Money talks: Emphasizing wealth in household finances (2013)
Wealth is an overarching source of an individual’s financial security and well-being. Our economic research will give you insights on households’ attitudes to accumulating and managing wealth.
Money Talks: Emphasizing Wealth in Household Finances will help you understand households’ attitudes to wealth accumulation and the practices they employ in amassing wealth.
Wealth gives people a sense of financial confidence and governs their material comfort throughout life. Views on household indebtedness, saving habits and the level of financial literacy are incomplete without looking at wealth.
HOUSEHOLD WEALTH TRENDS:
- building wealth appears to be only somewhat important for households
- many do not see wealth as a priority among their personal goals
- many households expect to consume some of their wealth in the near future
- households are often unaware of the dollar value of their wealth and do not actively monitor their investments
- few households engage in reviewing and adjusting their wealth accumulation strategies
Our economic research details these worrisome trends and reconciles them with the aggregate measures of household wealth. We also highlight options policy-makers may wish to consider in encouraging households to place greater attention in accumulating and managing their wealth.