I think the factor of financial literacy is overstated. I think the biggest factor is self control and addiction, mirroring a lot of other issues we see, EG obesity.
As an example, I have a friend who is really struggling with credit card debt, but they are in no way financially illiterate. They have an accounting degree and work in finance.
It is extremely sad to watch them suffer because they know exactly what's going on, but they can't control their spending habits. I think this is a more common situation than the alternative.
As an example, I have a friend who is really struggling with credit card debt, but they are in no way financially illiterate. They have an accounting degree and work in finance.
It is extremely sad to watch them suffer because they know exactly what's going on, but they can't control their spending habits. I think this is a more common situation than the alternative.