Annamaria Lusardi|Pierre?Carl Michaud|Olivia S. Mitchell
Assessing the impact of financial education programs: A quantitative model
George Washington University|Center for Interuniversity Research and Analysis on Organizations|HEC Montréal|University of Pennsylvania
prior studies disagree regarding effectiveness financial education programs especially offered workplace explain measurement differences evaluation outcomes employ stochastic life cycle model endogenous financial knowledge accumulation investigate financial education programs optimally shape key economic outcomes approach permits us measure programs shape wealth accumulation financial knowledge participation sophisticated assets eg stocks across heterogeneous consumers apply conventional program evaluation econometric techniques simulated data distinguishing selection treatment effects show effective programs provide followup order sustain knowledge acquired employees via program instance financial education delivered employees around age 40 raise savings retirement close 10 contrast onetime education programs produce shortterm longterm effects also measure accounting selection affects estimates program effectiveness participate comparisons participants nonparticipants misleading even using differenceindifference strategy commontrend assumption unlikely hold random program assignment needed evaluate program effects participate