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The Effects of Financial Education on Financial Literacy and Savings Behavior: Evidence from a Controlled Field Experiment in Dutch Primary Schools

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  • Adriaan Kalwij
  • Rob Alessie
  • Milena Dinkova
  • Gea Schonewille
  • Anna van der Schors
  • Minou van der Werf

Abstract

This article reports the results of a controlled field experiment designed to estimate the short‐term effects of a 45‐minute financial education program on the financial literacy and savings behavior of children in Dutch primary schools. Among fifth and sixth graders, the program led to a pre‐ to posttest improvement in financial literacy on almost one of eight questions, with about one‐third of the increase in correctness attributable to the program. It also raised the probability of willingness to save by 4 percentage points. Nonetheless, whereas the program appears effective in respect to questions that explicitly address program content, its significant effects on financial literacy seem primarily driven by the results for girls, although we cannot reject homogeneous treatment effects with respect to gender.

Suggested Citation

  • Adriaan Kalwij & Rob Alessie & Milena Dinkova & Gea Schonewille & Anna van der Schors & Minou van der Werf, 2019. "The Effects of Financial Education on Financial Literacy and Savings Behavior: Evidence from a Controlled Field Experiment in Dutch Primary Schools," Journal of Consumer Affairs, Wiley Blackwell, vol. 53(3), pages 699-730, September.
    • Handle: RePEc:bla:jconsa:v:53:y:2019:i:3:p:699-730
    DOI: 10.1111/joca.12241
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    Cited by:

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    2. Mahfuzur Rahman & Nurul Azma & Md. Abdul Kaium Masud & Yusof Ismail, 2020. "Determinants of Indebtedness: Influence of Behavioral and Demographic Factors," IJFS, MDPI, vol. 8(1), pages 1-14, February.
    3. Nicole Jonker & Anneke Kosse, 2020. "The interplay of financial education, financial literacy, financial inclusion and financial, stability: Any lessons for the current Big Tech era?," Working Papers 692, DNB.
    4. Amagir, Aisa & van den Brink, Henriëtte Maassen & Groot, Wim & Wilschut, Arie, 2022. "SaveWise: The impact of a real-life financial education program for ninth grade students in the Netherlands," Journal of Behavioral and Experimental Finance, Elsevier, vol. 33(C).
    5. Nicole Jonker & Anneke Kosse, 2022. "The interplay of financial education, financial inclusion and financial stability and the role of Big Tech," Contemporary Economic Policy, Western Economic Association International, vol. 40(4), pages 612-635, October.
    6. Tracey West & Michelle Cull, 2020. "Future Expectations and Financial Satisfaction," Economic Papers, The Economic Society of Australia, vol. 39(4), pages 318-335, December.
    7. Eberle, Mira & Oberrauch, Luis, 2023. "What a difference three years of economics education make: Evidence from lower stream schools in Germany," International Review of Economics Education, Elsevier, vol. 42(C).
    8. Struckell, Elisabeth M. & Patel, Pankaj C. & Ojha, Divesh & Oghazi, Pejvak, 2022. "Financial literacy and self employment – The moderating effect of gender and race," Journal of Business Research, Elsevier, vol. 139(C), pages 639-653.

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