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This article evaluates a financial literacy curriculum at the Howard University (HU) School of Business, by measuring the financial knowledge acquired after participating in a variety of programs. To evaluate the HU curriculum, the National Jump$tart Coalition (NJC) survey was administered to collect data on financial knowledge and demographic characteristics. Descriptive statistics and regression analysis were used to study the data. The results show that HU-Business students performance was comparable to Jump$tarts national average for college students and Business/Economics students. HU Business students scored higher than the Jump$tarts African American student sample. The regression analysis helped identity key factors that influence financial awareness for HU students including having checking account, electronic tax preparation, taking a course in personal finance or money management, GPA, and frequently balancing check book.
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American Journal of Business Education October 2011 Volume 4, Number 10
© 2011 The Clute Institute 73
A Review Of Howard University’s
Financial Literacy Curriculum
Debby Lindsey-Taliefero, Ph.D., Howard University, USA
Lynne Kelly, Ph.D., Howard University, USA
William Brent, Ph.D., Howard University, USA
Russell Price, Howard University, USA
ABSTRACT
This article evaluates a financial literacy curriculum at the Howard University (HU) School of
Business, by measuring the financial knowledge acquired after participating in a variety of
programs. To evaluate the HU curriculum, the National Jump$tart Coalition (NJC) survey was
administered to collect data on financial knowledge and demographic characteristics.
Descriptive statistics and regression analysis were used to study the data. The results show that
HU-Business students performance was comparable to Jump$tart’s national average for college
students and Business/Economics students. HU Business students scored higher than the
Jump$tart’s African American student sample. The regression analysis helped identity key factors
that influence financial awareness for HU students including having checking account, electronic
tax preparation, taking a course in personal finance or money management, GPA, and frequently
balancing check book.
Keywords: Financial Literacy; Financial Literacy Score; Assessment of Financial Literacy; Financial Knowledge
Acquisition; CreditSmart
INTRODUCTION
n 1999, Howard University was asked by Freddie Mac along with four other universities to develop a
consumer credit curriculum that could be used to educated college students and adults in the community.
The curriculum CreditSmart®, which is a multilingual financial education curriculum designed to help
consumers build and maintain better credit, make sound financial decisions, and understand the steps to sustainable
homeownership. (CreditSmart®: A Guide to Better Credit, Money Management, and Responsible Homeownership
2011.) CreditSmart® helped lay the foundation for our current financial literacy curriculum in the School of
Business at Howard University (HU). As a result of the Howard University’s involvement with the development of
CreditSmart®, the President of university was ask to testify on Capitol Hill at the Senate Hearing on “The State of
Financial Literacy and Education in America” (Swygert & Lindsey, 2002). In preparation for the HU President’s
testimony, a Student Credit and Financial Awareness Survey (SC&FA), unique to Howard students, had been
administered and analyzed for nine years
The purpose of this article is to provide a better understanding of relevant factors that may influence the
success of financial education at the college level generally, but specifically among African American students. In
particular, the following questions are addressed:
Are there any unique socio-economic and demographic characteristics of the evaluated students that may
impact financial learning?
Are the evaluated students financial aware. If so, what are the key factors that influence their awareness? If
not, what areas are they deficient?
Are the current financial literacy educational paradigms effective?
I
American Journal of Business Education October 2011 Volume 4, Number 10
74 © 2011 The Clute Institute
LITERATURE REVIEW AND BACKGROUND
The Great Recession of the late 2000s has highlighted that the importance of individuals and families
having the information, education, and tools to help them make better sound financial decisions in an increasingly
intricate financial system. Studies have shown that financial difficulties of individuals and families can radically
affect the financial health of local communities and regional economies. (Kingsley, T.G., Smith, R., & Price, 2009
& United Way, 2010) The Great Recession has also illustrated that financial well-being of individuals and families
are fundamental to national financial stability. Hence, inadequate financial literacy is a barrier that can lower
standard of living and wealth accumulation.
A growing body of financial literacy literature has emerged over the past 12 years. The literature primarily
involved cross-sectional or longitudinal survey methods with some regression analysis. Many of the studies have
focused on how knowledgeable Americans are about personal finance (Mandell, 2009; Lusardi, 2008; Volpe, Chen
& Liu, 2006; & Chen & Volpe, 1999). Questions usually focus on financial concepts like obtaining a credit report,
knowing the person’s credit score, and distinguishing various types of credit. Some other studies focus on
experiential use of credit such as the number of credit accounts a respondent has or the amount of personal debt
(Brau, Homes, & Israeken, 2010; Hartford Financial Services Group, Inc., 2007; & Robert Manning 1999). Both
knowledge-based and experiential-based surveys generally collect data on respondents’ demographic characteristics
as well. Table 1 presents a summary of seven financial literacy studies that provide insight into college students’
financial literacy behavior or approaches to comprehend or measure financial literacy.
Table 1: A summary of studies on financial literacy in the United States
All the articles reviewed collected data through the survey method. Three out of the eight studies included
a definition of “financial literacy.” The Jump$tart study (Mandell, 2008) defined financial literacy as the abi lity to
use knowledge and skills to manage financial resources effectively for lifetime financial security. This definition
includes both “knowledge” and “ability” with an intended outcome (i.e., lifetime financial security/well-being). The
Jump$tart definition uses the terms financial knowledge and financial literacy interchangeability. Five of the studies
reviewed categorize as financial literacy the following four key subject areas: basic concepts on money
management, borrowing, savings/investment, and financial protection. Seven out of eight of the studies focus on
college students’ financial knowledge or financial experience. The data collection process varied across studies.
Most were collected by personal interviews or by paper. Other collecting processes included on-line, telephone
Author/Date Topic Sample Questions Average Score/Results
Brau, Homes &
Israeken/(2010)
Financial Learning
Activities
1493 College
Students
Personal Finance Leaning Activities/
Life Experiences/ Demographic
43% mean score; Age, marriage, credits, stock
market impacts on financial literacy the strongest
Mandell/ (2009) Financial Knowledge
1,032 College
students
31 Financial Knowledge;
24 Demographic /Financial Experience
62.2 % mean score; students score improved with
each year of college
Lusardi/2008
Financial Security
after Retirement
1984 Adults
45 Basic Financial Concepts and
Demographic
Financial illiteracy impacts negatively saving,
retirement planning and wealth accumulation
Hartford FSG,
Inc./(2007)
Financial Literacy Gap
between Students &
Parents
1,108 College
Students; 1,086
Parents
Personal Finance Learning Activities
(24%) of students and 20% of parents say students
are prepared to deal with the financial challenges
after graduation
Volpe, Chen &
Liu/(2006)
Knowledge of
Personal Finance for
Working Adults
212 Benefit
Administrators
34 Personal Finance; 24
Demographic/Financial Experience
Deficiencies in employee's knowledge in the areas of
retirement planning and personal finance
GAO/(2005)
Credit Report and
Credit Score
1, 578 Consumers
25 Credit Report; 13 Dispute
Resolution; 2 Identity Theft; Credit
Score; 1 FACT Act; 9 Demographic
Most consumers understood credit reporting and
score; 33 % obtained their credit score but 28 % did
not comprehend credit score ranges
Manning/(1999) Credit Cards
College Students:
300 Interviews;
400 Surveys
Credit Card Experience
81% of students had credit by end of 1st year; credit
card debt imposed large and varied cost on students
Chen &
Volpe/(1998)
Personal Finance
Knowledge
924 College
Students
Financial Decisions & 8
Demographic/Financial Experience
American Journal of Business Education October 2011 Volume 4, Number 10
© 2011 The Clute Institute 75
interviews, or self reported. In general, the results for many of the studies indicate that most students and segments
of the adult population are not prepared to take on financial decision-making. They have deficiencies in financial
knowledge and experience which impacts decisions about saving, investments, retirement planning, and wealth
accumulation. Supplementary discussion of the literature on financial literacy can be founded in Huston (2010),
Amromin, Ben-David, Agarwal, Chomsisengphet and Evanoff (2010), and McCormick (2009).
Using concepts, methods and empirical evidence from financial literacy literature and personal finance
studies, the research team adapted the National Jump$tart Coalition (NJC) survey to assess our financial education
curriculum. Our choice was based on the clarification of the well-defined survey instrument at that time and its
ability to measure the financial literacy construct of both knowledge and application. In addition, Jump$tart survey
covered all four personal finance content areas and it was administered to college students in 2008. The HU views
financial education curriculum as an input intended to increase the student’s human capital, specifically financial
knowledge, skills, and experiences. The HU construct infers that financial education influences personal financial
behavior, thus application. This line of reasoning is consistent with the Huston’s (2010) approach and is presented
in Figure 1.
Figure 1: Knowledge and Application: A Financial Literacy Construct.
Figure 2 presents the existing financial literacy delivery system at the HU School of Business. Two
elective courses are offered designed specifically for personal financial management--Principles of Personal
Financial Planning (FINA 320) and Personal Money Management (FIN 210). Principles of Personal Financial
Planning is for business majors only and is a comprehensive analysis of personal financial planning process as it
relates to setting up the total financial and estate affairs of individuals and families. Prerequisites for this course are
Finance Principles or Business Finance. Personal Money Management is designed to give non-business majors
exposure to personal financial decision-making in the areas of credit, banking, taxes, record keeping, real planning,
retirement, and employment benefits. There are no perquisites for this course.
In addition, to the two complete courses, HU offers two required courses for business majors that provide
modules/seminars/workshops in the area of money management, credit, and investment. These courses are Business
Orientation (MGMT 001) and Managerial Economics (BECN 330). Business Orientation is designed to prepare our
students to meet the challenges of the School of Business and the corporate world. The money management module
in the orientation course focuses on financial goals setting, budgeting, and the use of credit. No prerequisites are
American Journal of Business Education October 2011 Volume 4, Number 10
76 © 2011 The Clute Institute
required. The other required course is Managerial Economics, which analyzes decision-making in the enterprise
using economic principles. Through seminars and workshops economic principles are applied to individual
behavior by focusing on topics related to budgeting, credit behavior, saving, and investment.
Figure 2: Current Financial Literacy Curriculum
METHOD
The fundamental approach applied in this study to evaluate the financial education curriculum in the School
of Business is the survey method and regression analysis. The National Jump$tart Coalition (NJC) survey was used
to collect data on financial literacy knowledge and demographic characteristics. To test the financial literacy
knowledge of our students the NJC survey was administered to HU students. Jump$tart Annual Report (2009) gives
the details on the questions, question design, and sampling for NJC survey. Jump$tart survey began in 1997-98
school year, as a nationwide survey of 12th grade students to determine the ability of our young to survive in today’s
complex economy. In 2008, the survey was expanded to include college students. The college instrument consisted
of 56 questions. The first 31 questions test the total financial literacy knowledge (TFLK). The other questions
capture either standard demographic information about the students or evidence of experiential financial behavior,
such as credit card use, accumulation of debt, checking account, checkbook balancing habits, and incidence of
overdrafts, and manner of tax preparation. Using the HU students’ results from the NJC survey, average financial
literacy scores are computed and compared to Jump$tart’s national sample and t-tests are conducted to test for
statistically significant differences. A regression model describing total financial literacy was developed. From this
model, inferences were made about the financial awareness of our student population in the School of Business
along with identifying key factors that influence total financial literacy knowledge.
RESULTS
National Jump$tart Coalition (NJC) survey. Figure 3, figure 4, and Figure 5 each show the percent correct
responses for the NJC financial literacy assessment questions. The Jump$tart and HU responses are compared and
statistically evaluated using t-tests. The total financial literacy (TFL) score is based on 31 questions. While the
other scores measure five key Personal Finance Standards identified by Jump$tart Coalition. These standards
capture the following: understanding income, money management, saving and investment, spending, and credit.
Figure 3 shows a slight difference between Jump$tart and HU performance on the financial literacy
assessment test. This difference was not statistically significant. Areas that need the greatest improvements include
topics on saving, investment, and money management. Improving our students’ knowledge of personal investments
will be one of our biggest challenges, since research (Oliver and Shapiro, 2006) has shown understanding various
American Journal of Business Education October 2011 Volume 4, Number 10
© 2011 The Clute Institute 77
types of investments historical has been a major issue for African Americans’ wealth creation. Oliver and Shapiro
note despite comparable incomes, middle-class blacks have fewer of their wealth holdings in capital-producing
assets than similarly situated whites. Among high earning families ($50,000 a year or more) 17 percent of whites’
assets are in stocks, bonds, and mortgages versus 5.4 percent for blacks.
Figure 3: Jump$tart and Howard University Financial Literacy Scores
by Key Categories & Total
Figure 4 compares Jump$tart’s Business and Economics majors to HU students. Since the majority of the
students surveyed at HU were business majors or minors, we thought this comparison was better suited as matched-
paired. The results were the same as above. There was no statistically significant difference in financial literacy
scores.
Figure 4: Jump$tart’s Business and Economics Major and Howard University
Financial Literacy Scores by Key Categories & Total
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
Income
70.0%
71.9%
Money Managem ent
53.6%
54.1%
Saving an d Investmen t
53.6%
54.0%
Spendi ng
67.5%
68.2%
Credit
61.0%
62.6%
Total Fina ncial Literac y
62.2%
63.1%
JumpSta rt College
Howard Uni versity
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
Income
69.3%
71.9%
Money Manage ment
54.9%
54.1%
Saving an d Investmen t
56.4%
54.0%
Spendi ng
66.3%
68.2%
Credi t
60.8%
62.6%
Total Fina ncial Literac y
62.4%
63.1%
JumpSta rt College -
Busin ess/Economi cs
Howard Univers ity
American Journal of Business Education October 2011 Volume 4, Number 10
78 © 2011 The Clute Institute
Figure 5 compares Jump$tart’s African American sample to HU students. Since nearly all students
surveyed at HU were African American, African or Caribbean, this sample was better suited for comparison. The
results were quite different. In all assessment areas, the HU students performed better than the Jump$tart’s African
American sample. The differences were all above six percent and were statistically significant at the 99 percent
level of confidence. The greatest difference (9.5%) was in the area of understanding income and the smallest (6.2%)
was in the area of spending.
In general, the HU students performed as well as Jump$tart samples overall and as compared to Business
and Economics majors. HU students performed on average seven percentage points better than the Jump$tart
African American student sample. We attribute HU students’ better performance to their exposure to calculus,
statistics, finance, economics, and accounting as well as the distinctly nurturing environment at Historically Black
Colleges and Universities (Gasman, 2008). The most unique discoveries about our students are that the majority of
them come from middle class families that are highly educated and that our students had extremely high educational
aspirations. Over 54.4% of our students’ parents have incomes above $80,000 and 83.7% had attended college.
Also, 81.9% of our students aspired to obtain a graduate or professional degree. Theses demographics help to
explain why our students, who are predominately African American scored higher on the financial literacy
assessment test than the Jump$tart’s African American sample. There is evidence that family characteristics impact
HU student’s financial learning (Kelly, Lindsey-Taliefero, Brent & Price, 2010). Kelly et al. found that parents’
income and self reported social class are association with HU students’ perception of their credit and that social
class is association with scrutinizing their credit report.
Figure 5: Jump$tart’s African American Students and Howard University Financial Literacy Scores
by Key Categories &Total
Modeling total financial literacy knowledge score. A multiple regression model was used to estimate how various
independent variables (i.e., age, education, income, amount of credit card debt, and etc.) influence the dependent
variabletotal financial literacy knowledge (TFLK) score or the percent correct answers. The financial literacy
score is a cumulative and represents the sum of the correctly answered 31 questions on the Jump$tart financial
literacy test.
Table 2 lists the independent variables used in our financial literacy model. They are clustered into three
groups: demographic and family characteristics, formal learning activities, and experiential learning activities.
There were 166 students that took the Jump$tart financial literacy assessment test. On average, students answered
63.1 percent of the questions correctly. Most of the students (60.1 %) were 21 years old or less. Females made up
0.0%
20.0%
40.0%
60.0%
80.0%
Income
62.4%
71.9%
Money Manage ment
45.3%
54.1%
Saving an d Investmen t
46.3%
54.0%
Spendi ng
62.0%
68.2%
Credi t
56.0%
62.6%
Total Fina ncial Literac y
55.3%
63.1%
JumpSta rt College -
African Ameri can
Student s
Howard Univers ity
Resp onse (%)
American Journal of Business Education October 2011 Volume 4, Number 10
© 2011 The Clute Institute 79
67.5 percent of the sample. Students expected to earn more than $50,000 after graduation 68.7% of the time and
planned to earn an advance degree 81.9% of the time. A large share of the students’ parents (83.7%) attended some
college, or had college degrees / graduate degrees. The majority, 54.4 % of the students’ parents, earn income of
$80,000 or more. A high percentage of the students (68.7%) had grade point averages that were 3.0 and above.
Only 10.2 percent of the HU students had taken a course in personal finance, while 31.9 % reported taking a money
management workshop or investment seminar. Fifty percent of the students have student loan debt over $20,000
and 21.7% had credit card debt over $1,000. The students rarely had auto loans and mortgages. Nearly all students
had checking account but just over half balanced their checkbook frequently. Almost a fifth of students did the
taxes on the on-line. One researcher (Lightspeed Research, 2011) estimates that 38% of Americans do their taxes
online.
Table 2: Descriptive Summary of Measures Used in of Financial Literacy Model
Table 3 provides the regression results. The regression model is evaluated by considering both the impact
of each independent variable on TFLK score and statistical significance of estimates. Most of the data classifies
students into categories (i.e., male/female or different income levels). One of the categories acts as the base state
and independent variable shows whether the students are in or not in that base state. For example, in the case of
having a checking account, not having a checking account is the base-state. Thus, having a checking account
increases the total knowledge score on average by 18.9 percentage points as compared to not having a checking
account. In a similar manner, other binary variables are constructed.
TFLK score was estimated using ordinary least squares SPSS backward method. Eight models were
estimated starting with sixteen independent variables. The models had R2 values ranging from 0.359 to 0.348 and
were statistically significant at the 99 percent level of confidence. Model 1 has the full set of independent variables
and Model 8 has includes those independent variables meeting the backward criterion that the probability of F-to-
remove is greater than or equal to 0.100. Both models are discussed in below.
Model 1 includes all the variables and had 9 independent variables statistically significant either at 95
percent level of confidence or above. These variables include the following: age, GPA, College-Personal Finance
Course, College-Money Management/Investment Seminars, Having a Bank Account, Frequency Balancing
Checkbook; and Online Tax Preparation. Formal and experimental learning activities appear to have the greater
impact on financial literacy knowledge. Taking a college course in personal finance or a seminar in money
management or investment increases your total knowledge score by 7.37 and 2.33 percentage points, respectively.
Category Mean/Mode
Dependent Variable:
Total Financial Literacy Knowledge 63.1% = mean score
Independent Variables:
Demographic and Family Characteristics
Age 60.2% = 21 years old or less
Gender 67.5% = female
Students Expected Income 68.7% = $50,000 or greater
Parent's Education 83.7% = Some college or more
Parent's Income 54.4% = $80,000 or more
Formal Learning Activities
GPA 68.7% = 3.0 or greater
Student's Highest Expected Level of Education 81.9% = Graduate or professional degree
Personal Finance Course in College 89.8% = Did not take course
College Money/Investment Seminar 68.1% = Did not take seminar
Experimental Learning Activities
Student Loan Debt 50.0% = Student loan debt > $20,000
Credit Card Debt 78.3% = Student credit card debt < $1,000
Auto Loan 93.4% = Did not have auto loans
Mortgage Loan 95.2% = Did not have mortgages
Bank Account 98.2% = Had checking account
Frequency of Balancing Checkbook 59.6% = Rarely balance checkbook
Tax Prepared on Computer 80.7% = Did not prepared taxes electronically
American Journal of Business Education October 2011 Volume 4, Number 10
80 © 2011 The Clute Institute
Table 3: Dependent Variable: Financial Literacy Knowledge (Coefficients and t-values)
Note: ***p < .01, **p < .05, *p < .10, N = 166
American Journal of Business Education October 2011 Volume 4, Number 10
© 2011 The Clute Institute 81
Students that have student loans also have higher financial literacy score by 6.17 percentage points. This
finding is not surprising since universities require students to take financial aid training in order to get a loan. If you
maintain a GPA of 3.0 or above increases your score by 5.49 percentage points. Having a checking account
increases the total knowledge score on average by 18.9 percentage points as compared to not having a checking
account. Preparing your own taxes on-line increases your score by 8.21 percentage points. Balancing your
checkbook frequency increases your score by 5.12 percentage points.
Model 8, is considered to have the best fit [R2 = .348, (F(9,156) = 9.27, p < .001, N =166] and provides
statistical support for the financial literacy construct illustrated in Figure 1. Evidence of support is measured by
significant of variables that increase financial knowledge. Two of formal learning variables statistically increased
financial knowledgeCollege Course in Personal Finance (t = 7.63, p = .013, N = 166) and College Seminar in
Money Management/Investment (t = 5.04, p = .014, N = 166). Four of the experimental learning variables
statistically increased financial knowledgeStudent Loan Debt (t = 5.94, p = .002, N = 166), Having a Bank
Account (t = 19.09, p = .006, N = 166), Frequency of Balancing Checkbook (t = 5.45, p = .004, N = 166), and
Online Tax Filing (t = 8.43, p <.001, N = 166).
CONCLUSION
This article evaluates the current curriculum of financial education within the School of Business at
Howard University. To facilitate this, students’ socio-economic characteristics were examined in order to identify
distinctive individuality that may impact their financial learning; Jump$tart’s financial literacy test as administered;
and a regression model was estimated to capture key determinates of financial literacy knowledge. As compares to
the national sample, the majority of HU students had higher expectation of pursuing an advanced degree and came
more often from middle-income families that attended college. HU students’ performance on the Jump$tart
financial literacy test was statistically no different from the average national-college student. However, there is
room for improvement. Currently, the HUBS financial knowledge score is just above 60%, which is considered
passing, but marginally. At a minimum, 70% should be the overall financial literacy score. The regression analysis
identified experimental and formal learning activities having the greatest impact on financial literacy knowledge. In
review, HU should continue with the seminars on Money Management/Investments and the Personal Finance and
Personal Money Management courses. The regression analysis indicates that the courses are effective in increasing
total financial knowledge. Unfortunately, seminars and courses are under-utilized or are offered too infrequently.
To increase enrollment, a well planned marketing strategy is necessary. As a final point, this article serves a
baseline that can be used to augment and evaluate the HUBS financial literacy curriculum over time.
AUTHOR INFORMATION
Debby Lindsey-Taliefero, Ph.D. is an Associate Professor of Economics in the Department of Finance at Howard
University. Her research efforts have focused on financial literacy, mortgage lending, foreclosures, and
discrimination in auto financing. Her work has been featured or cited by ABC 20/20, New York Times, Washington
Post, and as expert testimony in auto finance racial discrimination litigation. Email: dlindsey@howard.edu
Lynne Kelly, Ph.D. is an Assistant Professor in the Department of Finance, International Business and Insurance at
Howard University in Washington, DC. She conducts research in the areas of real estate, international finance, and
mutual fund performance. Email: ljkelly@Howard.edu
William Brent, DBA, is an Associate Professor of Finance in the Department of Finance, International Business
and Real Estate at Howard University. His research efforts have focused on M&A Case Analysis, and Capital
Structure analysis, foreclosures, and financial literacy. Email: wbrent@Howard.edu
Russell M. Price, Ph.D. is an Assistant Professor in the Department of Finance Howard University. He teaches
courses in Macroeconomics, Financial Management, Finance Principles, Financial Modeling, Financial
Markets/Institutions and Commercial Real Estate/Housing Finance. His research interests include real estate finance,
asset pricing, valuation, mutual funds, mortgage pricing, and REITs. Email: r_price@Howard.edu
American Journal of Business Education October 2011 Volume 4, Number 10
82 © 2011 The Clute Institute
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Article
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The World Bank, in 2016 defined women’s empowerment as a principle for sustainable development and for the fulfilment of the Millennium Development Goals (MDG). Economic empowerment has been identified as a main section of women’s empowerment in literature. Economic empowerment directly influences the improvement of women’s decision-making power and their financial well-being. Previous researchers have explored many antecedents of women’s economic empowerment; among them financial literacy is the most significant determinant in literature. Financial literacy defines as a combination of financial knowledge, financial skills and financial attitudes. Further many researchers argue that financial literacy has greater importance for increasing economic empowerment among women. However, the most important argument is whether financial literacy is a significant determinant of women’s economic empowerment in Sri Lankan context. Therefore, the present study mainly focuses on exploring the impact of financial literacy among rural poor on their economic empowerment in the context of Sri Lanka. The sample for this study was drawn from under privileged families who are living under the poverty line in 09 provinces in the country. Altogether 426 questionnaires were distributed and 386 completed questionnaires were taken for final analysis. There were 24 items employed to represents 5 main dimensions to measure the women’s economic empowerment (i.e.: 1. Decision-making power, 2. Control over the use of income and expenditure, 3. Leadership in the community, 4. Control over time allocation and 5. Financial wellbeing). And financial literacy was tested based on 25 items which was employed to determine the 04 key factors (i.e.: 1. Financial awareness, 2. Financial knowledge, 3. Financial skills, 4. Financial attitude and 5. Financial behavior). The reliability was measured by Cronbach’s Alpha coefficients. Data were collected with the assistance of a researcher administrated questionnaire. The sample was selected based on the multilevel mixed sampling method and the unit of analysis was the women headed households in rural areas representing 25 Districts represented each province of the country. Furthermore, a partial least squares structural equation model (PLS-SEM) was employed as the principle data analysis approach, and Smart PLS 3 was employed as the main analytical software. However, descriptive analysis was done by using SPSS 22. The findings revealed that, the financial literacy has significant impact on women’s economic empowerment among the rural poor. However, when it was considered under separate dimensions, financial wellbeing and control over time allocation have significant impact on financial literacy among rural women. Further it was noted that all the hypotheses were accepted after the analysis. Therefore, researcher concluded that financial literacy can be considered as a significant determinant of women economic empowerment in Sri Lankan context as well. Finally, the researcher provides some suggestions for government policy decision makers to develop financial literacy level for enhancing women’s economic empowerment in Sri Lanka.
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During the recent years, the world has encountered a huge financial change with personal, organizational, national, and global effect. On the other side, competency modeling teams are concerned on the external changes as one of the sources of information. Thereupon, they are expected to pay more attention on financial competency in competency modeling. Our library research and preliminary field study revealed the least attention on financial competency. The purpose of this paper is to diagnose for inattention on financial competency. We held 2 eight-person focus group discussions and 12 in-depth interviews to learn about “why it has been neglected.” The participants included Iranian large-size business owners, organizational top managers, and HR managers. A grounded theory approach was deployed to analyze the findings of focus groups and interviews. The participants addressed to a combination of potentials that have been categorized in this paper.
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The majority of youth consistently receive failing scores on financial literacy tests—even those who have taken courses on personal finance or money management. Some specific programs, however, have demonstrated beneficial effects. Thus, it is imperative to identify the key considerations and promising delivery methods which may inform positive changes in financial literacy and/or behavior among youth. In the present study, we conducted a comprehensive review of the current literature on youth financial literacy education, with the goal of identifying characteristics of financial education programs which may influence positive changes. The findings from the literature on these key considerations and promising delivery methods are discussed in detail, with attention given to developmental considerations as appropriate.
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In the current financial crisis, children and youth are uniquely impacted by household finance complexities. Moments of financial trouble are teachable opportunities for children and youth to learn about personal finance and to improve their own money management skills. However, comprehensive strategies for educating them about personal finance have not yet emerged. This review of the literature explores the state of youth financial education and policy, including definitions and measures of effectiveness. Delineating a range of approaches to the delivery and assessment of youth financial education, this paper reports on impact data and best practices and highlights some controversies. It concludes with a discussion of the gaps in knowledge and suggestions for further research.
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Financial literacy and the effectiveness of financial education and counseling: A review of the literature
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