Financial Decision Making and Cognition in a Family Context

Bibliographic Data

ID9707301
AuthorsJames P Smith (0000-0001-7432-126X, RAND Corporation), John J Mcardle (University of Southern California), Robert J Willis (University of Michigan), Robert Willis (0009-0000-9696-5648, University of Michigan)
Year2010
Volume120
Issue548
PagesF363-F380
Publication date2010-11-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueThe Economic Journal (JOURNAL)
Journal identifiersISSN: 0013-0133 • E-ISSN: 1468-0297
PublisherOxford University Press (OUP) (PUBLISHER)
DOI10.1111/j.1468-0297.2010.02394.x
PMID21116477
PMCIDPMC2992344
OpenAlexW2154022629
LanguageEN
Citations received35
References cited20

In this paper, we studied the association of cognitive traits and in particular numeracy of both spouses on financial outcomes of the family. We found significant effects, particularly for numeracy for financial and non-financial respondents alike, but much larger effects for the financial decision maker in the family. We also examined who makes these financial decisions in the family and why. Once again, cognitive traits such as numeracy were an important component of that decision with larger effects of numeracy for husbands compared to wives

Association (psychology · Business · Cognition · Context (archaeology · Decision maker · Economics · Financial literacy · Geography · Numeracy · Finance · Financial Literacy, Pension, Retirement Analysis · Housing Market and Economics · Insurance, Mortality, Demography, Risk Management · Psychology