Keywords
borrowing intentions; financial literacy; instrumental variables; quantile regression
Abstract
This study aims to determine the role of financial literacy in households’ borrowing intentions during the coronavirus pandemic. Employing a survey of 1,300 Polish citizens conducted during the COVID-19 crisis and an instrumental variable analysis, we found that financial literacy significantly increases households’ borrowing intentions. This applies to financially sound consumers both in crisis and normal times. In terms of sociodemographic features, young adults and the less educated are less willing to borrow during the pandemic.
Recommended Citation
Kurowski, Ł., & Malinowska-Misiąg, E. (2024). Households’ Borrowing Intentions During the COVID-19 Crisis: The Role of Financial Literacy. Journal of Banking and Financial Economics, 2022(17), 98-113. https://doi.org/10.7172/2353-6845.jbfe.2022.1.4
First Page
98
Last Page
113
Page Count
16
Received Date
18 March 2022
Revised Date
07 September 2022
Accept Date
09 September 2022
Online Available Date
26 September 2022
DOI
10.7172/2353-6845.jbfe.2022.1.4
JEL Code
D14; D91; G51; G53
Publisher
University of Warsaw