Keywords
financial literacy, retirement planning, household finance
Abstract
We study financial literacy in France using the PATER survey and following the Lusardi and Mitchell (2011c) approach. We find that some subpopulations are less financially literate than others: women, young and old people as well as less-educated people are more likely to face difficulties when dealing with fundamental financial concepts such as risk diversification and inflation and interest compounding. We also find some differences in financial knowledge depending on the political opinion of the respondents. Finally we show that these differences in financial knowledge are correlated with differences in the propensity to plan: people who score higher on the financial literacy questions are more likely to be engaged in the preparation of a clearly defined financial plan.
DOI
http://dx.doi.org/10.5038/1936-4660.6.2.8
Recommended Citation
Arrondel, Luc, Majdi Debbich, and Frédérique Savignac. "Financial Literacy and Financial Planning in France." Numeracy 6, Iss. 2 (2013): Article 8. DOI: http://dx.doi.org/10.5038/1936-4660.6.2.8
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial 4.0 License
Included in
Behavioral Economics Commons, Econometrics Commons, Finance Commons
