The most effective curriculum will address all six knowledge areas identified by the national standards for financial literacy. This will ensure that students are ready for all of the big financial decisions they will soon face.
This includes understanding how income is determined, how it may change based on education, and different job opportunities.
This content area involves how individuals decide on what goods and services to buy and how they can improve their economic well-being through informed decision making.
This determines the reasons that people save and how the value of savings may be affected by time, interest rates, and inflation.
This includes the understanding of how credit is used and what influences credit options and costs.
This may include understanding different risks and expected returns of financial assets.
This relates to understanding the benefits of insurance, the different types of insurance, and how individuals choose among them.
Financial literacy affects individuals’ financial decisions every day. If young people are to make informed decisions, it is crucial that they understand the fundamental concepts that underpin financial knowledge.
