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Financial literacy of Italian teens and family�s background: evidence from PISA 2012

Author

Listed:
  • Pasqualino Montanaro

    (Bank of Italy)

  • Angela Romagnoli

    (Bank of Italy)

Abstract

PISA 2012 is the first large-scale international survey that has ever assessed the financial literacy (FL) of 15-year-olds. For Italy, the picture that emerges is negative, with average FL scores that are about 7 per cent lower than the OECD average. After controlling for a number of factors usually used to explain the students� performance � such as gender, immigration status, school type and socio-economic status � Italy�s gap remains wide. The FL score is positively correlated with math and reading as well. However, the relationship between FL and basic skills is weaker in Italy than elsewhere, and it declines more markedly moving from low- to high-performers. For Italians, the direct impact on FL of a family�s socio-economic and cultural conditions is also weaker. Indeed, a significant proportion (about 40 per cent) of Italy�s gap is attributable to students who, despite coming from relatively affluent families, are characterized by moderate FL levels. Based on students� responses, this gap may also be traced back to a lack of involvement of Italian students in money and financial matters.

Suggested Citation

  • Pasqualino Montanaro & Angela Romagnoli, 2016. "Financial literacy of Italian teens and family�s background: evidence from PISA 2012," Questioni di Economia e Finanza (Occasional Papers) 335, Bank of Italy, Economic Research and International Relations Area.
    • Handle: RePEc:bdi:opques:qef_335_16
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    File URL: https://www.bancaditalia.it/pubblicazioni/qef/2016-0335/QEF_335_16.pdf
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    References listed on IDEAS

    as
    1. Annamaria Lusardi & Olivia S. Mitchell, 2014. "The Economic Importance of Financial Literacy: Theory and Evidence," Journal of Economic Literature, American Economic Association, vol. 52(1), pages 5-44, March.
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    Cited by:

    1. Sara Lamboglia & Massimiliano Stacchini, 2022. "Financial literacy, numeracy and schooling: evidence from developed countries," Questioni di Economia e Finanza (Occasional Papers) 722, Bank of Italy, Economic Research and International Relations Area.

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    More about this item

    Keywords

    PISA; school; surveys of students� proficiency; financial literacy JEL Classification: I20; I21; I22;
    All these keywords.

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid

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