The Role of Education in Financial Literacy

[AmoreJaz]

Lack of financial literacy is one of the reasons for quite massive poverty of the population. The reason is banal - many people do not really understand what money is, do not effectively earn, foolishly spend,... Financial literacy should be given from the 1st grade of school, and the game "Right earning and right spending" - in kindergarten!
In some countries, financial literacy is a government program. Study, for example, how this process is organized in Finland - from the curriculum for the youngest children to courses for adults.

You nailed it here where you mentioned something like foolish spending. I totally agree with what you have stated here. I believe that this is something that should be taught in schools as early as possible. I wasn’t taught anything about economizing at such an early age, but children quickly know what money so fast and we forget that we need to also teach them about it (in School). I hope that this can be added to curriculum and even if it isn’t, something around such field needs to be taught to everyone on earth, no one is an exemption.

learning financial literacy at early age is indeed useful in molding the outlook of the person to his financial status or condition. i guess, that's where a lot of educational establishment is lacking. they are focus on other things that they think are more important. i also believe that if this aspect of life is learned early, people will be more mindful of their expenditures and maybe a lot know how to manage their financials.

in the usual scenario, we only learn such facet of life when we are already working as we are already spending our own money.

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[harapan]

Financial literacy is an important skill to have in this 21st century...One of the primary reasons why financial literacy is crucial in education is that it provides students with a solid understanding of personal finance.Financial education teaches people the value of saving, budgeting, and investing to achieve financial stability and security. It assists people in understanding how to handle their money properly.

The highest form of education that an average adult is expected to have should fall in financial education.Age is not a barrier presently to acquire knowledge,as people need to be taught how to take Care of their own financial future.Today so many adults struggle to handle their finances properly as a result of a poor financial awareness or knowledge.
They can learn financial matters like thier needs,wants,budgeting,investing and debt management.
 Financial literacy can be obtained through reading books, listening to podcasts, subscribing to financial content, or talking to a financial professional.

  Financial literacy can help protect individuals from becoming victims of financial fraud, a type of crime that is becoming more trending in the society.

[EluguHcman]

Most crytop investors and Investors in general are just contented with the fact that they are knowledgeable about their investments and how to valuably handle their funds.
So literarily, they are likely not interested in further education about their finances ignorantly believing that either their businesses and finances are not professions of acquiring advance knowledges about it.
Meanwhile... They could explore better if they could be educationally acquire basics of roles of their financial and business literacies.

[Pikachi42]

There is no substitute for knowledge in managing life. However, knowledge is given by Allah. People cannot acquire knowledge by will. There is a big difference between education and knowledge. Knowledge is given by Allah, which we get directly from Allah, and education is what we learn directly or indirectly from any medium in our daily life. I think education should be done to increase knowledge and not to earn.Another word related to knowledge and education is experience. Just as education is important in the workplace, experience is more important. Because, experience helps people to act confidently and smartly. Everyone values ​​experience.

[idarasun]

Cut.....
Despite the differing opinions on the role of education in financial literacy, it is clear that individuals should seek out knowledge from a variety of sources to best equip themselves to succeed in the world of cryptocurrency. This can include following cryptocurrency news and social media, reading books and blogs on finance and investments, and seeking out practical experiences through investing and trading activities.

Very true, especially education in financial literacy in my opinion is also very important, especially in the context of cryptocurrency. I think by digging up information from various sources and getting practical experience and even directly involved in it, of course, this can also help make more informed and smarter decisions regarding crypto investment and trading in the current era.

[AnonBitCoiner]

this sums it all up.

Knowledge comes first before venturing into wealth creation. It becomes more easier acquiring wealth when you already have the knowledge regarding how to go about it. In the world of cryptocurrency and tech in general, knowledge is the number one factor that will guarantee you success or failure in the chosen field. If you just want to invest in cryptocurrency without doing the necessary research and learning from people that are already in the field, you will end up insisting in shitcoins and after experiencing your loss, you will join the clueless folks out their that feel that all cryptocurrency are Ponzi schemes .

Knowledge is must in getting success but without knowledge you also have to aquire experience and experience will increase by utilising your knowledge. There are large number of individuals who are well educated in their desired field but they don't have any experience and even they don't known how to utilise their skills so they often find difficulties in achieving their goals.

In cryptocurrency investment knowledge is necessary but you should not think that with knowledge you will not find difficulties but definitely there will be something different in real life because you will have never experience such things before but just learned about it without getting step into reality. Knowledge, learning, utilisation of skills and experience are all very important to be successful in crypto investment as well as in other sectors of life.

[slapper]

this sums it all up.

Knowledge comes first before venturing into wealth creation. It becomes more easier acquiring wealth when you already have the knowledge regarding how to go about it. In the world of cryptocurrency and tech in general, knowledge is the number one factor that will guarantee you success or failure in the chosen field. If you just want to invest in cryptocurrency without doing the necessary research and learning from people that are already in the field, you will end up insisting in shitcoins and after experiencing your loss, you will join the clueless folks out their that feel that all cryptocurrency are Ponzi schemes .

Knowledge is must in getting success but without knowledge you also have to aquire experience and experience will increase by utilising your knowledge. There are large number of individuals who are well educated in their desired field but they don't have any experience and even they don't known how to utilise their skills so they often find difficulties in achieving their goals.

In cryptocurrency investment knowledge is necessary but you should not think that with knowledge you will not find difficulties but definitely there will be something different in real life because you will have never experience such things before but just learned about it without getting step into reality. Knowledge, learning, utilisation of skills and experience are all very important to be successful in crypto investment as well as in other sectors of life.

What a fine balance! I've seen that knowledge is the baseline. Like complex recipe ingredients. How can one make a culinary masterpiece without the experience of blending these ingredients? I deeply agree with your statement about theoretical learning versus practical implementation. How often have I, and you, encountered people with theoretical understanding but lack of practical application?

In cryptocurrencies, as in other fields, knowledge and expertise are crucial. Knowledge provides tools, but experience teaches us when and how to use them. This is especially true in crypto, where market dynamics can alter instantly. Understanding blockchain technology or market trends theoretically is different from navigating them in real life. What's amazing about how information only becomes potent when applied through experience?

[Baki202]

I believe that the role of education in financial literacy is almost invisible because anything money related starts and ends with budgeting, profit and lost.

When starting up a business, you have an estimated amount of money you put into it (budget), while taking proper and accurate records of all the sales made, you should be able to tell if the business is running on a profit or lost.

The only area where education plays a major role in financial literacy is when big organizations are involved as financial literates are part of the backbones of a successful organization.

For starters, no big business owner would employ an accountant who learnt how to regulate and budget finance from his/her daily sales at a store.

One of the major factor for the growth of a company is an honest financial literate. An honest one because with his knowledge on finance, he can launder the company's fund without the knowledge of the board of directors and cause the company to become an empty shell running on debts.

Does education play a role in financial literacy?, Yes. Is the recognized and appreciated?, Not all the time. But if we choose not to keep proper records of all our financial transactions only then would we appreciate the roles that financial literates play.

[Albarq]

this sums it all up.

Knowledge comes first before venturing into wealth creation. It becomes more easier acquiring wealth when you already have the knowledge regarding how to go about it. In the world of cryptocurrency and tech in general, knowledge is the number one factor that will guarantee you success or failure in the chosen field. If you just want to invest in cryptocurrency without doing the necessary research and learning from people that are already in the field, you will end up insisting in shitcoins and after experiencing your loss, you will join the clueless folks out their that feel that all cryptocurrency are Ponzi schemes .

In terms of education, that is the priority, but the most important thing is that direct experience is one of the best ways to learn when it comes to financial literacy. I have to understand the basics of the importance of financial management from the start. It is more important to have financial discipline to manage income and expenses well as digitalization advances. The world doesn't care how hard you study, the most important thing is that you understand it, however, we are required to look for good and accurate information.

[moneystery]

....

learning financial literacy at early age is indeed useful in molding the outlook of the person to his financial status or condition. i guess, that's where a lot of educational establishment is lacking. they are focus on other things that they think are more important. i also believe that if this aspect of life is learned early, people will be more mindful of their expenditures and maybe a lot know how to manage their financials.

in the usual scenario, we only learn such facet of life when we are already working as we are already spending our own money.

educational institutions only provide financial lessons that students actually need to face the world of work in the future. it has been designed in such a way by the government and i think that it is not completely wrong, it's just that in several aspects educational institutions should provide financial literacy that is useful for students in their daily lives, such as how to manage financial risks, what investment is, etc. with such financial literacy, it is possible that young people will be less likely to get into debt at a young age or be exposed to scams when they invest in an instrument, and there are various other benefits that young people can get.

[btc78]

In terms of education, that is the priority, but the most important thing is that direct experience is one of the best ways to learn when it comes to financial literacy.

That is true that life is the best teacher. Whatever you learn in school can not compare to anything you will go through in the real life. Education is just something you have to equip yourself with to try and prepare to be ready but in reality it barely prepares you for the real thing.

[TEBTC]

Yes it true education is not a key to success in any area of life but it play a crucial role in the development of any individuals, education gives an individual the theoretical framework for success as it better equip individuals with the right knowledge which is empirical and and knowledge that has undergone all scientist processes and is considered a law so when an individual acquires such knowledge their will definitely be a difference on the part of such a person

[Zanab247]

Lack of financial literacy is one of the reasons for quite massive poverty of the population. The reason is banal - many people do not really understand what money is, do not effectively earn, foolishly spend,... Financial literacy should be given from the 1st grade of school, and the game "Right earning and right spending" - in kindergarten!
In some countries, financial literacy is a government program. Study, for example, how this process is organized in Finland - from the curriculum for the youngest children to courses for adults.

That is why it will be difficult for poverty to leave the world, because there are some people still believe that making money from crypto investment is by luck, which is very wrong because if you don't have the knowledge of crypto, it will be difficult for you to earn what will accumulate your profits.

Learning from some mentors about financial literacy, it will open your eyes to see some things you have never seen before in your life because the person that is impacting to you have red so many books that related to crypto and other financial books.

And it will make such group of people to have the understanding of crypto investment, and it will make them to take a good step to test the investment with little money to enjoy the impact he or she received from their mentors.

[Hamphser]

Lack of financial literacy is one of the reasons for quite massive poverty of the population. The reason is banal - many people do not really understand what money is, do not effectively earn, foolishly spend,... Financial literacy should be given from the 1st grade of school, and the game "Right earning and right spending" - in kindergarten!
In some countries, financial literacy is a government program. Study, for example, how this process is organized in Finland - from the curriculum for the youngest children to courses for adults.

That is why it will be difficult for poverty to leave the world, because there are some people still believe that making money from crypto investment is by luck, which is very wrong because if you don't have the knowledge of crypto, it will be difficult for you to earn what will accumulate your profits.

Learning from some mentors about financial literacy, it will open your eyes to see some things you have never seen before in your life because the person that is impacting to you have red so many books that related to crypto and other financial books.

And it will make such group of people to have the understanding of crypto investment, and it will make them to take a good step to test the investment with little money to enjoy the impact he or she received from their mentors.

There are people who are really that close minded on which on the time that they will really be hearing out something which is too good to be true then they would really be making out that conclusion that it is really a scam on which its not really just that right on having that kind of approach because we do know that there are really tons of opportunities on which you could really be able to make money online.
Although you would really be still needing up money for you to be able to start up but there are other things or aspects on which you could still earn without investment but of course it would really be needing up that certain skill for you to be able to do so.It not might not be big as you could be able to compare in other things such as trading or investment but at least you could be having the chance.
The only thing that you do need is to have that open mindedness whenever you do hear or see such potential opportunities that could really be able to deal with.

[Fausto Arta]

Self taught is good teacher but we still need skills while managing accounting. It could be easier for someone with smarter mind to manage their accounts or daily expenses and still be saviour of their wealth however it might be different for those who are not strong from the maths background. For such peeps it could get harder with the time to save money.

I think this could be one of the strong reason for us to get financial literacy anyways. Imagine living in a country where accountants/CA is expensive, that could make an individual depend on themselves no matter what. In such situation peeps starts to become shaky and end up spending more money on the things they may not require. Or they may invest money on a portfolio that was not supposed to be invested. So maturity is when you realise its better to have basic financial knowledge.

 The role of education is very important for financial literacy, this influences the success of economic management. For example, As students approach adulthood, they will begin to make financial decisions, they must have the necessary knowledge to manage their finances. Apart from improving their knowledge about money, their personality will also form, which is not easy extravagant, responsible, like help others, and be brave take risks.

[Yukyzu]

The role of education is very important for financial literacy, this influences the success of economic management. For example, As students approach adulthood, they will begin to make financial decisions, they must have the necessary knowledge to manage their finances. Apart from improving their knowledge about money, their personality will also form, which is not easy extravagant, responsible, like help others, and be brave take risks.

Of course this is very important for someone so that someone can manage their finances well, because without knowledge about financial management of course we will not be able to manage the income we have well so we tend to use the income we have well.
For some people who already have knowledge of financial management, of course they will be able to use the income they have for what is needed so that they will be able to prepare their future well and this will of course be very beneficial for those who have knowledge of financial management.

[shinratensei_]

Most crytop investors and Investors in general are just contented with the fact that they are knowledgeable about their investments and how to valuably handle their funds.
So literarily, they are likely not interested in further education about their finances ignorantly believing that either their businesses and finances are not professions of acquiring advance knowledges about it.
Meanwhile... They could explore better if they could be educationally acquire basics of roles of their financial and business literacies.

well to be fair education pursue of higher degree only rewards people that are building career, investors that are investing using their own money not gonna get meaningful benefit from pursue of higher degree meanwhile they need to pay a ton to get that degree meanwhile the people that work in the field of economy and financial are incentivized to pursue higher degree since they got benefit like salary increase or higher position if they have a career so its understandable really.

but yes I agree if anyone willing to spend some time and money to pursue higher degree they might benefit, they'd have stronger foundation in their financial literacy with all the theories taught, since getting higher degree also means getting better in understanding things, but still need to see whether the benefit we might get well worth the money and time spent.
if its not, then I doubt people with no pursue of career gonna get the degree or even eager to, its not the only thing that could make your life better after all.

[Fortify]

How to Equip Yourself with Essential Knowledge to Succeed in the World of Cryptocurrency

As the world becomes increasingly digitalized, the importance of financial literacy, especially in cryptocurrency, cannot be overstated. With the rise of Bitcoin and other cryptocurrencies, it is crucial to be knowledgeable about these assets and how to invest and manage them wisely. However, the question remains: what is the role of education in financial literacy?

While some people believe that hands-on experience is the best way to learn, it cannot be denied that education in economics and finance can provide a strong foundation for success. Higher education can teach valuable skills such as critical thinking, data analysis, and risk assessment, all of which are crucial in the world of finance and investments. It can also provide theoretical knowledge that one would not otherwise acquire through everyday experiences.

On the other hand, some argue that education in finance and economics does not necessarily equate to financial literacy. They point out that many successful investors are self-taught, and that practical experience is the best teacher. Moreover, they contend that education in finance can often be expensive and not accessible to everyone.

Despite the differing opinions on the role of education in financial literacy, it is clear that individuals should seek out knowledge from a variety of sources to best equip themselves to succeed in the world of cryptocurrency. This can include following cryptocurrency news and social media, reading books and blogs on finance and investments, and seeking out practical experiences through investing and trading activities.

Cryptocurrency is pretty much a small niche in the world of finance, besides what some people here would want you to believe. It is merely a small, but growing part of the business world and it's practical uses in day to day transactions are still relatively small compared to credit card networks or payment services providers like Paypal. Learning all about things like loans, credit & debit cards, mortgages, interest rates, bonds, the stock market and all these other elements more broadly will help you understand the world a lot better. I think schools missed these things for a long time, with their focus independently on things like math or business studies, however the more practical side of personal finance is super important too.

[ndutndut]

In terms of education, that is the priority, but the most important thing is that direct experience is one of the best ways to learn when it comes to financial literacy.

That is true that life is the best teacher. Whatever you learn in school can not compare to anything you will go through in the real life. Education is just something you have to equip yourself with to try and prepare to be ready but in reality it barely prepares you for the real thing.

The best teachers in learning financial literacy are parents, then teachers at school and finally the journey of life. We must have these three things in order to manage our finances well. In the world of education (schools) teachers do not fully teach financial literacy, there is only general financial literacy for the world of work, but very little is taught about investment and asset development in schools, perhaps this is because schools do not fully teach financial literacy because schools a place where all knowledge must be learned.

In this generation's era, the ability to manage finances is very important, whatever the job, we must have skills in managing finances, so that finances remain stable and don't fall apart. So Financial Literacy is very important that everyone must have, this aims to ensure that we are not fooled by fraud related to financial matters. Especially in the current technological era, many individuals take advantage of people whose financial literacy is low to trap them with promises of big profits in an instant.

[kawetsriyanto]

educational institutions only provide financial lessons that students actually need to face the world of work in the future. it has been designed in such a way by the government and i think that it is not completely wrong, it's just that in several aspects educational institutions should provide financial literacy that is useful for students in their daily lives, such as how to manage financial risks, what investment is, etc. with such financial literacy, it is possible that young people will be less likely to get into debt at a young age or be exposed to scams when they invest in an instrument, and there are various other benefits that young people can get.

For what level of education you mean here?
For the early level of education such as elementary school, financial lesson isn't necessary. The students won't understand the subject, it is a too difficult matter. But for Junior and Senior high school students, the general materials of financial lesson is enough for them. In that level, they don't experience a complicated financial cases yet, so it is enough to let them know in general. But if it is in university level, it is okay to give them the lessons about financial risk management, investment, financial literacy, or other specific financial matters.

That is true that life is the best teacher. Whatever you learn in school can not compare to anything you will go through in the real life. Education is just something you have to equip yourself with to try and prepare to be ready but in reality it barely prepares you for the real thing.

I think you mean, "experience is the best teacher". 
Sometimes the lesson in the school lets students know about the facts in real life. It is untrue if all the lessons are about the theoretical matters and it is not applicable. Education makes everyone to be more well prepared to face the reality in life. If education doesn't prepare everyone to face real life, it means education just wastes people's time. You need to learn deeply about education, it is not as worse as you think, dude!!