Financial Literacy and Behavioral Biases among Traditional Age College Students

Ohaness Paskelian, Kevin Jones, Stephen Bell and Robert Kao

Accounting and Finance Research, 2019, vol. 8, issue 1, 30

Abstract: Financial literacy and planning are crucial for everyone. This is especially true for college students who as the decisions they make in this stage of their lives can haunt them throughout their income earning years and beyond. In this paper, we examine several financial literacy issues facing college students. We identify college students’ perceptions about their own financial situation, assess student financial literacy knowledge, as well as evaluate their awareness about the status of their savings and retirement positions. We find that basic financial literacy is not the only factor in making sound financial decisions. Our results show the majority of the college students surveyed are financially literate and have the ability to make informed decisions about their personal finances in the short-run. While our respondents appear confident in making short-run financial decisions, their behavior tends to suggest that their confidence is somewhat misguided. In addition, a large number of the students surveyed feel they do not have the requisite knowledge to make wise retirement planning choices. Furthermore, several respondents report a distrust of retirement plans offer by private companies, which may lead to suboptimal retirement savings.

Date: 2019
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.sciedupress.com/journal/index.php/afr/article/download/14471/8984 (application/pdf)
https://www.sciedupress.com/journal/index.php/afr/article/view/14471 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:jfr:afr111:v:8:y:2019:i:1:p:30

Access Statistics for this article

More articles in Accounting and Finance Research from Sciedu Press Contact information at EDIRC.
Bibliographic data for series maintained by Sciedu Press ().