Financial literacy's impact on decision-making process: an exploratory study in Algeria

Abstract

This study aims to identify the impact of financial literacy on the decision-making process among individuals in Algeria. Quantitative data from 295 participants were collected through an online survey using the snowball-sampling method. Simple linear regression was used to analyze the data and assess the correlation between the key variables: financial education, financial behavior, financial attitude, and decision-making. The results indicate that financial knowledge alone does not significantly affect the decision-making process, but financial attitudes and behaviors were found to have a positive influence. These findings emphasize the importance of considering attitudes and behaviors alongside financial knowledge to improve decision-making abilities.