Encyclopedia of Law and Economics

2019 Edition
| Editors: Alain Marciano, Giovanni Battista Ramello

Financial Education

  • Marco Novarese
  • Viviana Di GiovinazzoEmail author
Reference work entry
DOI: https://doi.org/10.1007/978-1-4614-7753-2_713

Definition

Financial education is an area of research involving finance, psychology, and behavioral and cognitive economics that grew out of the need to improve the financial skills of citizens. It aims to promote consumer awareness concerning the functioning of financial markets through financial training and continuing education which help to develop the skills and knowledge that allow individuals to make informed, effective decisions concerning their financial resources.

Historical Outline

Financial education was introduced into a number of American secondary schools from the late 1950s onward, with the aim of providing citizens with basic financial knowledge on incomes and savings, taxation, first home buying, insurance, and pensions. During the 1960s, reinforced by the Johnson Great Society Program and Ralph Nader’s consumer protection campaigning, financial education programs multiplied and even became compulsory in some states. By the 1990s there was a growing awareness of the...

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Copyright information

© Springer Science+Business Media, LLC, part of Springer Nature 2019

Authors and Affiliations

  1. 1.Department of Law and EconomicsUniversity of Eastern Piedmont, Centre for Cognitive EconomicsAlessandriaItaly
  2. 2.Department of Sociology and Social ResearchUniversity of Milano BicoccaMilanItaly