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2019 Conference

May 21–23, 2019

Westin Arlington Gateway, Arlington, VA, USA

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B1c Financial Capability: Testing a Developmental Cascade Model during the College to Career Transition

Wednesday, May 22, 2019 at 10:45 AM–12:15 PM EDT
F. Scott Fitzgerald A
Key Words

Financial Capability, Young Adults, Financial Socialization, Emerging Adult Development. Adult Self-sufficiency, longitudinal, Structure Ecquation Model

Short Description

Although financial capability is typically studied from an economic or personal finance perspective, a primary developmental task of young adulthood in the U.S. is becoming self-sufficient, that is, taking on more complex social roles (e.g., career, intimate relationship, parent) and the personal responsibility for the demands associated with those roles (Arnett, 2011), including financial demands.  Drawing from multiple developmental theoretical perspectives including adult cognitive development (Sinnott, 1998) and social learning (Bandura, 1989), we posit that financial capability develops via a dynamic process by which external knowledge about finances (financial parenting, education) is expressed as behavior (financial behavior), and internalized (financial self-efficacy) to affect well-being across multiple domains (financial, life, job) (Serido, Shim & Tang, 2013).  The goal of this research is to broaden our understanding of financial capability as a developmental cascade model using longitudinal data over an eight year period (ages 18-21 through 26-29).

First & Corresponding Author

Joyce Serido, University of Minnesota
Authors in the order to be printed

Joyce Serido, Jessie Rudi, Lijun Li, Soyeon Shim

Additional Authors

Jessie Rudi, University of Minnesota
Soyeon Shim, University of Wisconsin
Lijun Li, University of Minnesota
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