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Financial literacy: an exploratory analysis in Portugal

Author

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  • TAVARES Fernando Oliveira

    (ISCET - Higher Institute of Business and Tourism)

  • ALMEIDA Luís Gomes

    (ISCET - Higher Institute of Business and Tourism)

  • SOARES Vasco Jorge

    (ISVOUGA - Higher Institute of Between Douro and Vouga)

  • TAVARES Vasco Capela

    (ISEG-UL - Lisbon School of Economics & Management, University of Lisbon)

Abstract

This work aims to verify, through an exploratory factor analysis, which are the determinants of the financial literacy of the Portuguese over 18 years old. The quantitative method is used, by using a questionnaire survey, and 839 surveys were obtained. It is observed that the factors resulting from the exploratory factor analysis are: (1) planning and financial goals to 1-2 years, (2) long-term savings and (3) the taste for numerical calculation. We analyse the statistically significant differences between means regarding gender, school education, the existence of household budgets and age. It is concluded that it is important to obtain some financial training at the beginning and throughout life, to better be able to make the financial family planning, to make applications with better return and to reduce the financial risk of the family. It is concluded that the closer to the retirement age, the more people tend to save, since during retirement income usually decreases.

Suggested Citation

  • TAVARES Fernando Oliveira & ALMEIDA Luís Gomes & SOARES Vasco Jorge & TAVARES Vasco Capela, 2022. "Financial literacy: an exploratory analysis in Portugal," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 17(2), pages 252-269, August.
    • Handle: RePEc:blg:journl:v:17:y:2022:i:2:p:252-269
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    References listed on IDEAS

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