The Association Between Race, Socioeconomic Standing, and Financial Literacy

by

Faculty Sponsor: Robert Kabacoff

Live Poster Session: Zoom Link (put your personal zoom link)

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Colby Chan

Welcome! Colby Chan, originally from Queens, NY, and raised in Orlando, FL, is a second-year student at Wesleyan University majoring in Economics and minoring in Data Analysis. Beyond his academic pursuits, he is passionate about playing and watching basketball, listening to music, and playing the trumpet.

Abstract:
This study examines the association between race, socioeconomic standing, and financial literacy in a nationally representative sample of U.S. adults, addressing gaps in understanding the intersection of racial and economic disparities. Using data from the National Financial Well-Being Survey and the Lusardi and Mitchell financial knowledge scale (LMscore), multivariate regression analysis revealed that racial minorities, particularly Black and Hispanic individuals, scored significantly lower on financial literacy than white individuals. However, socioeconomic factors such as education and income substantially influenced these disparities. Findings suggest that while race remains a critical factor, socioeconomic inequalities also play a significant role in shaping financial literacy outcomes. These results emphasize the need for targeted financial education programs to address both racial and economic inequities.

Colby’s QAC 201 PosterDownload