Working Paper: CEPR ID: DP15429
Authors: Annamaria Lusardi; Laura Bottazzi
Abstract: We examine gender differences in financial literacy among high school students in Italy using data from the 2012 Programme for International Student Assessment (PISA). Gender differences in financial literacy are large among the young in Italy. They are present in all regions and are particularly severe in the South and the Islands. Combining the rich PISA data with a variety of other indicators, we provide a thorough analysis of the potential determinants of the gender gap in financial literacy. We find that parental background, in particular the role of mothers, matters for the financial knowledge of girls. Moreover, we show that the social and cultural environment in which girls and boys live plays a crucial role in explaining gender differences. We also show that history matters: Medieval commercial hubs and the nuclear family structure created conditions favorable to the transformation of the role of women in society, and shaped gender differences in financial literacy as well.
Keywords: PISA; Financial Literacy; Gender
JEL Codes: J16; D14; J24; G53
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Gender differences in financial literacy (G53) | Girls scoring lower than boys (I24) |
| Having a mother who works in finance (G59) | Daughter's financial literacy (G53) |
| Social and cultural environment (Z10) | Financial literacy outcomes (G53) |
| Presence of gender stereotypes (J16) | Financial literacy scores (G53) |
| Historical factors (medieval commercial routes) (N93) | Financial literacy scores among girls (G53) |
| Math literacy (C89) | Financial literacy outcomes (G53) |
| Controlling for math literacy (C29) | Gender gap in financial literacy disappears (G53) |