How Ordinary Consumers Make Complex Economic Decisions: Financial Literacy and Retirement Readiness / Annamaria Lusardi, Olivia S. Mitchell.

Format:

Book

Author/Creator:

Lusardi, Annamaria.

Contributor:

National Bureau of Economic Research.

Mitchell, Olivia S.

Series:

Working Paper Series (National Bureau of Economic Research) no. w15350.

NBER working paper series no. w15350

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

How Ordinary Consumers Make Complex Economic Decisions

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2009.

Summary:

This paper reports on several self-assessed and objective measures of financial literacy newly added to the American Life Panel (ALP), and it links these performance measures to efforts consumers make to plan for retirement. We evaluate the causal relationship between financial literacy and retirement planning by exploiting information about respondents' financial knowledge acquired in school - before entering the labor market and certainly before starting to plan for retirement. Results show that those with more advanced financial knowledge are those more likely to be retirement-ready.

Notes:

Print version record

September 2009.