Financial Literacy and Retirement Planning: The Russian Case

Adult financial literacy and households’ financial assets: the role of bank information policies

“…However, van Rooij et al (2012) are skeptical about the validity of the exclusion restriction for the instrumental variable they use, and they discuss the issue at length in the paper, adding a rich set of controls to their baseline specification. Other studies hinge on the idea that the respondent's financial literacy is influenced by financial knowledge of peers or reference groups Bucher-Koenen and Lusardi, 2011;Fornero and Monticone, 2011;Jappelli and Padula, 2013a;Klapper et al, 2013;Klapper and Panos, 2011;van Rooij et al, 2012). The assumption that lies behind this identification strategy is that the respondent cannot influence the peers' experience significantly, i.e., there is no "reflection problem" (Manski, 1993).…”

“…Assessing the effect of bank information policies relative to other interventions is, therefore, not straightforward. Klapper and Panos (2011) consider the role of newspapers in Russia and find that a 1% increase in their number raises average financial literacy in the population by nearly 4%. Comparatively, increasing the number of universities by 1% would increase financial literacy by 0.15%.…”

Financial literacy and financial behavior: Evidence from the emerging Asian middle class

“…Levels of financial literacy in emerging markets are lower 5 than in industrialized countries (Hastings and Tejada-Ashton, 2008, Klapper and Panos, 2011, Beckmann, 2013, especially in rural areas. At the same time, studies in developing countries confirm that better financial literacy is positively related to retirement planning (Klapper and Panos, 2011), to greater participation in financial markets, to greater use of formal sources of borrowing (Klapper et al, 2013), to higher voluntary savings (Landerretche and Martinez, 2013) and to better diversification (Beckmann, 2013).…”

Endogenous Financial Literacy, Saving, and Stock Market Participation

“…-increases in the level of income -increases in the level of education -decreases in the degree of risk aversion 1 Analyses from Alessie et al (2011), Almenberg and Säve-Söderbergh, (2011), Crossan et al (2011), Bucher-Koenen and Lusardi (2011), Fornero and Monticone (2011, Klapper andPanos (2011), Lusardi andMitchell (2011b) and Sekita (2011) cover, respectively, Netherlands, Sweden, New Zeland, Germany, Italy, Russia, United States and Japan. Evidence from United States on the effect of financial literacy on planning and wealth accumulation is also contained in Lusardi and Mitchell (2007) and evidence from Italy on the effect of literacy on portfolio diversification is contained Guiso and Jappelli (2009). Moreover, the field of study is, even in this case, also relevant: in fact, Christiansen et al (2007) find that individuals with higher education in economics-related disciplines are, all things considered, more likely to invest in the stock market.…”