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Financial (dis-)information: Evidence from a multi-country audit study

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  • Giné, Xavier
  • Mazer, Rafael Keenan

Abstract

We conduct an audit study in Ghana, Mexico and Peru to assess whether mandated disclosures are enforced and whether products offered meet the needs of low-income customers. Trained auditors visited financial institutions seeking credit and savings products. We find that staff only provides cost information when asked, disclosing less than a third of the total cost voluntarily. With this limited information, the advantages to comparison shopping are small. In addition, clients are rarely offered the least costly product.

Suggested Citation

  • Giné, Xavier & Mazer, Rafael Keenan, 2022. "Financial (dis-)information: Evidence from a multi-country audit study," Journal of Public Economics, Elsevier, vol. 208(C).
    • Handle: RePEc:eee:pubeco:v:208:y:2022:i:c:s0047272722000202
    DOI: 10.1016/j.jpubeco.2022.104618
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    Cited by:

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    More about this item

    Keywords

    Disclosure mandates; Compliance; Audit study;
    All these keywords.

    JEL classification:

    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance

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