IDEAS home Printed from https://ideas.repec.org/p/osf/socarx/vkexr.html
   My bibliography  Save this paper

Using Gamification to Overcome Common Behavioral Biases and Increase Financial Well-Being

Author

Listed:
  • Bartmann, Nina
  • Rayburn-Reeves, Rebecca Marie

    (Duke University)

Abstract

Having good financial well-being, which looks different for everyone and depends on what makes you happy, is an essential component of overall well-being, yet many adolescents and young adults don’t feel adequately prepared to make good financial decisions in the real world. Not only are financial literacy levels low, but their effects on everyday financial decisions aren’t adequate to overcome biases that often result in suboptimal in-the-moment financial choices. In light of these issues, the NOVA Financial Lab was designed to provide a safe and feedback-rich environment that allows players to experience making financial decisions in contexts that encourage balancing current and future well-being. This document serves as the report for the research conducted on the NOVA Financial Lab from February 2022 to May 2023. In this report, we summarize two main research lines: 1) research conducted via a survey linked on the main page of the website and 2) within-game data gathered on decisions and learning outcomes across the three mini-games. We find that, for each mini-game, we see benefits of repeat play on performance across games, and that participants are more accurate at responding to the survey questions after playing the games, as compared to before. Learning objectives were supported by data showing increases in optimal performance for each game, and in survey data showing better understanding of behavioral biases and tools to overcome them. Our findings offer support of serious games as effective methods for teaching financial well-being and helping adolescents and emerging adults balance the life choices that provide immediate and long- term financial security, and personal happiness. Though geared toward adolescents, the Financial Lab includes information relevant to anyone making financial decisions, regardless of their age.

Suggested Citation

  • Bartmann, Nina & Rayburn-Reeves, Rebecca Marie, 2023. "Using Gamification to Overcome Common Behavioral Biases and Increase Financial Well-Being," SocArXiv vkexr, Center for Open Science.
    • Handle: RePEc:osf:socarx:vkexr
    DOI: 10.31219/osf.io/vkexr
    as

    Download full text from publisher

    File URL: https://osf.io/download/64c02b2c7471380022f34f61/
    Download Restriction: no
    File URL: https://libkey.io/10.31219/osf.io/vkexr?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Richard G Netemeyer & Dee Warmath & Daniel Fernandes & John G LynchJr. & Eileen FischerEditor & Olivier ToubiaAssociate Editor, 2018. "How Am I Doing? Perceived Financial Well-Being, Its Potential Antecedents, and Its Relation to Overall Well-Being," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 45(1), pages 68-89.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Noviarini, Jelita & Coleman, Andrew & Roberts, Helen & Whiting, Rosalind H., 2023. "Financial literacy and retirees' resource allocation decisions in New Zealand," Pacific-Basin Finance Journal, Elsevier, vol. 79(C).
    2. Mette, Frederike Monika Budiner & de Matos, Celso Augusto & Rohden, Simoni F. & Ponchio, Mateus Canniatti, 2019. "Explanatory mechanisms of the decision to buy on credit: The role of materialism, impulsivity and financial knowledge," Journal of Behavioral and Experimental Finance, Elsevier, vol. 21(C), pages 15-21.
    3. Jeffrey Anvari-Clark & David Ansong, 2022. "Predicting Financial Well-Being Using the Financial Capability Perspective: The Roles of Financial Shocks, Income Volatility, Financial Products, and Savings Behaviors," Journal of Family and Economic Issues, Springer, vol. 43(4), pages 730-743, December.
    4. Malik, Faiza & Ishaq, Muhammad Ishtiaq, 2023. "Impact of minimalist practices on consumer happiness and financial well-being," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
    5. Wang-Ly, Nathan & Newell, Ben R., 2022. "Allowing early access to retirement savings: Lessons from Australia," Economic Analysis and Policy, Elsevier, vol. 75(C), pages 716-733.
    6. Olamide Olajide & Sarah Asebedo & Donald Lacombe & Todd Little, 2023. "Perception versus the reality of financial situation: The role of personality traits in the United States," Journal of Consumer Affairs, Wiley Blackwell, vol. 57(3), pages 1523-1541, July.
    7. Julia Bayuk & Hyunjung Crystal Lee & Jooyoung Park & Serkan Saka & Debabrata Talukdar & Jayati Sinha, 2022. "Mindfully aware and open: Mitigating subjective and objective financial vulnerability via mindfulness practices," Journal of Consumer Affairs, Wiley Blackwell, vol. 56(3), pages 1284-1311, September.
    8. Julie Birkenmaier & David Rothwell & Mary Agar, 2022. "How is Consumer Financial Capability Measured?," Journal of Family and Economic Issues, Springer, vol. 43(4), pages 654-666, December.
    9. Gerrans, Paul, 2021. "Undergraduate student financial education interventions: Medium term evidence of retention, decay, and confidence in financial literacy," Pacific-Basin Finance Journal, Elsevier, vol. 67(C).
    10. Hampson, Daniel P. & Gong, Shiyang & Xie, Yi, 2021. "How consumer confidence affects price conscious behavior: The roles of financial vulnerability and locus of control," Journal of Business Research, Elsevier, vol. 132(C), pages 693-704.
    11. Maslina Mansor & Mohamad Fazli Sabri & Mustazar Mansur & Muslimah Ithnin & Amirah Shazana Magli & Abd Rahim Husniyah & Nurul Shahnaz Mahdzan & Mohd Amim Othman & Roza Hazli Zakaria & Nurulhuda Mohd Sa, 2022. "Analysing the Predictors of Financial Stress and Financial Well-Being among the Bottom 40 Percent (B40) Households in Malaysia," IJERPH, MDPI, vol. 19(19), pages 1-23, September.
    12. Shekinah E. Dare & Wilco W. Dijk & Eric Dijk & Lotte F. Dillen & Marcello Gallucci & Olaf Simonse, 2023. "How Executive Functioning and Financial Self-efficacy Predict Subjective Financial Well-Being via Positive Financial Behaviors," Journal of Family and Economic Issues, Springer, vol. 44(2), pages 232-248, June.
    13. Gagandeep Kaur & Manjit Singh & Sanjay Gupta, 2023. "Analysis of key factors influencing individual financial well-being using ISM and MICMAC approach," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(2), pages 1533-1559, April.
    14. Jeffrey Anvari-Clark & Theda Rose, 2023. "Financial Behavioral Health and Investment Risk Willingness: Implications for the Racial Wealth Gap," IJERPH, MDPI, vol. 20(10), pages 1-29, May.
    15. Fred van Raaij, W. & Riitsalu, Leonore & Põder, Kaire, 2023. "Direct and indirect effects of self-control and future time perspective on financial well-being," Journal of Economic Psychology, Elsevier, vol. 99(C).
    16. Angela Sorgente & Casey J. Totenhagen & Margherita Lanz, 2022. "The Use of the Intensive Longitudinal Methods to Study Financial Well-Being: A Scoping Review and Future Research Agenda," Journal of Happiness Studies, Springer, vol. 23(1), pages 333-358, January.
    17. Andrews, J. Craig & Netemeyer, Richard & Burton, Scot & Kees, Jeremy, 2021. "What consumers actually know: The role of objective nutrition knowledge in processing stop sign and traffic light front-of-pack nutrition labels," Journal of Business Research, Elsevier, vol. 128(C), pages 140-155.
    18. Carole Comerton‐Forde & John de New & Nicolás Salamanca & David C. Ribar & Andrea Nicastro & James Ross, 2022. "Measuring Financial Wellbeing with Self‐Reported and Bank Record Data," The Economic Record, The Economic Society of Australia, vol. 98(321), pages 133-151, June.
    19. Fanny Salignac & Myra Hamilton & Jack Noone & Axelle Marjolin & Kristy Muir, 2020. "Conceptualizing Financial Wellbeing: An Ecological Life-Course Approach," Journal of Happiness Studies, Springer, vol. 21(5), pages 1581-1602, June.
    20. Carlos-María Alcover & Sergio Salgado & Gabriela Nazar & Raúl Ramírez-Vielma & Carolina González-Suhr, 2022. "Job Insecurity, Financial Threat, and Mental Health in the COVID-19 Context: The Moderating Role of the Support Network," SAGE Open, , vol. 12(3), pages 21582440221, September.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:osf:socarx:vkexr. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: OSF (email available below). General contact details of provider: https://arabixiv.org .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.