Monday, November 21, 2011

State Differences in Financial Literacy

The Employee Benefits Institute has an interesting look out at state by state differences in financial literacy. Equally as interesting is the potential coorellation between states that are low on financial literacy and low on finanancial behavior.

To quote EBRI:

"This suggests that there might be something going on at the state level whereby individual financial literacy and financial behavior are being shaped not only by individual demographic characteristics but also by the state in which people live."

So what can we do? EBRI is unsure. According to their researcher, "there may be a reason for policy intervention at the state level to help Americans achieve a financially secure retirement."

Interesting study. Worth keeping an eye on.