Measuring Financial Literacy in the Developing World

Abstract: This research proposal is outlining the need and method for researching how to effectively measure financial literacy in the developing world. The recent increase in financial literacy studies has magnified the issue and has provided numerous new data sets. Nevertheless, these data sets might be flawed. This is indicated by the lack of success of financial education efforts in the developing world. The problem might not lie solely in education methods, but rather an understanding of the problem. If educators have skewed views of the financial literacy of students, it would partially explain why the outcomes of financial education programs in developing countries are lacking. This proposed study would include traveling to Zambia to partner with a university to develop a sample that could be tested and analyzed. This proposal will outline the necessity of analyzing financial questions in order to determine true financial literacy of individuals and best methods of improving financial literacy in the developing world