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How Laypeople Understand Economics

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Decision-Making and Behavioral Economics Financial Literacy, Pension, Retirement Analysis Politics, Economics, and Education Policy

Abstract

This chapter presents various known limitations in lay understanding in general, and documents how lay people (mis)understand economics. Economic and Political consequences are discussed.

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References

2009Measuring Financial Literacy 1988Lay Theories: Everyday Understanding of Problems in the Social Sciences 2007Financial Literacy and Retirement Preparedness: Evidence and Implications for Financial Education Programs 2010Financial Education and Counseling - Still Holding Promise 2014Can You Help Someone Become Financially Capable? A Meta-Analysis of the Literature 2009Economic versus psychological forecasting. Evidence from consumer confidence surveys 2010Human foibles or systemic failure—Lay perceptions of the 2008–2009 financial crisis

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