Antonia Grohmann|Theres Klühs|Lukas Menkhoff
Does financial literacy improve financial inclusion? Cross country evidence
German Institute for Economic Research|Leibniz University Hannover|Leibniz University Hannover|Humboldt-Universität zu Berlin|German Institute for Economic Research
financial inclusion typically addressed improving financial infrastructure show higher degree financial literacy also clear beneficial effect study effect crosscountry level allows us consider institutional variation regarding access finance financial infrastructure financial literacy mainly substitutes however regarding use financial services effect higher financial literacy strengthens effect financial depth causal interpretation results supported ivregressions moreover positive impact financial literacy holds across income levels several subgroups within countries