The role of family structure and financial socialisation in influencing students' financial capabilities
- Authors: Antoni, Xolile Lucas
- Date: 2018
- Subjects: Finance, Personal , Families -- Economic aspects Finance -- Social aspects
- Language: English
- Type: Thesis , Doctoral , DPhil
- Identifier: http://hdl.handle.net/10948/21505 , vital:29531
- Description: This research used three theories to develop a theoretical framework that investigated the role of family structures and financial socialisation in influencing students’ levels of financial knowledge, attitudes, self-efficacy and behaviour (financial capabilities). It also examined the mediating role of family financial situation in the relationship between the family structure and the mechanisms of financial socialisation. The theories of consumer socialisation, family financial socialisation and family structure model, guided the development of a proposed theoretical framework and development of five major hypotheses. To answer the research questions of the study and test the hypotheses, this study followed a quantitative survey research design. Undergraduate students in the Faculty of Business and Economic Sciences completed 350 questionnaires. Using exploratory factor analyses results, the theoretical framework was updated, and statistical relationships tested. Simple regression analysis results showed that students who were born or raised in an intact family structure reported more financial socialisation in terms of the mechanisms of financial socialisation than students who were born or raised in non-intact family structures. Simple regression results showed that intact family structures had positive significant relationships with four of the six components of the mechanisms of financial socialisation. Furthermore, intact family structures had negative significant relationships with two components of the mechanisms of financial socialisation. Multiple regression results showed four components of the mechanisms of financial socialisation (teaching and monitoring, reinforcement of financial behaviour, modelling of financial behaviour and financial conflict) had positive significant relationships with financial capabilities. The components of financial socialisation agents (peers and media) had positive significant relationships with three components of financial capabilities (financial behaviour, money is respect and freedom, and money is good). In addition, family financial situation partially mediated the relationship between intact family structure and three components of the mechanisms of financial socialisation, namely, parental teaching and monitoring, modelling of financial behaviour and parental relationship. Furthermore, family financial situation perfectly mediated the relationship between intact family structures and one component of the mechanisms of financial socialisation (reinforcement of financial behaviour). Three components of the mechanisms of financial socialisation (parental teaching and monitoring, reinforcement of financial behaviour and modelling of financial behaviour) also perfectly mediated the relationship between intact family structure and one component of financial capabilities, namely, financial behaviour. Similarly, one component of the mechanisms of financial socialisation (parental teaching and monitoring) also perfectly mediated the relationship between intact family structure and one component of financial capabilities (financial self-efficacy). These results assisted in the development of a new empirically tested model to investigate the role of family structure and financial socialisation in influencing students’ financial capabilities. This study showed that family structures was an important variable that should not be excluded in financial planning as it influenced all the components of the mechanisms of financial socialisation. Financial socialisation agents also had an influence on financial capabilities and, thus, the parental financial socialisation should not be investigated in isolation. It was also important to identify the mechanisms of financial socialisation as seen in this study, as the components of the mechanisms had different influences on students’ financial capabilities. For this study, parental teaching and monitoring, reinforcement of financial behaviour and modelling of financial behaviour proved to be the most important components of the mechanisms of financial socialisation, which ultimately influenced students’ financial capabilities. This study has proved that family structures and financial socialisation influence the financial capabilities of students. To improve financial capabilities of students, parents should increase their level of modelling of financial behaviour and decrease the level of secrecy about money in the household. Parents should also instill positive financial attitudes in students, monitor their financial behaviour, and reinforce positive financial behaviour. This study contributes to the much-needed body of knowledge in financial planning by showing through empirical results that family structure has an influence on the components of the factor mechanisms of financial socialisation, and the factor financial capabilities. As little information exists to explain these relationships, this study makes a valuable contribution to new knowledge in this area.
- Full Text:
- Date Issued: 2018
- Authors: Antoni, Xolile Lucas
- Date: 2018
- Subjects: Finance, Personal , Families -- Economic aspects Finance -- Social aspects
- Language: English
- Type: Thesis , Doctoral , DPhil
- Identifier: http://hdl.handle.net/10948/21505 , vital:29531
- Description: This research used three theories to develop a theoretical framework that investigated the role of family structures and financial socialisation in influencing students’ levels of financial knowledge, attitudes, self-efficacy and behaviour (financial capabilities). It also examined the mediating role of family financial situation in the relationship between the family structure and the mechanisms of financial socialisation. The theories of consumer socialisation, family financial socialisation and family structure model, guided the development of a proposed theoretical framework and development of five major hypotheses. To answer the research questions of the study and test the hypotheses, this study followed a quantitative survey research design. Undergraduate students in the Faculty of Business and Economic Sciences completed 350 questionnaires. Using exploratory factor analyses results, the theoretical framework was updated, and statistical relationships tested. Simple regression analysis results showed that students who were born or raised in an intact family structure reported more financial socialisation in terms of the mechanisms of financial socialisation than students who were born or raised in non-intact family structures. Simple regression results showed that intact family structures had positive significant relationships with four of the six components of the mechanisms of financial socialisation. Furthermore, intact family structures had negative significant relationships with two components of the mechanisms of financial socialisation. Multiple regression results showed four components of the mechanisms of financial socialisation (teaching and monitoring, reinforcement of financial behaviour, modelling of financial behaviour and financial conflict) had positive significant relationships with financial capabilities. The components of financial socialisation agents (peers and media) had positive significant relationships with three components of financial capabilities (financial behaviour, money is respect and freedom, and money is good). In addition, family financial situation partially mediated the relationship between intact family structure and three components of the mechanisms of financial socialisation, namely, parental teaching and monitoring, modelling of financial behaviour and parental relationship. Furthermore, family financial situation perfectly mediated the relationship between intact family structures and one component of the mechanisms of financial socialisation (reinforcement of financial behaviour). Three components of the mechanisms of financial socialisation (parental teaching and monitoring, reinforcement of financial behaviour and modelling of financial behaviour) also perfectly mediated the relationship between intact family structure and one component of financial capabilities, namely, financial behaviour. Similarly, one component of the mechanisms of financial socialisation (parental teaching and monitoring) also perfectly mediated the relationship between intact family structure and one component of financial capabilities (financial self-efficacy). These results assisted in the development of a new empirically tested model to investigate the role of family structure and financial socialisation in influencing students’ financial capabilities. This study showed that family structures was an important variable that should not be excluded in financial planning as it influenced all the components of the mechanisms of financial socialisation. Financial socialisation agents also had an influence on financial capabilities and, thus, the parental financial socialisation should not be investigated in isolation. It was also important to identify the mechanisms of financial socialisation as seen in this study, as the components of the mechanisms had different influences on students’ financial capabilities. For this study, parental teaching and monitoring, reinforcement of financial behaviour and modelling of financial behaviour proved to be the most important components of the mechanisms of financial socialisation, which ultimately influenced students’ financial capabilities. This study has proved that family structures and financial socialisation influence the financial capabilities of students. To improve financial capabilities of students, parents should increase their level of modelling of financial behaviour and decrease the level of secrecy about money in the household. Parents should also instill positive financial attitudes in students, monitor their financial behaviour, and reinforce positive financial behaviour. This study contributes to the much-needed body of knowledge in financial planning by showing through empirical results that family structure has an influence on the components of the factor mechanisms of financial socialisation, and the factor financial capabilities. As little information exists to explain these relationships, this study makes a valuable contribution to new knowledge in this area.
- Full Text:
- Date Issued: 2018
The impact of trade liberalisation on Cote d’Ivoire
- Authors: Guei, Kore Marc Antoine
- Date: 2017
- Subjects: Trade regulation -- Côte d'Ivoire Free trade -- Côte d'Ivoire , Developing countries -- Economic conditions
- Language: English
- Type: Thesis , Doctoral , DPhil
- Identifier: http://hdl.handle.net/10948/17514 , vital:28373
- Description: The process of trade liberalisation and market-oriented economic reforms was initiated in many developing countries in early 1980s; and it intensified in 1990s. In 1994, Cote d’Ivoire was assisted by the IMF to implement trade-policy reforms under Structural Adjustment Programme (SAP). After adopting SAP, the country witnessed soaring balance-of-payment problems, contraction of output, unemployment and the loss of government revenue. Several factors, which were at play resulted in dismal economic performance under SAP. In order to consolidate gains in competitiveness, and achieve high and sustainable growth, the Ivorian authorities coordinated efforts to establish and intra-regional custom tariffs among the member of the West African and Monetary Union (WAEMU), the Economic Community of West African States (ECOWAS), World Trade Organisation (WTO), Economic Partnership Agreements (EPAs) and bilateral agreements. It is against this background that this study is undertaken, in order to evaluate the impact of different trade-policy regimes on trade, welfare and revenue in Cote d’Ivoire. This study used one model: World Integrated Trade Solutions/Software for Market Analysis and Restrictions on Trade (WITS/SMART). The WITS/SMART model was used because of its ability in analysing the tariff effect of a single market on disaggregated product lines. The model also has the capability to analyse the effects of trade-policy reforms in the presence of imperfect substitutes. Using the WITS/SMART model, the study considered seven trade-liberalisation frameworks for Cote d’Ivoire: full implementation of the ECOWAS free trade agreement (FTA), ECOWAS common external tariff (CET), WAEMU CET, WAEMU FTA, EPAs, BFTAs and WTO FTA. The WITS/SMART model reveals that all trade liberalisation scenarios may cause welfare gains – due to the plummeting of prices. However, in all trade liberalisation scenarios, welfare gains were found to be is insignificant. In all cases, welfare gains fell far short of compensating for revenue loss. The impact of trade liberalisation on exports and imports was met with mixed reactions. For the WAEMU customs union and the ECOWAS customs union, and WTO FTA, trade reforms are likely to face serious balance-of-payment problems, as imports exceeded exports by significant margins. With respect to revenue loss, of all trading arrangements, the WTO FTA presents a serious challenge for Cote d’Ivoire revenue followed by BFTAs, ECOWAS FTA, EPAs, ECOWAS CET, WAEMU CET, and WAEMU FTA with anticipated revenue losses. Another challenge for Cote d’Ivoire is the presence of trade creation effects, which were observed in all trade reform scenarios. From this study, it appeared that WAEMU CET poses serious threats of trade creation followed by WTO FTA, BFTA, SADC FTA, COMESA CET, SADC CET, EPAs and WAEMU FTA. Specifically, the study highlighted that Cote d’Ivoire, on balance loses out on trade liberalisation, mainly from revenue loss and possible de-industrialisation from trade-creation effects. The study has also revealed that Cote d’Ivoire offers excessive tax exemptions, which worsens the fiscal position of the country in the face of trade liberalisation. Hence, based on the findings, this study recommends that Cote d’Ivoire needs to call for the design of a financial facility aimed at assisting industries affected by trade-creation effects. The country needs to consider improving the collection of revenue from alternative sources, such as VAT, excise duties, personal and company taxes and excise duty, in order to cushion itself against the revenue loss impact of trade reforms. Government could also consider widening the tax base, by taxing the informal sector, which has been growing rapidly in the past years. In addition, policies aimed at exports promotion, such as export subsidies, trade finance and the strengthening of trade-promotion organisations should be considered. The outcome of this study provides a wake-up call to developing countries engaged in the WTO negotiations and other regional trading arrangements.
- Full Text:
- Date Issued: 2017
- Authors: Guei, Kore Marc Antoine
- Date: 2017
- Subjects: Trade regulation -- Côte d'Ivoire Free trade -- Côte d'Ivoire , Developing countries -- Economic conditions
- Language: English
- Type: Thesis , Doctoral , DPhil
- Identifier: http://hdl.handle.net/10948/17514 , vital:28373
- Description: The process of trade liberalisation and market-oriented economic reforms was initiated in many developing countries in early 1980s; and it intensified in 1990s. In 1994, Cote d’Ivoire was assisted by the IMF to implement trade-policy reforms under Structural Adjustment Programme (SAP). After adopting SAP, the country witnessed soaring balance-of-payment problems, contraction of output, unemployment and the loss of government revenue. Several factors, which were at play resulted in dismal economic performance under SAP. In order to consolidate gains in competitiveness, and achieve high and sustainable growth, the Ivorian authorities coordinated efforts to establish and intra-regional custom tariffs among the member of the West African and Monetary Union (WAEMU), the Economic Community of West African States (ECOWAS), World Trade Organisation (WTO), Economic Partnership Agreements (EPAs) and bilateral agreements. It is against this background that this study is undertaken, in order to evaluate the impact of different trade-policy regimes on trade, welfare and revenue in Cote d’Ivoire. This study used one model: World Integrated Trade Solutions/Software for Market Analysis and Restrictions on Trade (WITS/SMART). The WITS/SMART model was used because of its ability in analysing the tariff effect of a single market on disaggregated product lines. The model also has the capability to analyse the effects of trade-policy reforms in the presence of imperfect substitutes. Using the WITS/SMART model, the study considered seven trade-liberalisation frameworks for Cote d’Ivoire: full implementation of the ECOWAS free trade agreement (FTA), ECOWAS common external tariff (CET), WAEMU CET, WAEMU FTA, EPAs, BFTAs and WTO FTA. The WITS/SMART model reveals that all trade liberalisation scenarios may cause welfare gains – due to the plummeting of prices. However, in all trade liberalisation scenarios, welfare gains were found to be is insignificant. In all cases, welfare gains fell far short of compensating for revenue loss. The impact of trade liberalisation on exports and imports was met with mixed reactions. For the WAEMU customs union and the ECOWAS customs union, and WTO FTA, trade reforms are likely to face serious balance-of-payment problems, as imports exceeded exports by significant margins. With respect to revenue loss, of all trading arrangements, the WTO FTA presents a serious challenge for Cote d’Ivoire revenue followed by BFTAs, ECOWAS FTA, EPAs, ECOWAS CET, WAEMU CET, and WAEMU FTA with anticipated revenue losses. Another challenge for Cote d’Ivoire is the presence of trade creation effects, which were observed in all trade reform scenarios. From this study, it appeared that WAEMU CET poses serious threats of trade creation followed by WTO FTA, BFTA, SADC FTA, COMESA CET, SADC CET, EPAs and WAEMU FTA. Specifically, the study highlighted that Cote d’Ivoire, on balance loses out on trade liberalisation, mainly from revenue loss and possible de-industrialisation from trade-creation effects. The study has also revealed that Cote d’Ivoire offers excessive tax exemptions, which worsens the fiscal position of the country in the face of trade liberalisation. Hence, based on the findings, this study recommends that Cote d’Ivoire needs to call for the design of a financial facility aimed at assisting industries affected by trade-creation effects. The country needs to consider improving the collection of revenue from alternative sources, such as VAT, excise duties, personal and company taxes and excise duty, in order to cushion itself against the revenue loss impact of trade reforms. Government could also consider widening the tax base, by taxing the informal sector, which has been growing rapidly in the past years. In addition, policies aimed at exports promotion, such as export subsidies, trade finance and the strengthening of trade-promotion organisations should be considered. The outcome of this study provides a wake-up call to developing countries engaged in the WTO negotiations and other regional trading arrangements.
- Full Text:
- Date Issued: 2017
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