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F3b An Analysis of the Financial Literacy and Financial Actions of College Students
Key Words
Financial Literacy, Financial Actions, College Students, Parent Involvement
Short Description
Even though financial literacy has been an active source of research for the past two decades, there has been very little research that focused on the financial actions of the population being analyzed or if there was any relationship between the financial knowledge of the participants and their financial actions. While our research looks at both the financial literacy / knowledge of first-year, first semester college students, it also looks at some of their actual financial actions to determine if their financial knowledge has any effect on their financial actions. Our research agrees with Cole and Shastry (2009) that there does not seem to be a link between financial knowledge and financial actions. We find that students who score higher on the FINRA Financial Literacy survey are less likely to know important information about their current financial situation - how much their tuition costs, how much their books cost, how much their meal plan costs, or how much of a financial aid refund they were set to receive. We find in interviews with a sub-sample of students that students with higher GPAs and ACT scores were more likely to have had a parent "assist" with the acceptance of their financial aid package.
First & Corresponding Author
Philip Lee Tew, Arkansas State University
Authors in the order to be printed
Philip Tew