Are teachers more financially literate than the rest of the Philippine population?

Galandines, Justine Maria Regina D.; Macasaet, Pamela Y.

Are teachers more financially literate than the rest of the Philippine population?

Files

Galandines_J_2016_F2027g.pdf (1.14 MB)

Date

2016-06

Authors

Galandines, Justine Maria Regina D.

Macasaet, Pamela Y.

Abstract

Are teachers more financially literate than the rest of the population? We used data from the Consumer Finance Survey 2009 and Metrobank Foundation, Inc. and UPecon Foundation Inc.’s Survey of Outstanding Teachers under the project, “Economic Success and Awards: Impact Evaluation of the Metrobank Foundation Award for Outstanding Teacher” to answer this question. Using aspects of financial literacy, particularly financial behavior and financial attitude, we created an index for financial literacy. We then used OLS regressions to estimate how factors, including occupation (whether teacher or non-teacher), marital status, location, education, expenditures, household size, and gender, affect the financial literacy index. Results show that teachers have significantly higher financial literacy and financial behavior indices than that of the rest of the population. However, teachers do not have significantly higher financial attitude indices than that of the rest of the Philippine population. This indicates the importance of ensuring that teachers are capable of financial education through seminars, courses, trainings, and programs. It is vital that as we integrate financial education in the educational system, teachers are prepared with adequate financial knowledge, behavior, and attitude.