PUBLISHED WORK
Journal of Family and Economic Issues
https://doi.org/10.1007/s10834-019-09640-4
First Online: July 15, 2019
AN EXPLORATION OF GENDER BIAS, FRAMING, AND STUDENT LOAN DECISIONS THROUGH EXPERIMENTAL DESIGN
As student loan debt is one of the fastest growing concerns for American households today, we need to understand the decision making behind student loan behavior to deal with the high student loan debt level properly. For this purpose, following a behavioral economics framework, we examine how variation in framing scenarios including gender bias, negative and positive framing, and aspiration for college degree framing, affects participant’s perceptions about the wisdom of using student loans and appropriate borrowing amounts. To analyze these framing affects, we obtained 1847 participants through an online survey describing a hypothetical student’s considerations related to attending college. We applied nonlinear regression with probit analysis and found that participants in the experiment had an implicit gender bias by recommending higher student loan debt for men than for women. However, additional information regarding the value of a college degree given in the female scenario encouraged them to take student loans and increase the amount of student loans.
Travis P. Mountain, Namhoon Kim, Michael S. Gutter, Elizabeth Kiss, Soo Hyun Cho, Carrie L. Johnson
Journal of Family and Economic Issues
Volume 40, Issue 1, 2019
FRAMING THE HUMAN CAPITAL INVESTMENT DECISION: EXAMINING GENDER BIAS IN STUDENT LOAN BORROWING
Recent literature suggests that the persistent gender wage gap, joined with a larger proportion of student loan debt, reduces the financial benefits of a college degree for women. Grounded in the theory of human capital and behavioral finance, this study investigates gender differences in student loan decisions using an experimental survey design with the online data collection. Participants (n = 1926) were randomly assigned to a treatment scenario about whether to enter college or the workforce that was manipulated by attribute frames of a gain, loss, or aspiration and varied by the gender of the character in a hypothetical scenario. The attribute frames did not influence the evaluation of student loan decisions. No significant gender differences were found in the evaluation of student loan borrowing or the experimental treatment scenarios, suggesting societal movement towards more gender-neutral attitudes regarding student loan borrowing and degree-seeking motivations.
Suzanne Bartholomae, D. Elizabeth Kiss, Jesse B. Jurgenson, Barbara O'Neill, Sheri Lokken Worthy, Jinhee Kim
Journal of Personal Finance
Volume 18 Issue 1, 2019
"AS SOON AS..." FINANCES: A STUDY OF FINANCIAL DECISION-MAKING
This article reports findings from a study of financial decision-making featuring analyses of responses to open-ended questions. The target audience was young adults with 69% of the sample under age 45. Four key financial decisions were explored: financial goals, homeownership, retirement planning, and student loans. Results indicated that many respondents were sequencing financial priorities instead of funding them simultaneously, and they were delaying homeownership and retirement savings. Three-word phrases like “once I have…,” “after I [action],” and “as soon as…” were noted frequently, indicating a hesitancy to fund certain financial goals until achieving others (i.e., sequential goal pursuit). This article also provides implications for financial practice.
Barbara O'Neill, Yilan Xu, Carrie Johnson, D. Elizabeth Kiss, Steven Buyske
Journal of Human Sciences and Extension
Volume 5 Number 1, 2018
TWITTER CHATS AS A RESEARCH TOOL: A STUDY OF YOUNG ADULT FINANCIAL DECISIONS
Many researchers collect online survey data because it is cost-effective and less time-consuming than traditional research methods. This paper describes Twitter chats as a research tool vis-à-vis two other online research methods: providing links to electronic surveys to respondents and use of commercially available survey panels through vendors with readily available respondents. Similar to a face-to-face focus group, Twitter chats provide a synchronous environment for participants to answer a structured series of questions and to respond to both the chat facilitator and each other. This paper also reports representative responses from a Twitter chat that explored financial decisions of young adults. The chat was sponsored by a multi-state group of land-grant university researchers, in cooperation with WiseBread, a personal finance website targeted to millennials, to recruit respondents for a more extensive month-long online survey about the financial decisions of young adults. The Twitter chat responses suggest that student loans were the top concern of participants, and debt and housing rounded out the top three concerns. The internet, both websites and social media, was the most frequently cited source of financial information. The article concludes with a discussion of lessons learned from the Twitter chat experience and suggestions for professional practice.
Barbara O'Neill, Yilan Xu, Carrie L. Johnson, D. Elizabeth Kiss
Family and Consumer Sciences Research Journal
Volume 46 Issue 4, 2018
TIPS FROM THE EXPERTS ON CONDUCTING AND REVIEWING QUALITATIVE RESEARCH
The purpose of this article was to describe the characteristics of qualitative studies, explain the various types of qualitative studies, and indicate which data collection method fits which type of qualitative study. Also, the authors who are all Associate Editors of the Family and Consumer Sciences Research Journal have provided their ideas on conducting reviews of qualitative studies. This article is an extension of the panel that was presented at the Annual Conference of the American Association of Family and Consumer Sciences in June 2018.
Sharon A. DeVaney, Alice Spangler, Young-A Lee, Lucy Delgadillo
Journal of Financial Counseling and Planning
Volume 28 Issue 2, 2017
PREDICTORS OF CONSUMERS' HEALTH INSURANCE KNOWLEDGE
The objectives of this study were to assess consumer knowledge of their health insurance plan and overall financial knowledge and to identify factors associated with consumer health insurance knowledge. A sample of taxpayers who had tax returns completed at a university-based volunteer income tax assistance (VITA) program was surveyed. More than 70% of respondents perceived their health insurance plan knowledge and overall financial literacy to be fair/good on a scale where the top choices were very good, excellent, and exceptional. The results of the binary logistic regression showed that those who were more likely to have high health insurance knowledge were U.S. citizens, not single, and reviewed their health insurance coverage at least once a year.
Sarah Osmane, Cathy Faulcon Bowen
Journal of the National Extension Association of Family and Consumer Sciences
Volume 11, 2016
USING VIRTUAL FOCUS GROUPS IN EXTENSION RESEARCH
Electronic learning technology and web-based survey sampling were used to conduct two virtual focus groups designed to investigate how student loan borrowers make decisions regarding their financial aid. Participants were recruited nationally by Survey Sampling International and separately at six land-grant universities. Most respondents claimed to have used their financial aid for school-related purposes, while a minority admitted to alternate uses of excess student loan amounts (e.g. entertainment and travel expenses). Best practices for using this innovative virtual focus group approach and lessons learned from working with multiple universities are described. Implications for replication of this project and recommendations for Cooperative Extension professionals are also discussed.
Carrie L. Johnson, David A. Evans, Sheri Lokken Worthy, Barbara O'Neill
Family and Consumer Sciences Research Journal
Volume 45 Issue 2, 2016
PERCEIVED VALUE OF COLLEGE AS AN INVESTMENT IN HUMAN AND SOCIAL CAPITAL: VIEWS OF GENERATIONS X AND Y
This article examines the perception of college based on the investment in human or social capital. An online survey was used to collect data. After deleting the responses from older cohorts (Baby Boomers and the Silent Generation) and incomplete responses, the sample consisted of 1,000 adult participants who had student loans. Similarities and differences between generations X and Y student loan borrowers were investigated. Generation Y ranked social capital reasons for a college education higher than human capital reasons. In contrast, Generation X ranked human capital reasons for a college education higher than social capital reasons. Generation and perceived value of college were significantly associated with the satisfaction related to student loans.
Carrie L. Johnson, Michael Gutter, Yilan Xu, Soo Hyun Cho, Sharon DeVaney
Journal of Financial Counseling and Planning
Volume 27 Issue 2, 2016
shorturl.at/fkAH3
WHAT ARE STUDENT LOAN BORROWERS THINKING? INSIGHTS FROM FOCUS GROUPS ON COLLEGE SELECTION AND STUDENT LOAN DECISION MAKING
This study used data from online focus groups collected from November 2014 to April 2015 to understand college students’ decision-making processes when borrowing money to finance their education. Data were collected using an online course management system. Results suggest that (a) students relied heavily on advice from parents, guidance counselors, and friends; (b) attending college was not possible without student loans; and (c) students knew very little about the loans they would be responsible for repaying. Recommendations for financial educators and counselors to help student borrowers make prudent decisions about education debt are presented.
Carrie L. Johnson, Barbara O'Neill, Sheri Lokken Worthy, Jean M. Lown, Cathy F. Bowen
Journal of Financial Counseling and Planning
Volume 27 Issue 2, 2016
shorturl.at/vF269
BARRIERS AND FACILITATORS TO SAVING BEHAVIOR IN LOW- TO MODERATE-INCOME HOUSEHOLDS
The purpose of this study was to identify barriers and facilitators of saving behavior in low- to moderate-income households within a framework of predisposing, enabling, and reinforcing factors. Data used were from a U.S. Department of Agriculture/National Institute for Food and Agriculture–sponsored multistate project. With a sample of 757 low- to moderate-income households and hierarchical logistic regression, results indicated that enabling factors and reinforcing factors reduced the significance of predisposing factors such as household income and financial knowledge on the likelihood to save. In the full model, significant predisposing factors included net worth, attitude toward saving, learned about saving from formal sources, marital status, gender, and race. Among the enabling factors, constraints on resources and lack of comfort with financial institutions were perceived as barriers to saving as well as unemployment. Of the reinforcing factors, concern for loss of benefits increased the odds of saving.
Teresa A. Mauldin, Robin Henager, Cathy Faulcon Bowen, Michael Cheang
Family & Consumer Sciences Research Journal
Volume 45 Issue 1, 2016
EXPERIMENTAL DESIGN TO UNDERSTAND THE STUDENT LOAN DECISION: A METHODOLOGICAL NOTE
The purpose of this study was to introduce a relatively new methodology of combining experimental design and survey data in the context of personal financial decision making. The NC2172 research team collected data online while manipulating framing effects, aspirations, and gender on hypothetical student loan decisions. The paper describes the development of the experimental conditions, demonstrates the effectiveness of the manipulations, and explains the importance and structure of random assignment of respondents across conditions. It seeks to guide future attempts utilizing experimentally designed online surveys by providing potential benefits and challenges.
Soo Hyun Cho, Travis P. Mountain, Nilton Porto, D. Elizabeth Kiss, Michael S. Gutter, Tim Griesdorn
Family & Consumer Sciences Research Journal
Volume 44 Issue 1, 2015
https://doi.org/10.1111/fcsr.12120
FINANCIAL LITERACY: THE RELATIONSHIP TO SAVING IN LOW- TO MODERATE-INCOME HOUSEHOLDS
This study was designed to explore financial literacy in low‐ to moderate‐income households with regard to saving behavior. The study examined the low‐ to moderate‐income household's decision to save regularly and their responses to three questions related to financial literacy and a self‐reported perception of financial knowledge. Perceived financial knowledge and planning (usually or most of the time) were good indicators of the decision to save regularly.
Robin Henager, Teresa Mauldin
Family & Consumer Sciences Research Journal
Volume 44 Issue 2, 2015
https://doi.org/10.1111/fcsr.12136
HOMEWONERSHIP AMONG MILLENNIALS: THE DEFERRED AMERICAN DREAM?
This article reviews external and internal factors influencing homeownership decisions for millennials, that is, those who were born between the 1980s and the early 2000s. The article was written by a multistate group of land‐grant university researchers to inform future research. The review of literature suggests that credit accessibility is an important external factor for millennials’ homeownership. Also important are life cycle factors such as financial resources and student loans liabilities, and family decisions such as marriage and parenthood. It is anticipated that this information will enable financial advisors, educators, and policymakers to understand the challenges of homeownership for millennials and to formulate strategies to help this age cohort with their personal financial planning.
Yilan Xu, Carrie Johnson, Suzanne Bartholomae, Barbara O'Neill, Michael S. Gutter
Journal of Financial Service Professionals
Volume 69 Issue 6, 2015
UNDERSTANDING THE MILLENNIAL GENERATION
The millennials, who are currently aged 23 to 35, are the youngest generation in the workplace. At 77 million, the millennial generation is one-and-one-half times as large as Generation X and almost equal in size to the baby boomer generation. Hailed as digital natives, millennials are also described as creative, solution-focused, socially conscious, and team-oriented. The purpose of this column is to offer suggestions for successfully engaging millennials in the workplace.
Sharon A. DeVaney
Family & Consumer Sciences Research Journal
Volume 43 Issue 4, 2015
https://doi.org/10.1111/fcsr.12108
UNDERSTANDING FEDERAL STUDENT LOAN REPAYMENT
The purpose of this study was to explain the federal student loan repayment process. Individuals with a college degree earn more over their lifetime than those without a college degree. However, the price of a college education has increased substantially and 69% of college graduates in 2012 had student loans to repay. There are eight federal repayment plans that may lead to confusion for borrowers. Education is needed to assist borrowers in making informed repayment decisions. Educators at postsecondary institutions have an opportunity to provide education to students.
Carrie Johnson
Financial Services Review
Volume 24 Number 1, 2015
GENDER DIFFERENCES IN SAVING BEHAVIORS AMONG LOW- TO MODERATE-INCOME HOUSEHOLDS
In this study we explore gender differences in saving behaviors among low- to moderate-income households using data collected online from a national sample of low- to moderate-income households (NC1172) and data on similar income single households from the 2010 Survey of Consumer Finances (SCF). Results show that saving behaviors differ by gender. With the NC1172 sample, we find gender differences in the effects of high-risk tolerance and being non-White on the likelihood of being a saver. In the SCF, the presence of other household members affects savings differently for women and men. Educators and counselors can encourage savings among men and women in low- to moderate- income households as a way to reduce financial risk and ensure financial security.
Patti J. Fisher, Celia R. Hayhoe, Jean M. Lown
Family and Consumer Sciences Research Journal
Volume 43 Issue 3, 2015
https://doi.org/10.1111/fcsr.12099
UNDERSTANDING STUDENT LOAN DECISIONS: A LITERATURE REVIEW
Because of the continuing increase in college costs and the need for a college education, the use of student loans has affected many individuals and households in the United States. Researchers and policy‐makers need a comprehensive review of literature to understand the determinants and consequences of student loans. This article provides information on the current trends in student loans, reviews the effect of education loans on college enrollment and career decisions, as well as the effects on personal life decisions. Implications for future research related to methodology, information, and the decision‐making process for an at‐risk population are offered.
Soo Hyun Cho, Yilan Xu, D. Elizabeth Kiss
Journal of Financial Counseling and Planning
Volume 25 Issue 1, 2014
shorturl.at/hnEP0
ASSOCIATION BETWEEN BEHAVIORAL LIFE-CYCLE CONSTRUCTS AND FINANCIAL RISK TOLERANCE OF LOW- TO MODERATE-INCOME HOUSEHOLDS
Utilizing data from an Internet survey among low-to-moderate-income households in several states, this study examined the link between behavioral life-cycle (BLC) constructs and financial risk tolerance. The results of ordinary least squares regression indicated a positive association between financial risk tolerance and several factors that measured the BLC constructs. Respondents who scored higher in self-control had significantly higher risk tolerance scores. Smaller effects were found for the mental accounting and framing constructs. These results suggest low-to-moderate-income households can benefit from financial education and commitment strategies.
Tim S. Griesdorn, Jean M. Lown, Sharon A. DeVaney, Soo Hyun Cho, David A. Evans
Journal of Extension
Volume 51 Number 5, 2013
https://www.joe.org/joe/2013october/rb4.php
PERCEIVED BARRIERS TO SAVINGS AMONG LOW- TO MODERATE-INCOME HOUSEHOLDS THAT DO NOT SAVE REGULARLY
The study reported here examined the differences in barriers to savings among low- to moderate-income households who do not save regularly. Characteristics associated with individuals who perceived they could and could not save included age, presence of child under 18years of age, and gender. Having no money left over, being late on bills and/or credit card payments, being under- or unemployed and having been affected by a natural disaster were associated with perception of whether one could save. Recommendations for Extension educators working with limited resource audiences are suggested.
Teresa Mauldin, Cathy Faulcon Bowen, Michael Cheang