Does the Educational Level of Parents Influence Their (Adult) Offspring’s Financial Behavior?

Abstract

The aim of this paper is to examine the influence of parents’ educational levels on young adults’ financial behavior. A sample of students enrolled on degree programs in Economics was considered to avoid the problem of financial illiteracy. The results obtained reveal that the educational levels of both parents influence young adults’ financial behavior but in significantly different ways: a father with a university degree seems to influence his male offspring’s financial behavior positively, while a mother with a university degree seems to influence her female offspring’s financial behavior negatively. This evidence may lead to reflection on intervention to ensure that tomorrow's women have the same opportunities for successful financial planning as men.