Households’ Borrowing Intentions During the COVID-19 Crisis: The Role of Financial Literacy
Households’ Borrowing Intentions During the COVID-19 Crisis: The Role of Financial Literacy

Summary/Abstract: This study aims to determine the role of financial literacy in households’ borrowing intentionsduring the coronavirus pandemic. Employing a survey of 1,300 Polish citizens conducted duringthe COVID-19 crisis and an instrumental variable analysis, we found that financial literacysignificantly increases households’ borrowing intentions. This applies to financially soundconsumers both in crisis and normal times. In terms of sociodemographic features, young adultsand the less educated are less willing to borrow during the pandemic.

• Details
• Contents