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Financial Literacy, Economic Preferences, and Adolescents' Field Behavior

Author

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  • Michael Razen
  • Jürgen Huber
  • Laura Hueber
  • Michael Kirchler
  • Matthias Stefan

Abstract

Financial literacy and economic preferences are considered to be important drivers of health, income, and general well-being. We bridge the gap between studies on financial literacy and research on economic preferences by investigating how they interplay with each other and with the field behavior of adolescents. First, we report that financial literacy scores are positively associated with patience, male gender, and educational level of the father. Second, we observe that risky field behavior like smoking and gambling is positively associated with various measures of risk-tolerance, and negatively associated with patience. Finally, we discuss implications for financial education programs.

Suggested Citation

  • Michael Razen & Jürgen Huber & Laura Hueber & Michael Kirchler & Matthias Stefan, 2020. "Financial Literacy, Economic Preferences, and Adolescents' Field Behavior," Working Papers 2020-05, Faculty of Economics and Statistics, Universität Innsbruck.
    • Handle: RePEc:inn:wpaper:2020-05
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    References listed on IDEAS

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    Cited by:

    1. Aschenwald, Marco & Holzknecht, Armando & Kirchler, Michael & Razen, Michael, 2024. "Covariates of behavioral consistency among adolescents," Journal of Behavioral and Experimental Finance, Elsevier, vol. 44(C).

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    More about this item

    Keywords

    Experimental finance; financial literacy; time preferences; risk preferences; adolescents;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • G53 - Financial Economics - - Household Finance - - - Financial Literacy
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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