Financial Literacy in France Predicted by Age, Education, Gender and Political Engagement

The global financial literacy community is buzzing over a new working paper published by the Banque de France, highlighting research that demonstrates several factors driving levels of financial literacy in France, including gender, age, education, and even political engagement.

The study yielding the eye-opening statistics found that women, youth, elderly and more minimally educated individuals exhibit higher levels of difficulty with financial concepts and money management.  One of the elements of the findings attracting broad attention is “political engagement,” as those who espouse conservative, right-wing political views are not more financially educated or capable than their more liberal, left-leaning counterparts.  Some observers note that this research debunks the contention held by some that right-wingers are more focused on personal, versus government, responsibility in managing one’s financial affairs.  However, many financial literacy enthusiasts note the longtime view in financial education circles that financial literacy is not impacted by one’s political or social views.

The most striking finding on the political engagement front was the divergence between individuals reporting no political opinions as compared to others who were part of the study.  Specifically, the report indicates that those with maintaining no political opinion are inclined to experience greater levels of difficulty with financial concepts and overall financial literacy.

Another interesting aspect of the report is that it mirrors the studies being conducted in many other countries as well, as nations throughout the world are placing greater emphasis on financial education amid the continued global economic woes currently impacting both developed and developing countries.  It is anticipated that this continued focus on the evaluation of financial education will serve to strengthen financial literacy programs and initiatives on a broad geographic scale in the months and years ahead.