Reports from University of Quebec Describe Recent Advances in Pension Economics (Financial literacy and retirement planning in Canada)

Investment Weekly News

By a News Reporter-Staff News Editor at Investment Weekly News -- A new study on Economics - Pension Economics is now available. According to news reporting out of Montreal, Canada, by VerticalNews editors, research stated, "In this paper, we draw on internationally comparable survey evidence on financial literacy and retirement planning in Canada to investigate how financially literate Canadians are and how financial literacy is linked to retirement planning. We find that 42% of respondents are able to correctly answer three simple questions measuring knowledge of interest compounding, inflation, and risk diversification."

Our news journalists obtained a quote from the research from the University of Quebec, "This is consistent with evidence from other countries, and Canadians perform relatively well in comparison with Americans but worse than individuals in other countries, such as Germany. Among Canadian respondents, the young and the old, women, minorities, and those with lower educational attainment do worse, a pattern that has been consistently found in other countries as well."

According to the news editors, the research concluded: "Retirement planning is strongly associated with financial literacy; those who responded correctly to all three financial literacy questions are 10 percentage points more likely to have retirement savings."

For more information on this research see: Financial literacy and retirement planning in Canada. Journal of Pension Economics & Finance, 2017;16(3):277-296. Journal of Pension Economics & Finance can be contacted at: Cambridge Univ Press, Edinburgh Bldg, Shaftesbury Rd, CB2 8RU Cambridge, England. (Cambridge University Press - www.cambridge.org; Journal of Pension Economics & Finance - journals.cambridge.org/action/displayJournal?jid=PEF)

Our news journalists report that additional information may be obtained by contacting D. Boisclair, Univ Quebec Montreal, Ecole Sci Gest, Ind Alliance Res Chair Econ Demog Change, Montreal, PQ, Canada. Additional authors for this research include A. Lusardi and P.C. Michaud.

Keywords for this news article include: Montreal, Quebec, Canada, North and Central America, Pension Economics, Economics, Finance and Investment, University of Quebec.