The impact of economic education on economic literacy: A prospective study of a sample of respondents

Abstract

Conventional finance uses models that assume that all participants are rational, that is, they process appropriate information in an efficient and unbiased manner, as their decisions are consistent with maximizing benefit. Conventional economic theories assume that investors make rational decisions, based on the idea that people act rationally and pay attention to all the information available in the decision-making process. In principle, economic literacy is a tool to achieve these goals, as it facilitates rational decision-making and provides more accurate economic decisions that lead to increased economic efficiency and the well-being of both individuals and society. Accordingly, the study aimed to reveal the existence of a statistically significant relationship between economic education and economic literacy, which could lead to an increase in economic efficiency. To reach this goal, a questionnaire was conducted on 100 people in Karbala governorate. And by using the experimental approach and with the help of many financial and statistical methods and through the use of the SPSS18.00 program, the study reached several conclusions and recommendations, the most important of which are:  The absence of a positive relationship with statistical significance between economic education and the level of economic literacy, whether at the micro or total level, and the study recommends the need to raise awareness about basic and advanced economic concepts among respondents in our dear country, Iraq in general, and Karbala governorate in particular, and the need to raise their awareness about the necessity of being familiar with those concepts that leave Positive effects on their overall economic activity.