Camelia M. Kuhnen|Brian T. Melzer
Noncognitive Abilities and Financial Delinquency: The Role of Self?Efficacy in Avoiding Financial Distress
Instituto Benjamin Constant|Federal Reserve Bank of Chicago|Federal Reserve|Lindsey Wilson College|Dartmouth College|University of North Carolina at Chapel Hill
abstract investigate novel determinant financial distress namely individuals selfefficacy belief actions influence future individuals high selfefficacy likely take precautions mitigate adverse financial shocks subsequently less likely default debt bill payments especially experiencing negative shocks job loss illness thus noncognitive abilities important determinant financial fragility subjective expectations important factor household financial decisions