Consistent with previous reports, we find that financial literacy is positively and significantly associated with total net wealth and each of its components. … The empirical analysis provides estimated impacts of financial literacy and schooling using the above instrumental variable (IV) strategy.
One may also ask, how does financial literacy affect the economy?
Nevertheless, a low level of financial literacy negatively impacts personal welfare and a financial potential of households, deteriorates the resource base of financial institutions, hampers the financial market development, retards investment processes in economics and leads to the aggravation of the socio-economic …