For the first time, researchers have directly tied personal finance instruction in high school to better adult behavior. -- This could change everything.
A required personal finance course in high school leads to higher credit scores
and fewer missed payments among young adults, new research shows.
These are groundbreaking findings likely to alter educators’ thinking in 50 states.
and fewer missed payments among young adults, new research shows.
These are groundbreaking findings likely to alter educators’ thinking in 50 states.
Until now, researchers have been unable to show consistent evidence that
mandatory financial education improved students’ money management skills.
With no proof, states have moved slowly on this front—despite encouragement
from the president and federal education officials who see financial education
as a critical part of the strategy to avoid another financial crisis.
mandatory financial education improved students’ money management skills.
With no proof, states have moved slowly on this front—despite encouragement
from the president and federal education officials who see financial education
as a critical part of the strategy to avoid another financial crisis.
Only 22 states require students to take an economics course, and just 17
require instruction in personal finance, according to the Council for Economic
Education’s most recent Survey of the States. While countries like Australia and
England have adopted federal mandates for such coursework, the effort in the
U.S. is at the state level and has been slow to gain traction.
require instruction in personal finance, according to the Council for Economic
Education’s most recent Survey of the States. While countries like Australia and
England have adopted federal mandates for such coursework, the effort in the
U.S. is at the state level and has been slow to gain traction.
Critics of financial education have long argued that kids may learn financial
concepts but do not retain them long enough to change behavior as adults,
and that the power of advertising overwhelms any lessons of frugality learned
in high school. Some believe financial education is a waste, and that we are
better off using resources to set up third-party point-of-decision counseling.
concepts but do not retain them long enough to change behavior as adults,
and that the power of advertising overwhelms any lessons of frugality learned
in high school. Some believe financial education is a waste, and that we are
better off using resources to set up third-party point-of-decision counseling.
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ReplyDeleteAlexis Nov 2
ReplyDeleteIn my opinion, it is important to include personal finance education in high school as a mandatory course. Many high school students often criticize the current American education system, claiming that many of the courses are not relevant to the “real world”. While there is some truth to that claim it is more often than not students ignore electives or classes that are practical for life, like home economics and personal finance courses. I believe students would really benefit more than they realize from mandatory personal finance courses. I am absolutely clueless about taxes, savings, and anything economic or financial and I feel this is a direct result of a lack of education on the matter. My parents, and I’m sure many other parents, were both forced to take financial courses in high school and still recall information about the courses when it comes to real life. These are just my own anecdotes. Now that there is evidence for the benefits of a mandatory financial courses on a global scale there seems to be no question of whether they should implement them in the United States.
(from G-Classroom)
very good evidence
ReplyDeleteStudents should have the ability to take a course that will help them tremendously throughout their years in the real world. Personal Finance is a very rare course in the many high schools throughout America. So when students graduate. They have little to no knowledge on how to handle their personal finances and such because they had been taught very little.
ReplyDelete