Effects Of Financial Education On Human Capital And Gender In Singapore

Abstract

This study analyses the longitudinal effects of financial education using a survey data collected from 903 respondents in Singapore during the period of May to July 2018. We find that financial education when introduced during schooling days induces individuals to exhibit better financial behaviors in budgeting, financial planning and investing when they reach adulthood. Financial education encourages one’s awareness of interest rates on savings and home loans. It also promotes long-term financial planning and investment such as ownership of insurances and participating in investment activities. Women are more responsive to financial education, showing steeper improvements than men do.