Recommendations for Increased Financial Literacy in American High Schools

Abstract

This paper examines the current landscape of financial literacy within the context of secondary schools, youth, and adolescents. For this paper, financial literacy can be defined as the ability to use financial knowledge and skills to manage financial resources effectively for a lifetime of well-being. Our literature review highlights three main issues in current practices: curriculum standardization, methodological differences in measuring financial literacy, and lack of long-term retention in youth as they grow older. Current assessment methods vary widely, financial literacy education is not completely effective, and many results were not deemed statistically significant due to small sample sizes and a small number of available studies. The absence of available data underscores the importance of a more standardized system with better analytical methodology to assess financial literacy. To address these issues, this paper proposes several solutions. We recommend standardized financial literacy curricula that are developed through collaboration with existing institutions, the increase in resources and incentives, and youth advocacy programs and government efforts can promote financial education and assist with integration into school curricula.