Assessing the Impact of Financial Literacy Programs on High School Students’ Economic Decision-Making and Savings Behaviors

Project Abstract

This study investigates the impact of structured financial literacy programs on the economic decision-making and savings behaviors of high school students, with a focus on understanding how classroom interventions translate into real-world financial choices. Employing a quasi-experimental design, the research compares a treatment group exposed to a comprehensive curriculum—covering budgeting, credit, interest, inflation, investment basics, and risk assessment—with a control group receiving standard economics instruction over a full academic year in multiple urban and rural schools. A mixed-methods approach integrates quantitative measures (pre- and post-tests on financial knowledge, simulated budgeting tasks, and longitudinal tracking of savings intentions and behaviors, complemented by school-record data on participation in savings programs and extracurricular financial activities) with qualitative insights from student focus groups, teacher interviews, and classroom observations to capture the nuances of learning transfer, motivation, and contextual barriers. The study analyzes whether participation in financial literacy curricula leads to statistically significant improvements in financial knowledge, financial self-efficacy, and prudent money management skills, including budgeting discipline, goal setting, and emergency savings planning. It also examines the durability of these effects over a 12-month follow-up period and investigates moderating factors such as gender, socioeconomic status, parental financial socialization, digital access, and prior exposure to financial concepts. The research assesses behavioral outcomes through simulated financial decisions, preferences for saving versus spending, response to debt-related scenarios, and likelihood of enrolling in student-friendly savings programs or matched-savings initiatives. Additionally, the study explores the role of instructional delivery methods (teacher-led versus blended digital modules, peer collaboration, and experiential learning activities like mock stock exercises) in shaping learning outcomes and engagement. Data analysis employs hierarchical linear modeling to account for nested data (students within classes within schools) and propensity score matching to mitigate selection bias. Mediation analyses evaluate whether changes in financial knowledge and self-efficacy mediate the relationship between program exposure and savings behavior, while moderation analyses identify conditions under which the program is most effective. The expected findings are that well-structured financial literacy programs significantly enhance economic decision-making competencies and predispose students to healthier savings behaviors, particularly when reinforced by practical applications, parental involvement, and accessible digital tools. The study aims to provide evidence for policymakers and educators on scalable, equitable, and age-appropriate financial education models that can be integrated into secondary curricula to foster long-term financial well-being, reduce future financial vulnerability, and contribute to the broader economic resilience of youth populations. Recommendations will address program design, assessment frameworks, teacher professional development, and strategies for sustainable implementation across diverse school settings.

Project Overview

What This Project Is About

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A plain-language overview of how financial literacy programs influence how high school students make money-related choices and save money. It looks at what students know about money, how they decide between spending and saving, and whether classroom lessons lead to better saving habits and more informed financial decisions over time.

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The Problem It Addresses

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Many students graduate with limited money management skills, which can lead to poor long-term financial outcomes. Schools often offer little consistent financial literacy, creating gaps in knowledge and behavior. This project investigates whether structured programs can close those gaps and shape healthier financial habits.

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Objectives of the Project

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1. Assess current levels of financial knowledge and saving behavior among participating students.
2. Evaluate the effect of a structured financial literacy program on decision-making related to money.
3. Identify which parts of the program are most effective for changing behavior.
4. Provide practical recommendations for schools on implementing financial literacy curricula.

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What You Will Do Step by Step

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1) Review existing financial literacy materials used in high schools.

2) Design or adapt a brief, evidence-based program suitable for a semester.

3) Recruit a sample of students and obtain consent.

4) Administer pre-program surveys to measure knowledge and saving habits.

5) Deliver the program and collect feedback during sessions.

6) Administer post-program surveys and optional follow-up after a few months.

7) Analyze changes in knowledge and behavior using simple comparison methods.

8) Discuss which elements worked best and barriers to implementation.

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Expected Outcome

The project is expected to show improvements in students’ financial knowledge and in saving intentions or behaviors, with clearer guidance for schools on what types of activities yield the strongest impact. It aims to provide a practical, scalable framework for integrating financial literacy into high school education.