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A spatial-temporal analysis of financial literacy in United States of America

Author

Listed:
  • Peng, Geng
  • Liu, Fang
  • Lu, Wenyi
  • Liao, Kaicheng
  • Tang, Changan
  • Zhu, Lei

Abstract

Most existing studies on the regional distribution of financial literacy overlook the cross-regional variation over time and its determinants. Therefore, this paper chooses spatial Durbin model with panel data to account for spatial dependence of financial literacy across US in 2009, 2012 and 2015. Our empirical findings support that financial literacy of an individual state is associated with the characteristics of its neighbors. Specifically, we find support for the spatial spillover perspective in which per capita real GDP and unemployment rate are positively, and Gini coefficient is negatively associated with the financial literacy in neighboring states.

Suggested Citation

  • Peng, Geng & Liu, Fang & Lu, Wenyi & Liao, Kaicheng & Tang, Changan & Zhu, Lei, 2018. "A spatial-temporal analysis of financial literacy in United States of America," Finance Research Letters, Elsevier, vol. 26(C), pages 56-62.
    • Handle: RePEc:eee:finlet:v:26:y:2018:i:c:p:56-62
    DOI: 10.1016/j.frl.2017.12.003
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    Cited by:

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    2. Kwee Kim Peong, 2019. "Determinants of Personal Financial Literacy among Young Adults in Malaysian Accounting Firms," GATR Journals gjbssr524, Global Academy of Training and Research (GATR) Enterprise.
    3. Yang Li & Jan E. Mutchler & Edward Alan Miller & Jing Jian Xiao & Reginald Tucker-Seeley, 2022. "Space, Context, and Human Capital: A Micro–Macro Perspective on the Social Environment and Financial Literacy in Later Life," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 41(3), pages 1385-1404, June.
    4. Syarifuddin, Ferry, 2020. "The Dynamics of Foreign Direct Investment and Exchange Rates: An Interconnection Approach in ASEAN," MPRA Paper 104596, University Library of Munich, Germany.
    5. Fan, Wen & Zhang, Lifang, 2020. "Examining framing effect when subject's perspective matters: Evidence from China," Finance Research Letters, Elsevier, vol. 35(C).
    6. Ferilli, Greta Benedetta & Palmieri, Egidio & Miani, Stefano & Stefanelli, Valeria, 2024. "The impact of FinTech innovation on digital financial literacy in Europe: Insights from the banking industry," Research in International Business and Finance, Elsevier, vol. 69(C).
    7. Xu, Nana & Shi, Jingye & Rong, Zhao & Yuan, Yan, 2020. "Financial literacy and formal credit accessibility: Evidence from informal businesses in China," Finance Research Letters, Elsevier, vol. 36(C).

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    More about this item

    Keywords

    Spatial-temporal analysis; Financial literacy; Spatial Durbin model; Spatial dependence;
    All these keywords.

    JEL classification:

    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • D18 - Microeconomics - - Household Behavior - - - Consumer Protection

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