emerged as the most reliable and validated constructs for measuring financial literacy among youth in Kuwait. The study successfully developed and validated a comprehensive tool for assessing financial literacy among Kuwaiti youth. The confirmed domains provide a robust framework for future research and policy development aimed at enhancing financial literacy education and interventions in Kuwait. |
| Keywords: | factor analysis; financial behaviour; financial literacy; Kuwaiti youth; questionnaire validation |
| JEL: | F3 G3 |
| Date: | 2025–12–12 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:130786 |
| By: | Niessen-Ruenzi, Alexandra; Mueden, Vanessa; Zimmerer, Leah |
| Abstract: | Women are significantly less likely to participate in the stock market than men. We show that financial socialization plays an important role in explaining this gap. Survey data from Germany and the U.S. indicate that parents discuss financial matters less frequently with their daughters than with their sons. Women also report fewer financial role models and less exposure to peers who invest in the stock market. We find that this early-life difference in financial socialization leads to lower financial literacy and lower financial confidence of women later in life, and also explains why they are less likely to participate in the stock market than men. |
| Keywords: | Gender investment gap, Financial socialization, Financial literacy, Stock market participation |
| JEL: | G11 G41 G53 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:zewdip:333902 |
| By: | Kirschenmann, Karolin; Knebel-Seitz, Caroline |
| Abstract: | How do retirees choose among home equity release products? Despite housing wealth being households' largest asset, little is known about preferences for different equity release products. We conduct a survey experiment comparing home annuities, reverse mortgages, and an opt-out option among the German adult population. We find that presentation format (simultaneous vs. sequential) does not affect product choices. The majority of participants prefer no equity release product. Among those selecting equity release, home annuities are preferred over reverse mortgages. Individual characteristics, in particular risk tolerance, bequest motive, and financial literacy predict choices. The latter highlights the importance of consumer education given the complexity of these long-term financial decisions. |
| Keywords: | Equity release products, reverse mortgage, home annuity, retirement planning, financial literacy |
| JEL: | D14 G20 G51 G53 J26 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:zewdip:333933 |
| By: | Claudio Daminato; Irina Gemmo |
| Abstract: | Sound retirement planning requires individuals to have precise beliefs about their survival chances. Based on an online survey experiment administered to a representative sample of the US population, we provide first evidence of the patterns of individuals’ uncertainty about their survival probabilities, i.e., survival ambiguity, over the life-cycle. To this end, we devise a novel direct measure of survival ambiguity at the individual level, using the variance of the distribution of subjective survival probabilities. Leveraging experimental variation, we find that providing information about objective survival chances decreases individuals’ degree of survival ambiguity. Further, we show that individuals’ survival ambiguity is strongly negatively associated with individuals’ savings rates. Finally, we provide a realistic life-cycle model of savings and portfolio choice that rationalizes the empirical evidence. Our findings provide an explanation for the observation that many individuals “save too little” for their retirement and support information campaigns about individuals’ objective survival chances in addition to financial education programs to improve retirement security, as survival ambiguity presents a previously unexplored determinant of financial well-being. |
| Keywords: | Life Cycle, Savings Behavior, Subjective Expectations, Survival Ambiguity |
| JEL: | D15 D91 G51 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:rsi:irersi:21 |