A LITERATURE REVIEW ON FINANCIAL LITERACY

Selim Aren [1] , Sibel Dinç Aydemir [2]

631 3892

Based on prior research, this paper provides insights regarding financial literacy. Amidst this research, some similarities and contrarinesses have been manifested by juxtaposing this literature in terms of (1) definitional issues on financial literacy, (2) its probable endegoeneity, (3) its determinants and consequences established by the extant research, (4)other probable estimators of financial decision making which would individually make differences aside from financial literacy, (5)manner of measuring it (i.e., subjectiveobjective measures versus proxies, (6) targeted population for finding evidence. This study indicates that (i) there is a need of a common and well-structured definition of financial literacy due to the interchangeably usage of various concepts, all of which mean the financial knowledge level of individual, (ii) objective measures seem to work best in measuring financial literacy among individuals, (iii) researchers should reconsider about proxies for financial literacy in the event that individual effect of proxy may be difficult to be seperated, (iv) it is better to consider that financial literacy may be potentially endogenous variable rather than the exogenous one, (v) studies should present an explicit explanation how the relationship between financial literacy and research problem (e.g., investment preferences) occurred, (vi) relative impact of financial literacy should be preemptively examined by incorporating other potential factors influencing financial decision making into research models

Based on prior research, this paper provides insights regarding financial literacy. Amidst this research,

some similarities and contrarinesses have been manifested by juxtaposing this literature in terms of (1)

definitional issues on financial literacy, (2) its probable endegoeneity, (3) its determinants and consequences

established by the extant research, (4)other probable estimators of financial decision making which would

individually make differences aside from financial literacy, (5)manner of measuring it (i.e., subjectiveobjective

measures versus proxies, (6) targeted population for finding evidence. This study indicates that (i)

there is a need of a common and well-structured definition of financial literacy due to the interchangeably

usage of various concepts, all of which mean the financial knowledge level of individual, (ii) objective

measures seem to work best in measuring financial literacy among individuals, (iii) researchers should

reconsider about proxies for financial literacy in the event that individual effect of proxy may be difficult

to be seperated, (iv) it is better to consider that financial literacy may be potentially endogenous variable

rather than the exogenous one, (v) studies should present an explicit explanation how the relationship

between financial literacy and research problem (e.g., investment preferences) occurred, (vi) relative impact

of financial literacy should be preemptively examined by incorporating other potential factors influencing

financial decision making into research models.

Keywords: Financial literacy, financial behavior, subjective-objective financial literacy measures

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Birincil Dil en
Konular
Dergi Bölümü Makaleler
Yazarlar

Yazar: Selim Aren
E-posta: aren@gyte.edu.tr

Yazar: Sibel Dinç Aydemir
E-posta: saydemir@gyte.edu.tr

Bibtex @ { marufacd4606, journal = {Finansal Araştırmalar ve Çalışmalar Dergisi}, issn = {1309-1123}, address = {Marmara Üniversitesi}, year = {2015}, volume = {6}, pages = {0 - }, doi = {10.14784/JFRS.2014117326}, title = {A LITERATURE REVIEW ON FINANCIAL LITERACY}, language = {tr}, key = {cite}, author = {Dinç Aydemir, Sibel and Aren, Selim} }
APA Aren, S , Dinç Aydemir, S . (2015). A LITERATURE REVIEW ON FINANCIAL LITERACY. Finansal Araştırmalar ve Çalışmalar Dergisi, 6 (11), . DOI: 10.14784/JFRS.2014117326
MLA Aren, S , Dinç Aydemir, S . "A LITERATURE REVIEW ON FINANCIAL LITERACY". Finansal Araştırmalar ve Çalışmalar Dergisi 6 (2015): <http://e-dergi-marmara.dergipark.gov.tr/marufacd/issue/508/4606>
Chicago Aren, S , Dinç Aydemir, S . "A LITERATURE REVIEW ON FINANCIAL LITERACY". Finansal Araştırmalar ve Çalışmalar Dergisi 6 (2015):
RIS TY - JOUR T1 - A LITERATURE REVIEW ON FINANCIAL LITERACY AU - Selim Aren , Sibel Dinç Aydemir Y1 - 2015 PY - 2015 N1 - doi: 10.14784/JFRS.2014117326 DO - 10.14784/JFRS.2014117326 T2 - Finansal Araştırmalar ve Çalışmalar Dergisi JF - Journal JO - JOR SP - 0 EP - VL - 6 IS - 11 SN - 1309-1123- M3 - doi: 10.14784/JFRS.2014117326 UR - http://dx.doi.org/10.14784/JFRS.2014117326 Y2 - 2017 ER -
EndNote %0 Finansal Araştırmalar ve Çalışmalar Dergisi A LITERATURE REVIEW ON FINANCIAL LITERACY %A Selim Aren , Sibel Dinç Aydemir %T A LITERATURE REVIEW ON FINANCIAL LITERACY %D 2015 %J Finansal Araştırmalar ve Çalışmalar Dergisi %P 1309-1123- %V 6 %N 11 %R doi: 10.14784/JFRS.2014117326 %U 10.14784/JFRS.2014117326