Financial Anxiety, Physiological Arousal, and Planning Intention (original) (raw)
Related papers
Journal of Neuroscience, Psychology, and Economics, 2012
There is a scarcity of information concerning the emotional aspects of financial management. Two studies were conducted to evaluate the measurement of conscious and intuitive emotional anxiety toward one's personal finances. Along with a selfreported financial anxiety questionnaire, a modified Emotional Stroop Test (EST) and Dot-Probe Paradigm (DPP) were separately utilized to evaluate financial anxiety. In both studies, the self-reported financial anxiety questionnaire correlated significantly with the implicit measures. Furthermore, the DPP was predominantly characterized by avoidance of financial information. Financial anxiety was shown to be a separate construct from depression and general anxiety. These findings indicate that those who report having financial anxiety also display reaction latencies in the processing of financial information. Accordingly, financial behavior could be more comprehensively evaluated and policy could be better determined by incorporating financial anxiety into models of financial illiteracy, mismanagement, and debt.
Contemporary Family Therapy, 2019
When financial and mental health issues intersect, the study and practice of financial therapy is warranted. The purpose of this study was to determine the extent to which the following two psychosocial constructs-financial knowledge and generalized anxiety-are associated with and related to risky financial management behavior. Research findings from a sample of 110 clients who sought services at an integrated service clinic suggest that anxiety and financial knowledge individually are significantly associated with financial behaviors. In addition, evidence suggests a moderating effect between anxiety and financial knowledge exists. The outcomes associated with this study can be used by not only financial therapists, but also mental health clinicians and financial professionals when developing, presenting, and implementing behaviorally focused treatments, interventions, and counseling recommendations within the professional's scope of practice.
The Correlation between Anxiety and Money Management
College student journal, 2013
Finances are frequently cited by college administrators as a top cause of college student stress and drop out. Positive financial behaviors can help prevent financial stress and possibly help with college student retention rates. According to past research, financial behaviors can be predicted based on certain demographic characteristics, resource availability, and financial knowledge. One of the gaps in the literature revolves around the impact that anxiety plays in positive and negative financial behaviors. Students who are anxious are sure to be experiencing a high degree of stress. Using primary data collected from students attending a large Midwestern university, results indicate that anxiety has a significant effect on three financial behaviors. Implications suggest that college financial counseling and mental health programs collaborate to provide holistic services to students which may help to retain students due to financial stress and anxiety. Keywords: Mental Health Distr...
Journal of Financial Therapy, 2023
This study examined whether the association between financial knowledge and financial anxiety depends on an individual's financial self-efficacy by incorporating an interaction term between financial self-efficacy and financial knowledge. The self-efficacy component of the social cognitive theory of self-regulation has been tested using the 2018 National Financial Capability Study dataset. Households with higher financial knowledge and financial selfefficacy had lower levels of financial anxiety. After adding interaction terms of financial knowledge and financial self-efficacy in the model, the relationship between financial knowledge and financial anxiety depended on the levels of financial self-efficacy. Among those with anything less than high financial self-efficacy, the association between financial knowledge and financial anxiety weakens. The study found that financial knowledge and financial self-efficacy were significant in explaining financial anxiety and suggested implications for researchers, educators, and practitioners.
Emotional state, financial expectations and overconfidence
2011
Although the role of irrationality in the trading choice has been extensively discussed in the literature, individual characteristics, which are equally crucial, have been neglected. The purpose of this paper is to add a different way of looking with finance by focusing on individuals’ emotions. In particular, this work emphasizes the role of social life in emotional states. We investigated several possible links between psychological factors and trading choices in a sample of non professional agents, which managed a virtual portfolio pretending to be traders. Using a series of daily surveys over a seven week period as well as introductive inventory surveys, we constructed measures of personality traits and emotional moods and correlate these with subjects’ financial choices. Our aim is to find some evidence of the contribution of emotional state to the way to invest, indicating the added value of using an emotional intelligence measure beyond the classic economic theory. JEL classi...
Journal of Financial Therapy, 2023
This study examined whether the association between financial knowledge and financial anxiety depends on an individual's financial self-efficacy by incorporating an interaction term between financial self-efficacy and financial knowledge. The self-efficacy component of the social cognitive theory of self-regulation has been tested using the 2018 National Financial Capability Study dataset. Households with higher financial knowledge and financial selfefficacy had lower levels of financial anxiety. After adding interaction terms of financial knowledge and financial self-efficacy in the model, the relationship between financial knowledge and financial anxiety depended on the levels of financial self-efficacy. Among those with anything less than high financial self-efficacy, the association between financial knowledge and financial anxiety weakens. The study found that financial knowledge and financial self-efficacy were significant in explaining financial anxiety and suggested implications for researchers, educators, and practitioners.
Anxiety Credit card behavior and financial education Issues 11 7 2016
This paper studies the determinants of financial anxiety and the role that anxiety plays in consumers' credit card repayment behavior. Our main interest is to uncover consumer's perception of self, regarding consumption and borrowing behavior, anxiety and consequent repayment capacity. We pay particular attention to the role that trans-generational financial knowledge, financial literacy, present-bias, impatience and naïve behavior on financial management practices of credit card behavior have on anxiety. Exploratory estimates using a series of ordered Probit models with anxiety levels as dependent variable, first, and repayment frequency on credit card second, provide robust support to the hypothesis that issues relating to poor mental accounting on expenditure, combine with impatience and present-bias through overspending result in higher levels of anxiety. To this end, higher financial literacy does not cause less anxiety, yet it does improve repayment rates on credit cards. In addition, it appears that parental driven financial education while having the desirable effect to improve repayment behavior on credit card debt, also has a negative effect on the anxiety level. A robust result of our study indicates that higher financial anxiety in turn increases the probability to accumulate a month-to-month balance on credit cards. Anxiety seems to be endemic and persistent once it settles in.
How Do Distrust and Anxiety Affect Saving Behavior?
Family and Consumer Sciences Research Journal, 2012
Using scales developed from a modified Yamauchi and Templer's Money Attitudes Scale (1982), this research examined how distrust and anxiety, demographic factors, and financial management behavior were associated with being a regular saver among low-and moderate-income households. Data were collected online. The national sample consisted of 749 respondents. The results of the Ordinary Least Squares regression on the financial management behavior score showed that those with higher levels of distrust and lower levels of anxiety tended to engage in more recommended financial management behaviors. The results of the logistic regression on saving regularly showed that anxiety and financial management behaviors were associated with savings behavior. The results of hierarchical logistic regressions showed that those who practiced more recommended financial management behaviors and those who had lower levels of anxiety were more likely to save regularly. Also, those with more income and more net worth were more likely to save regularly. Male respondents were more likely to save regularly than female respondents. As age increased, respondents were less likely to save regularly.
Who Seeks A Financial Planner? A Review of Literature
In today's highly complex and volatile financial market the importance of financial advice in decision making is difficult to rebut. People may seek for this type of help through close networks (like family or friends) or professional advisors. This paper reviews and summarizes the studies about financial help-seeking behavior. The findings suggest that factors like demographic profile, socioeconomic features, and psychosocial characteristics are most likely to influence financial help-seeking behavior. To analyze the process of this behavior, we apply the theory of planned behavior and develop the conceptual framework. The direction of future studies is presented with a particular highlighting on the outcome of existing research.
Emotional economic man: Calculation and anxiety in fund management
Accounting, Organizations and Society, 2017
If citing, it is advised that you check and use the publisher's definitive version for pagination, volume/issue, and date of publication details. And where the final published version is provided on the Research Portal, if citing you are again advised to check the publisher's website for any subsequent corrections.