Financial Literacy and Self-Assessment
| Reference number | |
| Coordinator | Swedish House of Finance |
| Funding from Vinnova | SEK 660 000 |
| Project duration | July 2014 - June 2017 |
| Status | Completed |
Important results from the project
The project aims to understand the relation between actual and perceived financial knowledge, and the effects of overconfidence in financial decision-making. We conduct a web-survey on LinkedIn, as well as a survey to 12,000 Swedes in the ages between 18-65 which we match to actual pension choices obtained form the Premium Pension Authority.
Expected long term effects
Our results builds on the importance of meta-cognition in decision-making: the importance of knowing what you do not know. We show that individuals with low meta-cognition tend to be more active decision-makers, but also more prone to make mistakes.
Approach and implementation
Our results can give important insights for policymakers who seek to improve on information and systems that protect individuals with lower knowledge to make better financial decisions.