Working Paper: NBER ID: w28065
Authors: Laura Bottazzi; Annamaria Lusardi
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: financial literacy; gender differences; PISA; Italy
JEL Codes: G53
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Parental background (J12) | Financial literacy of girls (G53) |
| Parental financial literacy (G53) | Financial knowledge of children (G53) |
| Social and cultural environment (Z10) | Financial knowledge and attitudes of adolescents (G53) |
| Historical factors (B15) | Financial literacy outcomes (G53) |
| Medieval commercial hubs (N93) | Financial literacy outcomes (G53) |
| Nuclear family structure (J12) | Financial literacy outcomes (G53) |