Financial Literacy Education to Reduce Equity Gaps

Transcript:Financial Literacy Education to Reduce Equity Gaps:
Financial Literacy Education to Reduce Equity Gaps Abdullah Al Bahrani albahrania1@nku.edu Associate Professor of Economics and Interim Associate Dean Haile College of Business Northern Kentucky University Financial Literacy Education How the Haile College of Business influenced Financial Literacy Education at the Local Regional National and International Level In the context of AACSB's 2020 business accreditation standards, societal impact refers to the ways in which a business school’s mission and strategic plan guide actions that positively influence society—at local, regional, national, or international levels. Business schools are empowered to define impact objectives and strategies that align with the communities they serve. The Haile College of Business To deliver innovative student-centered experiential learning that prepares our graduates for success in a global society, to contribute to the economic development of our region and beyond, and to engage in relevant scholarly and applied inquiry. The HCOB leads societal change by Cultivating a position at the intersection of academia and practice Connecting with other disciplines Being a driver of innovation in higher education Summary The Problem Increased financial options Increased complexity in financial decisions Increased financial independence Widening wealth gaps Concerns about market volatility Required classes vs Standards Kentucky’s Response 2018- Introduced an unfunded mandate 2020- Introduced the standards 2021- Entering Freshman class is required to have a financial literacy program that meets the standards before graduation This policy introduced variation in how personal finance is taught, and quality of instruction will be correlated with school resources. The Solution Educator Training Program Professional Development Group General Education financial literacy course School-based Scholar program Research Lab The Educator Support Developed a summer non-credit course for educators Three-week course to help educators learn the standards in teaching financial literacy and economics. Introduction to providers of financial literacy education. Developed a year-round professional development group A support system for educators to learn new financial literacy pedagogy. Connecting educators with industry partners that serve as guest speakers. General Education Course Pathways to Financial Literacy FLC101 Housed in the Accounting, Economics, and Finance Department. A general education course that meets Individual and Society Gen Ed Credit. Principles of Macroeconomics, Microeconomics, and Financial Literacy are three gen ed courses by the Haile College of Business. The course focuses on the role of financial literacy and how it impacts individual and society outcomes. Examples of topics, gender wage gaps, racial wealth gaps, search and shopping behavior, risk and investing. School-based Scholar