Financial literacy education lacking

According to the annual Survey of the States report from the Council for Economic Education:

Only 17 states require students to take a high school course in

Personal Finance.

And only 20 states require students to take a high school course in Economics.  The number of states with standardized testing in Economics has dropped from 27 to 16 since 2002.  

Only five states require a stand-alone course in Personal Finance for high school graduation.  

Fewer than 20% of teachers report feeling competent to teach personal finance topics.  More than one in six students in the United States does not reach the baseline level of proficiency in financial literacy.  72% of parents experience at least some reluctance to talk to their kids about financial matters.  

Students from states where a financial education course was required were more likely to display positive financial behaviors and dispositions:  

·      They are more likely to save.

·      More likely to pay off credit cards in full each month.

·      Less likely to be compulsive buyers.

·      And more likely to take reasonable financial risk.  

State financial education requirements also have a meaningful impact on students’ financial condition later in life.   Students from states with required financial education courses:   

·      Have higher credit scores..

·      And a lower probability of delinquency as young adults.