The importance of economic literacy and an analysis of the level of economic knowledge

Abstract

Purpose — The paper examines the level of economic literacy among students of a Slovenian social sciences faculty and highlights its importance for understanding micro- and macroeconomic concepts, making informed financial decisions, and engaging in active citizenship.

Methodology — The research is based on a quantitative methodological approach using a questionnaire that includes demographic data and specific economics-related questions. Three hypotheses were tested: differences based on gender, political orientation, and generational groups.

Findings — The results showed a low average level of economic literacy (47% correct answers). No statistically significant differences were found with regard to gender, political orientation, or generational group. Students performed best on questions related to basic financial concepts, while the poorest results were recorded on questions concerning fiscal policy and government measures.

Practical implications — Based on the findings, it is recommended that educational programmes include more content related to current economic issues and that curricula be adapted to the needs of the modern economy.

Originality/Value — This is the first such study of economic literacy conducted on a sample of Slovenian students. It fills an important research gap and provides empirical evidence that can support educational changes and the development of targeted measures to improve economic literacy among young people.