Why Financial Education and Financial Literacy

“The number one problem in today’s generation and economy is the lack of financial literacy.”     Alan Greenspan

This quote is still true today.  We are raising and educating children with STEAM (Science, Technology, Engineering, Arts, and Math).  This will hopefully help them to be competitive in the ever changing global markets.  However, I feel we are ignoring a key component to their success – money management and economics. We need to financially educate (the process) our children in order to help them to become financially literate (the application).    The definition of being financially literate in the 2008 Annual Report to the President is “The ability to use knowledge and skills to manage financial resources effectively for a lifetime of financial well-being.”  I have taken on this responsibility, one classroom at a time.  I will share simple classroom management activities that instill budgeting and saving to sophisticated stock portfolio management that helps students understand the importance of growing wealth.

The following are some useful links for educators of financial literacy and economics.

The Maryland Council on Economic Education

http://www.econed.org/

Council for Economic Education

http://councilforeconed.org/

The Stock Market Game

https://www.stockmarketgame.org/