Essay on business,economics and financial literacy in Nepal.best one will be marked as
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Financial literacy and behaviour are emerging personal financial agendas both in education and finance. However, financial literacy has behavioural implication and effect on the financial well-being of individuals. Therefore, assessing financial behaviour by measuring financial literacy of individuals is important research attention. In this paper, the contribution of financial literacy on the financial behaviour of small borrowers is measured and analysed. The study follows a quantitative research methodology under the post-positivistic research paradigm. A simple scoring method is used to measure financial literacy and the logistic regression model is used to measure the probabilistic contribution of financial literacy on behaviour. By using a sample survey, the study collects 393 sets of responses from small borrowers selected randomly from four districts of Nepal. Theory of planned behaviour is used to interpret the finding. The theory of planned behaviour states that the literacy i.e. knowledge and skill in financial matters will develop an attitude, and if the attitude is positive, the persons will behave accordingly. The finding explores that improved level of financial literacy contributes financial behaviour of the small borrowers positively. The study concludes that for enhancing financial behaviour, contemporary and contextual financial literacy programs are necessary to educate the individuals. The study also connects financial well-beings with enhanced financial behaviour. Findings of this study are useful for policymakers, financial service users, academicians and financial service providers in Nepal.
This study surveys 436 college students to examine their financial literacy; the impact of
demographic, educational and personality characteristics on financial literacy. Mean, ANOVA
and logistic regression were used in carrying out analysis. Results show that most of the students
have basic level of financial knowledge but they lack in understanding of credit, taxes, share
market, financial statement and insurance. Students are highly influenced by their parents at home
and they have positive attitude towards savings. The study further identified income, age, stream
of education, types of college, and attitude of students as determinants of financial knowledge; and
financial knowledge is unaffected by gender, university affiliation, financial behavior and
influence. It is concluded that college students have basic level of financial knowledge. However,
overall financial knowledge of the students is affected by some of their demographic, educational
and personality characteristics.
Key Words: Financial Literacy, Financial Behavior, Influence, Financial Attitude,
Financial Knowledge, College Students, Nepal.