Does Financial Education Impact Financial Literacy and Financial Behavior, and If So, When?
A meta-analysis of 126 impact evaluation studies finds that financial education significantly impacts financial behavior and, to an even larger extent, financial literacy. These results also hold for the subsample of randomized experiments (RCTs)....
| Main Authors: | , |
|---|---|
| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2017
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/144551502300810101/Does-financial-education-impact-financial-literacy-and-financial-behavior-and-if-so-when http://hdl.handle.net/10986/27968 |
| Summary: | A meta-analysis of 126 impact evaluation
studies finds that financial education significantly impacts
financial behavior and, to an even larger extent, financial
literacy. These results also hold for the subsample of
randomized experiments (RCTs). However, intervention impacts
are highly heterogeneous: financial education is less
effective for low-income clients as well as in low- and
lower-middle income economies. Specific behaviors, such as
the handling of debt, are more difficult to influence and
mandatory financial education tentatively appears to be less
effective. Thus, intervention success depends crucially on
increasing education intensity and offering financial
education at a "teachable moment." |
|---|