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The impact of financial literacy on household property income: An empirical analysis based on CHFS data

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  • Guan, Fuquan

Abstract

Property income has become a key component of household income in China. This study employs factor analysis to measure residents' financial literacy levels and examines its impact on household property income and underlying mechanisms. The findings indicate that financial literacy positively affects household property income. Heterogeneity analysis shows a stronger effect for urban households, high-income households, and those with higher education. Mechanism analysis reveals that financial literacy promotes household property income by enhancing access to financial information and increasing the proportion of income from risky financial assets in total property income.

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  • Guan, Fuquan, 2025. "The impact of financial literacy on household property income: An empirical analysis based on CHFS data," Finance Research Letters, Elsevier, vol. 81(C).
    • Handle: RePEc:eee:finlet:v:81:y:2025:i:c:s1544612325008177
    DOI: 10.1016/j.frl.2025.107558
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    1. António Afonso & Eduardo Rodrigues, 2026. "Financial Literacy and Saving Behavior: Global Cross-Sectional Evidence," Working Papers REM 2026/0403, ISEG - Lisbon School of Economics and Management, REM, Universidade de Lisboa.

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