Common Cents: An Analysis of Financial Literacy and Socioeconomic Mobility in the United States
Shapiro, Joshua Matthew
Many experts in the field of consumer finance highlight the scarcity of financial literacy in the United States. Compared to other developed countries, the U.S. population lacks rudimentary financial skills that would enable them to achieve greater success. Even after the expansion of financial tools and products and the recent economic fallout due to the Great Recession, there seem to be millions of Americans who are still financially illiterate. Using data from the Consumer Financial Protection Bureau’s (CFPB) 2017 National Financial Well-Being Survey, this thesis assesses the potential impacts various demographic and personal factors have on financial literacy in the U.S. When measuring financial literacy, this thesis finds that education, race and ethnicity, gender, income, poverty status, homeownership, and perceived financial literacy are associated with financial knowledge levels. These findings underscore existing empirical research and may be beneficial when considering solutions to curb the compounding nature of financial illiteracy for future generations. Because financial literacy may be of great importance to socioeconomic mobility in the United States, it is vital that further research attempt to connect aspects described in this thesis to lasting public policy remedies.
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Does Mandatory Financial Education Work? Evaluating the Impacts of Mandatory Secondary School Standards on Financial Literacy Reilly, Brandon Donald (Georgetown University, 2016)Mandatory financial education has been touted as a solution for low levels of financial literacy among the American populace. Most existing research into the efficacy of these programs were complete prior to the Great ...