چکیده:
The present study investigates the impact of financial self-efficacy on personal finance behavior. To this end, the data collected from the questionnaire have been employed. Once the validity and reliability of the questionnaire are confirmed, the relation between financial self-efficacy and the likelihood of holding a specific financial product is studied using the multivariate Probit model. Products are subsequently categorized into two distinct groups based on the type of relationship. Afterward, the relation between financial self-efficacy and the likelihood of holding the number of products in each category is evaluated using the ordered Probit model. In this study, the cluster random sampling method is employed. The results are indicative of a negative and significant relationship between financial self-efficacy and the likelihood of holding bank facilities as well as a positive and significant relationship between financial self-efficacy and the likelihood of holding time deposits, Qarz Al-Hassaneh savings account, insurance, and corporate bonds and stocks. Furthermore, it is inferred that financial self-efficacy has a positive and significant impact on desirable financial behavior and a negative and significant impact on undesirable financial behavior.
خلاصه ماشینی:
Once the validity and reliability of the questionnaire are confirmed, the relation between financial self-efficacy and the likelihood of holding a specific financial product is studied using the multivariate Probit model.
Afterward, the relation between financial self-efficacy and the likelihood of holding the number of products in each category is evaluated using the ordered Probit model.
Subsequently, the ordered Probit model is used to study the effect of financial self-efficacy on personal finance behavior.
Previous researches indicate that better decision- making by consumers of financial services and products is caused by their higher financial self-efficacy (based on individuals’ belief in their ability to manage their personal finances effectively) (Remund, 2010).
Accordingly, the binary probit model developed by Sajaia (2008) is used, and the hidden variables in the model are expressed as follows: (View the image of this page) In the equations above, and represent the likelihood result for both categories of financial products for the individual i.
5. 3 The Results of the Likelihood of Holding Each Financial Product The present study investigates the relation between financial self-efficacy and financial behavior.
The relation between financial self-efficacy with the probability of holding two different combinations of financial products, based on the ordered probit model.
The relationship between the financial self-efficacy scores and the likelihood of holding all or none of the financial products based on the results of the multivariate probit model.