Research

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Schools in the News

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  • How Microlending Builds Financial Literacy Skills and Empowers Students (Education Week)

Teachers understand that creating authentic, real-world learning experiences engage students in a way that improves learning and makes it more enjoyable. At Town School for Boys in San Francisco, 6th graders engage in a yearlong study of microfinance using project-based learning that explores what it means to run a business while developing meaningful success skills along the way. While global education initiatives have traditionally focused on humanities and science classes, the boys find many lessons of mathematics complement their journey while partnering with nonprofit Kiva.org, which is headquartered in San Francisco.

First period at Bennett High School was interrupted Monday by a rock concert. At least it started out that way. The Nashville-based, Kansas-bred band GOODING rocked the high school’s auditorium for four or five songs before the band’s lead singer and namesake turned teacher and gave the howling crowd of students a lesson on a subject they don’t often hear about in the classroom:

Ask Reddit: What’s the Best Way To Build Credit?

An important skill for students to build is the ability to critically analyze any form of media (articles, videos, reader comments or even friends and family) that they rely upon for financial advice. Forums such as Bogleheads can be a useful place to find financial advice but still requires a critical eye to separate the signal from the noise.

I came across this question on Reddit (“Just turned 18, What is the best way to start building credit) that had a manageable number of responses. I thought this would be a good assessment to use after your Managing Credit unit. This question about building credit has become more important for young people given CARD Act regulations that make it difficult to get a credit card before the age of 21 unless you have a parent co-signer or an independent source of income.

Here’s the mini-activity. Ask your students to…

Chart: Which College Majors Are Hottest (In Employers Eyes)?

From WSJ:

Chart: Could You Come Up with $400 In Case of An Emergency?

From WSJ:

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In 2015, we posted research indicating that 47% of Americans couldn’t come up with $400 in case of an emergency. These charts and data tables provide some additional context around that statistic. Questions for your students:

NGPF Podcast: Tim Talks To Prof. Meir Statman About Behavioral Finance

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I enjoyed my recent conversation with Finance professor Meir Statman of Santa Clara University, which is just down the street from the NGPF offices. Meir conducted some of the earliest research in what we now know as behavioral finance. He discusses his book, Finance for Normal People, and shares his insights about how investing should be taught in school (spoiler alert: Keep It Simple!). He also describes his approach to playing the stock market game and why fees matter so much when comparing investment options. You will know more about investing after you listen to Prof. Statman. Enjoy!
Details:

What’s New In Financial Education Research?

Hat tip to Brian Page for reminding me about the recent Cherry Blossom Financial Education Institute held in early April. Here’s a summary of a few of the papers that were presented that you might be interested in:

Timing is Everything: What’s the Impact of Graduating Into A Recession?

What happens to young people who have the misfortune of graduating into a recession? That’s the question that researcher Bart Cockx of Ghent University, Belgium, and IZA, Germany tries to answer (here’s his one-pager  summarizing the research.) This research provides further evidence of importance of education as demonstrated by the differing outcomes based on educational attainment.

I found this research of interest since I saw this phenomenon first-hand in my family. My older brother graduated from college into a recession in 1981 and struggled to find work. He took a job as a bellhop to get out of the house and ultimately talked his way into an interview and then into an engineering job (yes, initiative does matter!). So, it took him about six months after graduating to find this job. Clearly his technical degree (engineering) came in handy and then once he got that good-paying job in his field his career was back on the right track.

Now onto the key takeaways from the research:

By |April 19th, 2017|Article, Career, Current Events, Employment, Research|

Chart of the Week: What Are Your Two Favorite Platforms for Watching “Television?”

 

The answer to this question has budgetary implications given how the cost differential between the platforms. If you are a millennial, your top four platforms, based on a recent survey, are:

  • Netflix
  • Cable TV
  • Hulu
  • Amazon Prime

Hat tip to VisualCapitalist for this infographic: