ABSTRACT
Covid-19 and the unprecedented surge in financial technology contributed to unexpected financial challenges, affecting the relevance of financial decision making and perceived financial well-being. This paper examines the mediating effects of digital financial literacy, financial autonomy, financial capability, and impulsivity on financial decision making and perceived financial well-being. The data come from 512 re-spondents in Delhi/NCR (National Capital Region), India, using a snowball-sampling technique and partial least squares structural equation modeling to test 13 structural hypotheses with SmartPLS3.3. Partial least squares (PLS) prediction is employed to estimate the out-of-sample predictive power of the proposed model. Our findings reveal that skills directly affect financial decision making and perceived financial well-being, and digital financial literacy emerges as a direct and mediating predictor of financial decision making. The dominance of financial capability and financial autonomy as mediators in financial decision making and financial well-being become more evident, and impulsivity fails to have mediating effects on financial decision making. The results have academic, regulatory, and managerial implications, all of which calls for more concerted efforts at recognizing the unique interaction among skills-financial decision making-perceived financial well-being, the cu-mulative effect of which enhances the critical ability to deal with environmental challenges, manage socioeconomic pressures in a sustainable manner, and translate the benefits into prudent gender-specific policy decisions and practices.Copyright (c) 2022 Borsa Istanbul Anonim S , irketi. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).
ABSTRACT
Financial well-being is a key component of quality of life and overall well-being and is likely to affect other aspects of quality of life, such as health and health care. The COVID-19 pandemic presents an immense crisis of financial well-being among low-income entrepreneurs and has left many small-scale entrepreneurs financially fragile. We argue that promoting the financial capability of low-income entrepreneurs is effective in protecting their financial well-being from a crisis. To examine the association between financial capability and the financial well-being of low-income entrepreneurs, we use the 2016 National Financial Well-Being Survey, which provides the latest and comprehensive measurement of financial capability, including financial knowledge, financial skills, and access to financial products and services. Our analyses show that, compared to their higher-income counterparts, low-income entrepreneurs have statistically lower levels of financial well-being, financial knowledge, financial skills, and access to mainstream financial products;they also have a statistically higher risk of using high-fee alternative financial products. In addition, low-income entrepreneurs have larger barriers to accessing mainstream financial products than low-income non-entrepreneurs. The results indicate that financial capability plays a significant role in promoting the financial well-being of low-income entrepreneurs. © 2023 by the authors.
ABSTRACT
As society continues to recover from the economic impact of the Covid-19 pandemic, there is an increasing need to support the financial capability of vulnerable communities like first-generation college students (Office of Human Services Policy, 2021). The sooner college students can achieve financial stability by making better decisions regarding debt acquisition, credit cards, savings accounts, and financial goal-setting (Eichelberger et al., 2017), the sooner they will establish a sustainable economic foundation for their futures. First Gen Money is an innovative solution to help first-generation college students become financially capable. This online program promotes the financial capability of first-generation college students by increasing access to quality financial education and financial coaching services and providing a safe space online for first-generation college students to learn, grow and connect. This project will contribute to the literature on financial capability and offer an alternative approach to addressing financial capability among this population. In addition, this project, First Gen Money, shifts the focus from financial literacy alone to engaging with multiple aspects of financial capability. (PsycInfo Database Record (c) 2022 APA, all rights reserved)
ABSTRACT
As society continues to recover from the economic impact of the Covid-19 pandemic, there is an increasing need to support the financial capability of vulnerable communities like first-generation college students (Office of Human Services Policy, 2021). The sooner college students can achieve financial stability by making better decisions regarding debt acquisition, credit cards, savings accounts, and financial goal-setting (Eichelberger et al., 2017), the sooner they will establish a sustainable economic foundation for their futures. First Gen Money is an innovative solution to help first-generation college students become financially capable. This online program promotes the financial capability of first-generation college students by increasing access to quality financial education and financial coaching services and providing a safe space online for first-generation college students to learn, grow and connect. This project will contribute to the literature on financial capability and offer an alternative approach to addressing financial capability among this population. In addition, this project, First Gen Money, shifts the focus from financial literacy alone to engaging with multiple aspects of financial capability. (PsycInfo Database Record (c) 2022 APA, all rights reserved)
ABSTRACT
Advancements in financial system and technology, enlarged individual responsibility for financial decisions, and rapid information expansion, have fundamentally transformed women's need to be functionally literate and financially capable, especially after the COVID-19 pandemic. The personality also has long term implications on financial well-being. The aim of the paper is to study the dominating role of financial attitude, financial awareness & skills, and financial behaviour on financial competence and the moderating role of personality on financial knowledge, financial behaviour, financial attitude, and financial capability. Multi stage stratified random sampling has been used to collect data from 530 urban working women in both the Public and Private sectors, self-employed professionals, and entrepreneurs. Smart-PLS is used by applying Structure Equation Modelling (SEM) to study the moderating role of personality on financial attitude, behaviour, knowledge, and capability. Further the Chi-square test and Tukey test and Kruskal Wallis Test are used to test the hypothesis. The study found that Financial Knowledge of working women with gold personalities influences their financial capability (Beta, 0.578) the most, While, Financial Behaviour is the primary influencer having green (Beta, 0.396) & blue (Beta, 0.638) personalities. Working women having Green Personality are found to be superior with respect to Financial Behaviour, Financial Capability and Financial Knowledge. It is also observed that working women having blue personality characteristics, have comparatively better financial attitude. © 2022 WITPress. All rights reserved.
ABSTRACT
Covid-19 and the unprecedented surge in financial technology contributed to unexpected financial challenges, affecting the relevance of financial decision making and perceived financial well-being. This paper examines the mediating effects of digital financial literacy, financial autonomy, financial capability, and impulsivity on financial decision making and perceived financial well-being. The data come from 512 respondents in Delhi/NCR (National Capital Region), India, using a snowball-sampling technique and partial least squares structural equation modeling to test 13 structural hypotheses with SmartPLS3.3. Partial least squares (PLS) prediction is employed to estimate the out-of-sample predictive power of the proposed model. Our findings reveal that skills directly affect financial decision making and perceived financial well-being, and digital financial literacy emerges as a direct and mediating predictor of financial decision making. The dominance of financial capability and financial autonomy as mediators in financial decision making and financial well-being become more evident, and impulsivity fails to have mediating effects on financial decision making. The results have academic, regulatory, and managerial implications, all of which calls for more concerted efforts at recognizing the unique interaction among skills—financial decision making—perceived financial well-being, the cumulative effect of which enhances the critical ability to deal with environmental challenges, manage socioeconomic pressures in a sustainable manner, and translate the benefits into prudent gender-specific policy decisions and practices.
ABSTRACT
This study develops a conceptual framework that provides a broad understanding of financial well-being. Using the 2018 National Financial Capability Study and structural equation modeling methods, this study provides empirical evidence for the proposed framework by identifying significant direct and indirect determinants of financial well-being. Previous personal financial wellness and financial satisfaction-related research provides a theoretical rationale for the construction of the conceptual framework in the current study. The results reported the relationships among these determinants, including financial perceptions and knowledge factors, financial stress, short- and long-term positive financial behavior, and financial satisfaction. The findings indicate that financial satisfaction, short-term financial behavior, perceived financial capability showed positive and direct associations with financial well-being, whereas financial stress and long-term financial behavior were negatively and directly associated with financial well-being. Financial perception and knowledge factors, financial stress, and short-term financial behavior also showed significant indirect relationships with financial well-being. The findings of this study contribute to the literature on financial well-being and provide significant policy and practical implications. Implications for financial practitioners and policy makers are discussed.
ABSTRACT
The COVID-19 pandemic has forced a rethink of many areas of our society. Financial education should be no exception. Based on the assumptions of 20th century neoclassical economics, and not catering for cultural, social and ecological considerations in our purchasing decisions, the New Zealand offering of resources to teach financial wellbeing are lacking in several key areas. I expose the gaps in the current approach by discussing the financial reality for many people in New Zealand. I propose three reorientations towards financial education based on 1) changes to people’s current financial situations and financial prospects;2) changes to our understanding of the importance of ecological and social factors in purchasing decisions, and the role of cultural factors in access to financial products;and finally, 3) developments in our knowledge of how we make decisions. I conclude that a new set of assumptions should be adopted, and that educators commit to preparing our young people for a future of both financial instability and change, and financial wellbeing and success, encouraging them to define their own success measures individually and in their communities. © 2021, Wilf Malcolm Institute of Educational Research. All rights reserved.