A Framework for Developing and Testing Financial Capability Education Programs Targeted to Elementary Schools

Abstract

Concerns about consumers' ability to manage their finances have triggered a range of proposals, including interventions aimed at elementary school students. The goal of these approaches is to improve lifelong economic decision making, but the evidence supporting their efficacy is thin. In this article, the authors discuss the trend toward elementary financial education and propose a framework for developing evidence-based programs. They emphasize the need for understanding the underlying mechanisms that facilitate the translation of student knowledge into the ability to make sound economic decisions over the life course. The framework illustrates the importance of articulating the intended mechanisms and effects of education programs. This focus on mechanisms will not only facilitate the evaluation of individual programs, but also the synthesis of evidence across interventions.Over the last decade, researchers have paid increasing attention to individuals' financial literacy and to the extent to which it is correlated with financial status or behavior (Lusardi and Mitchell 2011a). Although problematic financial behaviors are observed in adulthood (see Campbell 2006 for a discussion), a frequent conclusion in the literature is that involving more personal finance instruction in the educational system, including the postsecondary (Chen and Volpe 1998), secondary Lusardi, Mitchell, and Curto 2010), and more recently, elementary school (Suiter and Meszaros 2005) levels, would improve the financial behaviors of adults. This view is shared by policymakers (e.g., Greenspan J. Michael Collins

Toward inclusive teaching: Utilizing student‐created case studies in a personal finance course

“…For others, these ways of thinking were relevant to all aspects of their future lives. The differentiated impact model, derived from our thematic analysis of student responses, supports the theoretical thesis on how students might be impacted by personal finance courses (Collins & Odders‐White, 2015). In this study, however, we provide additional evidence for this differential impact with data from students within finance classrooms.…”

Is Financial Education Positively Associated with Consumer Stock Market Satisfaction? Evidence from China

“…Lusardi et al [24] investigated young adults' status of fnancial literacy and suggested that college-educated young adults with parents having stocks and retirement savings are more likely to be fnancially knowledgeable about risk diversifcation. Targeted elementary schools, Michael Collins and Odders-White [45] developed a framework to facilitate the transformation of fnancial knowledge into the fnancial capability to make desirable decisions, and they also addressed the importance of fnancial education programs. To help improve students' ability to manage fnancial routines, a large number of fnancial institutions ofer programs or services associated with fnancial education which are accessible for students in school or college classrooms, such as programs of Hands on Banking provided by Wells Fargo, and CashCourse ofered by National Endowment for Financial Education [46].…”

Barns förståelse av pengar och ekonomi – tematisk analys av intervjuer med barn i åldrarna 8–9 år

“…Det understryker att sådan kunskap är nödvändig för att det ska vara möjligt att dra mer generella slutsatser om effektiviteten i olika riktade insatser och utveckla en didaktik för detta specifika kärninnehåll inom skolan (t.ex. Collins & Odders-White, 2015;Lusardi et al, 2020;Sherraden et al, 2011;Suiter & Meszaros, 2005) eller förskolan (t.ex. Roos et al, 2005).…”