Conference paper

https://doi.org/10.2478/zireb-2022-0023

Household Financial Fragility During COVID -19: the Power of Financially Literate Women

Sandra Pepur orcid.org/0000-0003-3468-9072 ; University of Split, Faculty of Economics, Business and Tourism, Split, Croatia
Ivana Bulog orcid.org/0000-0001-6007-6849 ; University of Split, Faculty of Economics, Business and Tourism, Split, Croatia
Ana Rimac Smiljanić orcid.org/0000-0002-8720-2048 ; University of Split, Faculty of Economics, Business and Tourism, Split, Croatia

Abstract

This paper analyses household financial fragility during the COVID-19 pandemic. Considering the barging theory in households' decision-making, this paper proposes that women's financial literacy and their involvement in paid and unpaid work will influence family financial fragility in times of crisis. The results show that women's financial literacy, their participation in the labour market, and their financial independence have a significant and positive effect on the family’s financial situation during the pandemic. Moreover, the level of women's unpaid work was identified as a significant element that jeopardizes family financial stability. The results further support the bargaining power theory regarding a better understanding of the complexity of decision-making within households. The results point to a new channel for preserving family financial stability, through the improvement of women’s financial literacy and the development of institutional and social support for their participation in the labour market.

Keywords

household financial fragility; financial literacy; indebtedness; women; unpaid work

Hrčak ID:

286616

URI

https://hrcak.srce.hr/286616

Publication date:

6.12.2022.

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