The relationship between financial disputes and financial literacy

Chung Hua Shen, Shih Jie Lin, De Piao Tang, Yu Jen Hsiao

Research output: Contribution to journalArticle

10 Citations (Scopus)

Abstract

This study examines financial literacy and its relationship with financial disputes. We devised two special modules from the Third National Financial Literacy Survey conducted by Taiwan's Financial Supervisory Commission (FSC) in 2011. With this unique database, we examine topics that have rarely been discussed in other studies. Our empirical evidence suggests that people with a higher financial literacy are less likely to experience financial disputes. When the purchase of financial products and services leads to a financial dispute, people with a higher financial literacy will aggressively handle the problem. In addition, personal characteristics, such as gender, work status, and household income, are key factors affecting the chances of a financial dispute. Finally, our results are robust to potential selection bias when we include the results of the National Financial Literacy Survey conducted by the FSC in 2007, 2009, and 2011.

Original languageEnglish
Pages (from-to)46-65
Number of pages20
JournalPacific Basin Finance Journal
Volume36
DOIs
Publication statusPublished - Feb 1 2016
Externally publishedYes

Fingerprint

Financial literacy
Dispute
Financial products
Empirical evidence
Factors
Purchase
Household income
Financial services
Taiwan
Data base
Personal characteristics
Module
Selection bias

Keywords

  • D12
  • Financial dispute
  • Financial literacy
  • I22
  • I28

ASJC Scopus subject areas

  • Economics and Econometrics
  • Finance

Cite this

The relationship between financial disputes and financial literacy. / Shen, Chung Hua; Lin, Shih Jie; Tang, De Piao; Hsiao, Yu Jen.

In: Pacific Basin Finance Journal, Vol. 36, 01.02.2016, p. 46-65.

Research output: Contribution to journalArticle

Shen, Chung Hua ; Lin, Shih Jie ; Tang, De Piao ; Hsiao, Yu Jen. / The relationship between financial disputes and financial literacy. In: Pacific Basin Finance Journal. 2016 ; Vol. 36. pp. 46-65.
@article{9bb5cbc5d58b411da0b71005f65dca54,
title = "The relationship between financial disputes and financial literacy",
abstract = "This study examines financial literacy and its relationship with financial disputes. We devised two special modules from the Third National Financial Literacy Survey conducted by Taiwan's Financial Supervisory Commission (FSC) in 2011. With this unique database, we examine topics that have rarely been discussed in other studies. Our empirical evidence suggests that people with a higher financial literacy are less likely to experience financial disputes. When the purchase of financial products and services leads to a financial dispute, people with a higher financial literacy will aggressively handle the problem. In addition, personal characteristics, such as gender, work status, and household income, are key factors affecting the chances of a financial dispute. Finally, our results are robust to potential selection bias when we include the results of the National Financial Literacy Survey conducted by the FSC in 2007, 2009, and 2011.",
keywords = "D12, Financial dispute, Financial literacy, I22, I28",
author = "Shen, {Chung Hua} and Lin, {Shih Jie} and Tang, {De Piao} and Hsiao, {Yu Jen}",
year = "2016",
month = "2",
day = "1",
doi = "10.1016/j.pacfin.2015.11.002",
language = "English",
volume = "36",
pages = "46--65",
journal = "Pacific Basin Finance Journal",
issn = "0927-538X",
publisher = "Elsevier",

}

TY - JOUR

T1 - The relationship between financial disputes and financial literacy

AU - Shen, Chung Hua

AU - Lin, Shih Jie

AU - Tang, De Piao

AU - Hsiao, Yu Jen

PY - 2016/2/1

Y1 - 2016/2/1

N2 - This study examines financial literacy and its relationship with financial disputes. We devised two special modules from the Third National Financial Literacy Survey conducted by Taiwan's Financial Supervisory Commission (FSC) in 2011. With this unique database, we examine topics that have rarely been discussed in other studies. Our empirical evidence suggests that people with a higher financial literacy are less likely to experience financial disputes. When the purchase of financial products and services leads to a financial dispute, people with a higher financial literacy will aggressively handle the problem. In addition, personal characteristics, such as gender, work status, and household income, are key factors affecting the chances of a financial dispute. Finally, our results are robust to potential selection bias when we include the results of the National Financial Literacy Survey conducted by the FSC in 2007, 2009, and 2011.

AB - This study examines financial literacy and its relationship with financial disputes. We devised two special modules from the Third National Financial Literacy Survey conducted by Taiwan's Financial Supervisory Commission (FSC) in 2011. With this unique database, we examine topics that have rarely been discussed in other studies. Our empirical evidence suggests that people with a higher financial literacy are less likely to experience financial disputes. When the purchase of financial products and services leads to a financial dispute, people with a higher financial literacy will aggressively handle the problem. In addition, personal characteristics, such as gender, work status, and household income, are key factors affecting the chances of a financial dispute. Finally, our results are robust to potential selection bias when we include the results of the National Financial Literacy Survey conducted by the FSC in 2007, 2009, and 2011.

KW - D12

KW - Financial dispute

KW - Financial literacy

KW - I22

KW - I28

UR - http://www.scopus.com/inward/record.url?scp=84949921803&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84949921803&partnerID=8YFLogxK

U2 - 10.1016/j.pacfin.2015.11.002

DO - 10.1016/j.pacfin.2015.11.002

M3 - Article

AN - SCOPUS:84949921803

VL - 36

SP - 46

EP - 65

JO - Pacific Basin Finance Journal

JF - Pacific Basin Finance Journal

SN - 0927-538X

ER -