Financial Literacy, Financial Behaviors, and Financial Crises: The Case of Lebanon

Abstract

The years-long academic discussion on financial literacy confirms that it promotes sound financial behaviors and increases financial inclusion. In this research work, I check if the latter still holds true during times of financial crises. I take the case of Lebanon, a country going through multiscale crises. By running two sets of surveys and using previous research data to answer my three research questions by using different statistical techniques, I find that regardless of people’s claims, only males acquire financial knowledge from the crises. I also find that people’s behaviors change throughout the financial crises in which previously advocated behaviors become redundant. I conclude my research by providing scholars and researchers with some opportunities for future research as on-topic discussion is scarce and vital to be done during such times.