The benefits of financial education have been well documented in studies conducted by academia, government agencies and financial education companies. The strongest benefits are seen when participants complete a program that induces real, positive behavioral change in financial matters. The research-backed benefits of financial education include having less debt, being able to manage household finances more skillfully, making well-informed investment decisions that will produce higher personal net worth, and a myriad of other habits that promote a happier life.
Researchers at NBER demonstrated the positive relation between the average stock market participation between the individual’s community and the individual’s participation rate in the markets. This effect was proven to be stronger in more sociable communities (National Bureau of Economic Research). http://www.nber.org/papers/w13168.pdf
In a survey by OECD, well over a quarter of respondents replied that their culture influenced their attitudes toward wealth (Organization for Economic Cooperation and Development). https://www.oecd.org/finance/financial-education/2017%20Seminar%20on%20financial%20education%20and%20
The GAO states that programs should be culturally sensitive and be cognizant of differing conceptions of gender roles and religious values (University of North Texas). https://digital.library.unt.edu/ark:/67531/metadc296866/m2/1/high_res_d/320216.pdf
The change in financial literacy statistics are observed through the administration of quality financial education. Many respected government agencies and distinguished national education providers have published their own financial strategies, including best practices found through research. While individuals may be enthusiastic about bringing financial literacy to their communities, they must exercise caution in adopting only the highest quality financial education materials. Only when done correctly can financial education facilitate financial literacy and good financial health.
The Jumpstart Coalition upholds that resources are readily available to both teachers and students, and are offered in special needs formats such as another language, braille, or audio (Jumpstart.org). https://www.jumpstart.org/wp-content/uploads/2018/01/2010_J-BestPracticesMaterials.pdf
“It’s pretty much how we get anything added to the curriculum. When parents said children needed to be computer literate, the schools started responding. The same thing is true of basic financial literacy.” – Elizabeth Warren, United States Senator
“Financial literacy is not an end in itself, but a step-by-step process. It begins in childhood and continues throughout a person’s life all the way to retirement. Instilling the financial-literacy message in children is especially important, because they will carry it for the rest of their lives.” – George Karl, former NBA coach