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Financial Literacy and Food Security in Extremely Vulnerable Households

Author

Listed:
  • Millimet, Daniel L.

    (Southern Methodist University)

  • McDonough, Ian K.

    (University of Nevada, Las Vegas)

  • Fomby, Thomas B.

    (Southern Methodist University)

Abstract

Food insecurity is one of the most, if not the most, significant, nutrition-related public health issue confronted in the US. Unfortunately, we know very little about the determinants of food security except that it is not synonymous with poverty. Many households above the poverty line are food insecure; many below are not. We investigate a lack of financial literacy as a potential salient determinant of household-level food security. In light of the recent financial crisis and the burgeoning literature on financial literacy, we know that inadequate financial skills and practices are a significant problem that spans all socioeconomic groups. Using original survey data collected among food pantry clients in North Texas, we assess the causal effect of financial literacy on food security. Our results indicate a strikingly significant effect, both economically and statistically.

Suggested Citation

  • Millimet, Daniel L. & McDonough, Ian K. & Fomby, Thomas B., 2015. "Financial Literacy and Food Security in Extremely Vulnerable Households," IZA Discussion Papers 9103, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp9103
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    Cited by:

    1. Payne, Hannah E. & Gray, Bobbi & Davis, Siena F. & Hine, Cassidy A. & Das, Arindam & Kabra, Manisha & Crookston, Benjamin T., 2016. "Factors associated with food insecurity among women and children in rural Rajasthan, India," Journal of Gender, Agriculture and Food Security (Agri-Gender), Africa Centre for Gender, Social Research and Impact Assessment, vol. 1(3), pages 1-17.
    2. Craig Gundersen & David R. Just & Judith Bartfeld & J. Michael Collins, 2017. "Food Insecurity, Financial Shocks, and Financial Coping Strategies among Households with Elementary School Children in Wisconsin," Journal of Consumer Affairs, Wiley Blackwell, vol. 51(3), pages 519-548, November.
    3. Isaac Koomson & Renato A. Villano & David Hadley, 2023. "The role of financial literacy in households’ asset accumulation process: evidence from Ghana," Review of Economics of the Household, Springer, vol. 21(2), pages 591-614, June.

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    More about this item

    Keywords

    food security; financial literacy; poverty;
    All these keywords.

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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