Investigating the Disconnect between Financial Knowledge and Behavior: The Role of Parental Influence and Psychological Characteristics in Responsible Financial Behaviors among Young Adults

• DOI: 10.1111/joca.12069
• Publication Date: 2015-03-25T07:23:12Z
• Authors: NING TANG; ANDREW BAKER; PAULA C. PETER
• Keywords: Association (psychology)

Financial knowledge is an essential component in financial decision making; however, insufficient to ensure responsible behavior. We investigate the weak association between and behavior by simultaneously testing roles knowledge, parental influence, individual psychological characteristics (self‐discipline thoroughness) play young adults' behaviors. Results from 2,712 respondents 1997 National Longitudinal Survey of Youth confirm there a Parental influence self‐discipline positively associate with also moderating role gender observe that improve women's more than men, whereas being thorough has larger impact among males. These findings suggest considering social factors education programs could program efficiency. The results highlight importance adopting tailored suit differences.