A groundswell of interest in young people’s ability to understand and handle financial decisions has generated keen interest in financial knowledge and effectiveness of financial education. This study examines an innovative four-year school-based financial education and savings program, called “I Can Save” (ICS). Using a quasi-experimental design, the study examines quantitative and qualitative data to analyze program effects on financial knowledge. Children who participated in ICS scored significantly higher on a financial literacy test than comparison group students in the same school, regardless of parent education and income. Results suggest that children increase financial capability when they have access to financial education and it is accompanied by participation in meaningful financial services.
Subsequent publication: Sherraden, M. S., Johnson, L., Guo, B., & Elliott, W., III. (2011). Financial capability in children: Effects of participation in a school-based financial education and savings program. Journal of Family & Economic Issues, 32(3): 385–399. doi:10.1007/s10834-010-9220-5
Project: I Can Save