Transformations  in
Business & Economics

GENDER DIFFERENCES IN RATIONALITY AND FINANCIAL LITERACY⁵
Matus Kubak, Beata Gavurova, Nikola Majcherova, Jozef Nemec

ABSTRACT. Financial literacy is an important indicator of the overall knowledge of individuals needed for everyday decision-making in individual finances. Acceleration of economic processes has increased importance of financial literacy over time. The aim of the presented study is to examine the financial literacy of adolescents and young adults in Slovakia in context of their rationality. Using questionnaire, we collect data on 447 individuals. Correspondence analysis reveals that men's financial literacy is more dependent on rationality for less rational men and strongly rational men. In the case of moderately rational men, we find relatively inconsistent results in relation to financial literacy. Women's financial literacy is less determined by their rationality.

KEYWORDS:  rationality, financial literacy, gender differences.

JEL classification:  G53, A23, I29.

⁵Acknowledgments:  Research was funded by scientific project VEGA 1/0619/19: "Experimental inquiry on economic agents' propensity to tax evasion". This work is supported by the Scientific Grant Agency of the Ministry of Education, Science, Research, and Sport of the Slovak Republic and the Slovak Academy Sciences as a part of the research project VEGA 1/0797/20: "Quantification of Environmental Burden Impacts of the Slovak Regions on Health, Social and Economic System of the Slovak Republic".