Business, Management and Accounting
4 years ago

Future-focused individuals more likely to seek financial education, study finds.

SSRN Electronic Journal
Discounting Financial Literacy: Time Preferences and Participation in Financial Education Programs
Stephan Meier, Charles Sprenger

Paper Summary

Financial literacy is important for financial well-being, but many people are still not informed. A study offered free credit counseling to over 870 individuals, with 55% choosing to participate. Those who participated were found to value future benefits more than those who did not. This suggests that individual time preferences may determine who becomes financially literate.

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