"Assessing Financial Literacy: Awareness, Impact, And Strategies For Improvement"

Abstract

This research examines the relationship between financial literacy, monetary attitudes, time preferences, and financial behaviors among university students in India. This study utilizes a quantitative research methodology with a sample of 300 individuals and using Structural Equation Modeling (SEM) to analyze the links among cognitive knowledge, behavioral tendencies, and ethical orientations in financial decision-making. The results indicate that financial literacy is a major predictor of responsible financial conduct, whereas budgeting ethics serve as a robust behavioral determinant. Time preference adversely affects financial attitudes, highlighting the psychological aspect of temporal orientation in financial planning. Socio-economic variables, including income and parental education, influence financial understanding, although gender is statistically negligible in this regard. The findings highlight the complex nature of financial literacy, promoting a holistic strategy that combines cognitive comprehension, behavioral training, and ethical principles in financial education methods. This study enhances theoretical frameworks of financial behavior, provides practical insights for educational design and policy formulation, and highlights avenues for further empirical research in developing market settings.