FACS logo

Just So You Know

Jan 13, 2022

January 2022 Just So You Know… 


The UGA Financial Planning team mentored by Dr. Michael Thomas placed second in the 2021 AFCPE® Knowledge Bowl. 

Prof. Sherle Brown was recognized as the Institute of Real Estate Management (IREM)—GA Academic Member of the year. 

FHCE alumni Alan Moore, Bo Hanson, and John Loftin were recognized in the Bulldog 100 list of top 100 fastest-growing business owned or operated by UGA alumni.  

Effie Antonoudi for putting together the Diversitas event in collaboration with Charles Schwab Asset Management and the University of Akron. 

FHCE Career fair in Fall 2021 was attended by 143 students and 21 companies. Dr. Mary Carlson, Sherle Brown, and Christi Sanders helped tremendously in putting this event together. 

Conference Presentations 

Dr. Yilang Peng and Muna Sharma presented their research entitled "Effects of Visual Aesthetics and Calorie Density on Food Image Popularity on Instagram: A Computer Vision Approach" at the 107th Convention of the National Communication Association in Seattle, WA. 

Michael Gawrys presented his research entitled “Exploring the Pathways of Long-Term Extended Stay Hotel Residents” at the 2021 HERA Conference in Minneapolis, MN. 

Recent Research 

Chatterjee, S., & Fan, L. (2021). Older Adults’ Life Satisfaction: The Roles of Seeking Financial Advice and Personality Traits. Journal of Financial Therapy, 12(1), 4. 51-78. https://doi.org/10.4148/1944-9771.1253 

This paper uses 1,237 respondents from the Health and Retirement Study dataset to examine the relationships among personality, financial advice-seeking, and life satisfaction of U.S. older adults. The results indicate that extraversion is negatively associated with seeking professional financial advice, while conscientiousness and openness were associated positively with seeking professional financial advice. Individuals with a neurotic personality trait were positively associated with seeking financial advice from families and friends. Additionally, seeking professional financial advice, and being extraverted and conscientious, were positively associated with life satisfaction among older adults. The implications for financial therapists and counselors include suggestions for implementation of cross-functional collaborative counseling strategies when working with older clients who may be experiencing physical and mental health-related problems. Implications of the findings for policymakers are also discussed. 

 Exley, J., Doyle, P. C., Grable, J., & Campbell, W. K. (2022). OCEAN wealth profiles: A latent profile analysis of personality traits and financial outcomes. Personality and Individual Differences, 185, 111300. https://doi.org/10.1016/j.paid.2021.111300 

There is a growing interest in the role of personality characteristics in describing financial outcomes. The Big Five personality traits have been shown to predict relevant financial outcomes including income and net worth. In the present research (n = 395), we move beyond individual Big Five personality traits to look at personality profiles in the prediction of financial outcomes. Using latent profile analyses, we identified three profiles—Under Controlled, Resilient, and Over Controlled—which were uniquely associated with income, risk tolerance, and life satisfaction. These patterns held even after controlling for gender, education, and age. The discussion focuses on the relative benefits of a personality approach over the common risk-tolerance approach. 

Grable, J., Kruger, M., Byram, J., & Kwak, E. J. (2021). Perceptions of a Partner's Spending and Saving Behavior and Financial Satisfaction. Journal of Financial Therapy, 12 (1) 3. https://doi.org/10.4148/1944-9771.1257 

The purpose of this study was multifaceted. The first purpose was to test a relatively new scale—the Spender-Saver Perception Scale (Kruger, 2019)—to determine if perceptions of one’s marriage or cohabitation partner’s spending and saving behavior can be used to describe the subjective financial satisfaction of the one making the appraisal. The second purpose was to determine in an exploratory manner whether perceptions of spending and saving differ by the gender of someone in a marital or committed cohabitating relationship. Data for the study were obtained from an online survey of 313 adults. Partner perceptions were evaluated using a scale developed by Kruger (2019), whereas financial satisfaction was measured using a 10-point subjective self-evaluation item. Respondents were categorized into one of three spender and saver groups: (1) those who perceived their partner as a spender, (2) those who perceived their partner as a saver, and (3) those who perceived their partner somewhere between a spender and saver. It was determined that perceiving one’s marital or cohabitating partner as a spender was not associated with the financial satisfaction. However, perceiving one’s partner as a saver was found to be positively associated with financial satisfaction for the person making the assessment. 

Heo, W., Rabbani, A., & Grable, J. E. (2021). An evaluation of the effect of the COVID-19 pandemic on the risk tolerance of financial decision makers. Finance Research Letters, 41, 101842. https://doi.org/10.1016/j.frl.2020.101842 

This paper documents the negative effect of the COVID-19 pandemic on financial risk attitudes across a broad sample of financial decision makers (N = 18,913). Findings show that the risk tolerance of financial decision makers can be altered when an extreme economic, social, or environmental shock occurs. A general shift away from be willing to take financial risk was noted after the COVID-19 pandemic emergency declaration. The COVID-19 pandemic shifted risk preference downward for the majority of financial decision makers in this study. 

Heo, W., Kwak, E. J., & Grable, J. E. (2022). The Role of Big Data Research Methodologies in Describing Investor Risk Attitudes and Predicting Stock Market Performance: Deep Learning and Risk Tolerance. In Handbook of Research on New Challenges and Global Outlooks in Financial Risk Management (pp. 293-315). IGI Global. 10.4018/978-1-7998-8609-9.ch014. 

 The purpose of this chapter is to compare the performance of a deep learning modeling technique to predict market performance compared to conventional prediction modeling techniques. A secondary purpose of this chapter is to describe the degree to which financial risk tolerance can be used to predict future stock market performance. Specifically, the models used in this chapter were developed to test whether aggregate investor financial risk tolerance is of value in establishing risk and return market expectations. Findings from this chapter's examples also provide insights into whether financial risk tolerance is more appropriately conceptualized as a predictor of market returns or as an outcome of returns. 

Lee, H., & Worthy, S. (2021). Changes in consumer wellness during the early weeks of the pandemic. Journal of Family & Consumer Sciences, 113(3), 36-43. https://doi.org/10.14307/JFCS113.3.36 

COVID-19 has affected consumers' wellness-related behavior and lifestyle choices. Online survey respondents were asked about changes in their health and wellness perceptions and behaviors--overall wellbeing, diet, physical activity, and sleep--due to the pandemic. Age was related to changes in all four wellness areas, with older respondents experiencing less change than did younger respondents. Race was related to changes in overall well-being, diet, and sleep. Whites and Asians reported less change than did Blacks or Hispanics. Change in sleep was associated with age, race, marital status, and BMI. Educating consumers on healthy behaviors is more important than ever during COVID-19. 


Lee, H., & Worthy, S. (2021). Adoption of fad diets through the lens of the diffusion of innovations. Family and Consumer Sciences Research Journal. (Advance online publication) https://onlinelibrary.wiley.com/doi/pdf/10.1111/fcsr.12419 

Despite unconfirmed health benefits, consumers continue to adopt fad diets. Based on Rogers’ (2003) diffusion of innovations theory, we investigate which attributes are related to adoption of three popular fad diets (ketogenic, paleolithic, and intermittent fasting) relative to the expert-recommended Mediterranean diet. Binary logistic regression results using data from an online survey of 424 US adults revealed that a diet’s complexity was negatively associated with adoption, while a diet’s relative advantage and compatibility were not related. This study adds to the literature about pro-innovation bias by presenting evidence that Rogers’ theory may not apply to fad diet adoption behavior.

Rabbani, A. G., & Grable, J. E. (2021). Can portfolio risk be described with estimates of financial risk tolerance calibration?. Finance Research Letters, 102492. https://doi.org/10.1016/j.frl.2021.102492 

The purpose of the study was to analyze the degree to which categories of financial risk-tolerance miscalibration are associated with portfolio choices made by financial decision-makers. A differential prediction model was applied to investment risk tolerance data from 2017 to 2018 to assess the presence of miscalibration. Results from Tobit regressions showed that some survey respondents did engage in the miscalibration of their financial risk tolerance. Although results varied by sub-samples, those who systematically under-estimated their financial risk tolerance were observed to hold portfolios that were less risky than those who were able to match their self-assessed risk tolerance to their psychometrically reliable score. No clear pattern of portfolio choice for those who over-estimated their financial risk tolerance was noted. Being female and between the age of 55 to 64, having an income of $100,000 or more, and working with a financial advisor were found to be more consistent descriptors of portfolio risk compared to risk-tolerance miscalibration

Warmath, D., Chen, P. J., Grable, J., & Kwak, E. J. (2021). Soft landings: Extending the cushion hypothesis to financial well‐being in collectivistic cultures. Journal of Consumer Affairs, 55(4), 1563-1590. https://doi.org/10.1111/joca.12408 

This study extends the cushion hypothesis to examine cultural differences in the role of willingness to take financial risk in an individual’s objective financial outcomes (e.g., the experience of material hardship) and in an individual’s assessment of their financial well-being. Using data collected in South Korea, Taiwan, and the United States, we find support for a cushion (i.e., weaker relationship) in the association between material hardship and present and future financial well-being. A cushion was also observed in a weaker association between willingness to take financial risk and expectations for future financial security but not in the experience of material hardship or current money management stress. Our results suggest that cultural context influences an individual’s objective situation as well as their subjective assessment of that situation. This paper adds to existing literature by documenting a cushion effect beyond risk taking to include a person’s objective financial situation and financial well-being.   


Warmath, D., Winterstein, A. P., & Myrden, S. (2021). Parents and coaches as transformational leaders: Motivating high school athletes’ intentions to report concussion symptoms across socioeconomic statuses. Social Science & Medicine, 114559. https://doi.org/10.1016/j.socscimed.2021.114559 

Purpose: Studies demonstrate that parents and coaches play a role in an athlete’s concussion reporting decision primarily through their influence on the decision environment. Little work, however, has explored how a given parenting/coaching style operates to promote intentions and much less work has examined whether the impact of parenting/coaching on concussion reporting differs by socioeconomic status. Transformational parenting/coaching (i.e., a focus on building autonomy and self-efficacy in athletes) represents one promising approach given its effects on other outcomes (e.g., health, burnout, aggression). We hypothesize that athlete perceptions of transformational parenting/coaching will be associated with their reporting intentions directly and through the athlete’s motivation for playing their sport regardless of household income.  

Methods: A national survey of 1,023 high-school athletes measured athlete perceptions of transformational parenting/coaching, sport motivation, and reporting intentions. Structural Equation Modeling was used to examine hypotheses.   

Results: Transformational parenting was directly associated with reporting intentions (β: Reporting Intentions=.265; Scenario 1=.206; Scenario 2=.260) and indirectly through increased autonomous/decreased controlled motivation. Transformational coaching was not directly associated with Reporting Intentions (β=.008, p=.816) or Scenario 2 (β=.046, p=.198) but was for Scenario 1 (β=.077, p=.003). Transformational coaching was also associated with reporting intention indirectly through increased autonomous, but not controlled motivation. Athletes with household income of $50,000+ were more likely to report transformational parenting/coaching. The effects of transformational parenting/coaching did not differ for athletes from higher versus lower income households.  

Conclusions: Transformational parenting/coaching may encourage greater concussion reporting intentions, primarily through increased autonomous (i.e., self-directed) sport motivation regardless of socioeconomic status. Cultivating transformational leadership in parents/coaches can have a positive impact on the athlete’s intention to report concussion-like symptoms.   

White, K., Park, N., Watkins, K., McCoy, M., & Morris, J. (2021). The relationship between objective financial knowledge, financial management, and financial self-efficacy among African American students. Financial Services Review, 29(3), 169-185. 

Research consistently shows the positive associations of objective financial knowledge, management, and self-efficacy on college students' financial literacy. However, there is a need for a more nuanced examination of the factors contributing to African American college students' financial literacy. Using the National Student Financial Wellness Study and structural equation modeling, findings suggest that for African American students, objective financial knowledge is not directly or indirectly associated with financial self-efficacy. Only financial management is significantly associated with increased financial self-efficacy. These findings indicate that experiential learning may be effective for improving African American students' financial literacy. 

Oct 07, 2021


FHCE visiting scholar, Dr. Marlene Haupt, RW University of Applied Sciences (RWU) and the Munich Center for the Economics of Aging, Germany. Dr. Haupt plans to collaborate with FHCE faculty and doctoral students on related research projects. 


Dr. Kenneth White was recognized as the 2021 Outstanding Young Faculty at the 35th Annual Meeting of the Academy of Financial Services (Virtual) Conference in September, 2021. 

Drs. Lance Palmer, Dee Warmath, and Joan Koonce along with Karen Demeester, Catherine O’Neal, Anthony Mallon, Theodore Futris received approval for the continuation of their grant entitled “ Increasing ACE Protective Factors through Expanded Utilization of the EITC among Minority Households” from the US Department of Health and Human Services for $448,899.  

Drs. Pamela Turner and CAES colleagues Dr. Timothy Davis (PI), and CO-PIs Virginia Brown and Maria Bowie received a grant entitled “Preparing Extension Employees for Emergencies & Natural Disasters” from the USDA Smith-Lever Special Needs Competitive Grants Program for $148,911 (Term: 9/1/21-8/31/22).  

Dr. Brenda Cude was invited to participate on two panels of experts along with our current and former visiting international scholars Drs. Marlene Haupt and Gianni Nicolini at the International Academy of Financial Consumers’ Global Forum for Financial Consumers. The website for the conference is https://www.iafico.org/2021. The two sessions were: 

Cude, B. J., Haupt, M., Nicolini, G., Yang, H. K., & Van, D. T. T. (2021, August 7). The many dimensions of financial literacy [Chaired panel]Global Forum for Financial Consumers, virtual. 

Tennyson, S., Cude, B. J., Kerton, R., Loibl, C., Seog, S. H., & Mamun, M. (2021, August 67). Financial consumer protection: Linking theories and evidence to policy practices [panel]. Global Forum for Financial Consumers, virtual  

Dr. Kristy Archuleta has been invited to speak on the topic entitled “Exploring your attitudes, values, and beliefs to better serve your clients” at the 2021 National Conference of the National Association of Personal Financial Advisors (NAPFA), Las Vegas, NV. She also serves as the Consumer Representative on the Board of NAPFA. 

Eunjin Kwak (co-authored with Dr. John Grable) presented their research entitled “A Comparison of Financial Risk Tolerance Assessment Methods” at the 35th Annual Meeting of the Academy of Financial Services Conference in September, 2021. 

Michael Gawrys (faculty mentor: Dr. Kim Skobba) presented his research entitled “Understanding The Subtleties Of Small Dollar Mortgage Origination” at the 35th Annual Meeting of the Academy of Financial Services Conference in September, 2021. 

Heejae (Hannah) Lee (faculty mentor: Dr. Dee Warmath) will be presenting her research entitled “Help-Seeking as a Moderator Between Financial Decision-Making Ability and Decision Fatigue”, at the Society for Judgment and Decision-making 2021 Conference in San Diego, Nov. 2021.

Jia Qi (co-authored with Dr. Sheri Worthy and Swarn Chatterjee, and Drs. Keith Herndon and Bartosz Wojdynski of the Grady College ) will be presenting his research entitled “Using an Extended Post-Acceptance Framework to Examine Consumer Adoption of Fintech” at the CFP Board’s Academic Research Colloquium (Virtual Conference) in Nov, 2021

Yingyi (Tracy) Liu, Yulia Zhang, and Jia Qi (faculty mentor: Dr. Swarn Chatterjee) will be presenting their research entitled “Financial wellbeing among American households during the COVID-19 pandemic: the role of CARES Act” at the CFP Board’s Academic Research Colloquium (Virtual Conference) in Nov, 2021

Recent Research 

Ghimire J, Carswell AT, Ghimire R, Turner P.R. (2021). The Impact of U.S. Housing Type and Residential Living Situations on Mental Health during COVID-19. International Journal of Environmental Research and Public Health, 18(16):8281. https://doi.org/10.3390/ijerph18168281 

Residential environments could be associated with the mental health of residents, in general, and during the COVID-19 pandemic. However, limited studies have investigated the relationship between these two. This study used data from the Household Pulse Survey, collected between 23 April 2020 and 23 November 2020 to explore the relationship between mental health status as perceived by the residents and housing tenure (own or rent), building type, and the number of household members, while accounting for sociodemographic characteristics, general health-related variables, and week-specific unobserved heterogeneities. The findings suggest that renters had higher odds of experiencing mental health issues than homeowners. Residents in multifamily housing units had higher odds of experiencing mental health problems than single-family units. Further, more people in the household were associated with lower odds of experiencing mental health episodes during the COVID-19 pandemic

Liu, Y., Zhang, Y., & Chatterjee, S. (2021). Financial hardship and depression experienced by pre-retirees during the COVID-19 pandemic: the mitigating role of stimulus payments. Applied Economics Letters, https://doi.org/10.1080/13504851.2021.1989364

This study examines the association between financial hardship and depression among pre-retirees (ages 50 to 65) using the Health and Retirement Study (HRS) and its 2020 COVID-19 supplement. We find a negative association between the amount of stimulus received and financial hardship experienced by respondents during the pandemic. Additionally, the results indicate that African American households were less likely to increase spending, Hispanic households were more likely to increase savings, and households with lower educational attainment were more likely to pay down debt using their stimulus money. Financial wealth was negatively associated with the perception of feeling depressed. Overall, the findings from this study underscore the important role that the stimulus checks and other financial resources played in buffering the economic shock experienced by American households during the COVID-19 pandemic

Rabbani, A., Heo, W., & Grable, J. E. (2021). The role of financial literacy in describing the use of professional financial advisors before and during the COVID-19 pandemic. Journal of Financial Services Marketing, 1-11. https://link.springer.com/article/10.1057/s41264-021-00109-w

This paper documents the effect of the COVID-19 pandemic on the use of profession financial advisors across a broad sample of financial decision makers (N = 16,431). Findings show that financial literacy played a significant role in describing the use of financial advisors in the USA before and during the pandemic. Those who exhibited higher levels of financial literacy were more likely to use the services of professional financial advisors. Based on a series of regression tests, it was determined that the effect of COVID-19 on the use of financial advisors was, to some extent, moderated by financial literacy. 

Skobba, K., Moorman, D., & Meyers, D. (2021). The Cost of Early Independence: Unmet Material Needs Among College Students With Homelessness or Foster Care Histories. Journal of Adolescent Research, 07435584211014831. 

Qualitative interview data were used to explore the experiences of college students with foster care or homelessness experiences. Participants, with an average age of 21 years, included 18 female and nine male students with a history of homelessness or foster care enrolled in several independent 4-year colleges in one Southeastern state. Participants were recruited through a flyer that was distributed via an email message to individuals and organizations who worked with prospective participants. The qualitative data were collected over the course of an academic year from several in-depth, semi-structured interviews. Interviews were analyzed using a directed content analysis approach to identify key themes: getting by on their own, meeting material needs requires agency, and the Catch-22 of managing academic and material needs. Findings suggest that many of the students in the study experienced a fragile and seemingly unsustainable balance between meeting material needs and academic demands. The current financial aid model, which relies on significant contributions from parents, was insufficient for most students in the study. Results support the need for interventions that improve the ability of students with foster care and homelessness histories to manage their material and academic needs as college students

Warmath, D., O’Connor, G. E., Newmeyer, C., & Wong, N. (2021). Have I Saved Enough to Social Distance? The Role of Household Financial Preparedness in Public Health Response. Journal of Consumer Affairs. https://doi.org/10.1111/joca.12410

Behavioral responses such as social distancing are important in the fight to contain COVID-19 transmission, yet motivating such responses is an overwhelming, resource-intensive task. Using multi-wave data from 23,735 US adults collected in May/September 2020, and January 2021, this study examines how financial preparedness in the form of savings influences the relationship predicted by the Health Belief Model between the degree of concern for COVID-19 and engagement in social distancing. Findings indicate that general concern for COVID-19 is related to the decision to engage in social distancing for individuals who have less saved. Curiously, higher levels of financial preparedness are associated with a lower likelihood of social distancing at least among people who had been laid off during the pandemic. The findings suggest a tradeoff between protecting one's standard of living and their health. Government and public health agencies should consider financial preparedness in the design of public health communications

Jul 26, 2021

Just So You Know for June and July...


Keturah Orji (2018, Financial Planning)—Triple Jump and Garrett Scantlin (2016, Financial Planning)—Decathlon, will be representing USA in the Tokyo Olympics. And Chanice Porter (2017, Consumer Economics and Financial Planning)—Long jump, will be representing Jamaica in the Tokyo Olympics.  

Anthony Rodriguez and Linda Olvera, both undergraduate Financial Planning students received the Yeskie Buie Scholarship to attend the Financial Planning Association (FPA) Virtual Externship Experience. Thank you to Drs. John Grable and Mary Carlson for all the help through this process. 

Dr. Kristy Archuleta on starting her new role as the Graduate Coordinator for the Department of Financial Planning, Housing and Consumer Economics. 

Dr. Kenneth White successfully hosted the first virtual UGA Financial Planning Academy sponsored by Charles Schwab over this summer in collaboration with Texas Tech University. The Financial Planning Academy is a summer program for high school students.  

FHCE Doctoral students successfully defended their dissertations:  

Portia Johnson (Co-major Professors: Drs. Carswell and Skobba, Committee: Drs. Durham and Cude). Portia will be starting her new position as Assistant Professor at Virginia Tech from Fall 2021.  

Jessica Parks (Major Professor: Dr. Moorman; Committee: Drs. Skobba and Thomas). Jessica will be starting her new position as Assistant Professor at Nevada State College from Fall 2021. 

 Martha Fulk (Major Professor: Dr. Grable; Committee: Drs. White and Turner). Martha currently works as the Lead Learning Technologist at Georgia State University. 

Congratulations to Drs. Johnson, Parks, and Fulk. Thank you to Drs. Carswell, Grable, Moorman, and Skobba for serving as major professor for these students; and thank you to Drs. Cude, Durham, Skobba, Thomas, Turner, and White for your valuable service as doctoral student committee members of these students. 

We received approval for the renaming of the Consumer Journalism as the Social Entrepreneurship for Consumer Well-being program. The mission of the Social Entrepreneurship major will be “to equip students with the process, skills, and knowledge they will require to shine the light and solve the riddle for a variety of wicked, interdisciplinary social problems people and communities face”. https://www.fcs.uga.edu/fhce/social-entrepreneurship

Congratulations to Drs. Palmer, Koonce; FHCE alumna and VITA Project Manager Faith Rasmussen, alumnus Ben Jacobs, and all the UGA extension agents involved with the VITA program—Ashleigh Childs, Becca Stackhouse, Carlin Booth, Carrie Vanderver, Christa Campbell, Cindee Sweda, Dana Carney, Emma Poston, Georgeanne Cook, Ida Jackson, Jessica Moore, Kathryn Holland, Keishon Thomas and Pat Hill, Leigh Anne Aaron, Mitzi Parker, Nicole Walters, Rachel Stewart, Roxie Price, and Terri Black for the impact generated by the UGA VITA program. The full report can be read here: 


Recent Research 

Archuleta, K. L., Asebedo, S. D., ..et al. (2021). Facilitating Virtual Client Meetings for Money Conversations A Multidisciplinary Perspective on Skills and Strategies for Financial Planners. Journal of Financial Planning.



The COVID-19 pandemic has accelerated the relevance and prevalence of virtual client communication. This paper offers a multidisciplinary perspective on best practices and theory that create a productive virtual environment to protect and enhance client outcomes. This paper integrates the theory of polymedia and the Therapeutic Pyramid to address the multiple types of media used in financial planning client relationships. Best practices in these key areas are introduced: necessary preconditions, professional’s way of being, and professional-client relationship dynamics—as well as skills and techniques associated with the psychological environment, physical environment, communication, and meeting effectiveness. Client confidentiality issues and cautions for advising at a distance are also presented

Grable, J. E., & Kwak, E. J. (2021). The role of disappointment aversion and expectation proclivity in describing financial risk aversion among financial decision-makers. International Journal of Bank Marketing. https://www.emerald.com/insight/content/doi/10.1108/IJBM-12-2020-0593/full/html?casa_token=KTyRGG_DbYgAAAAA:veVSCzH5zO7F5cxZa-K8D1Hod56hPI6gIrcBTKj1gOe35YaZfSqBSTp2aGDwLfmXQD3wQs2EsKw1CR2EYHACO_9qbwIYoMZOCxsmikRuVUCGl62hkI8

Using data obtained from 525 individuals who were surveyed during early spring 2020, this study addressed three aims: (1) to ascertain the degree to which disappointment aversion and expectation proclivity are related; (2) to identify who is most likely to exhibit patterns of disappointment aversion; and (3) to determine to what extent the combination of disappointment aversion and expectation proclivity is associated with financial risk aversion. A negative relationship between disappointment aversion and expectation proclivity was noted, which is counter to conventional thinking. It is traditionally thought that those who establish high expectations will experience the greatest disappointment when choice outcomes fall below expectations. In this study, it was determined that when a financial decision-maker consistently establishes high outcome expectations and results fall below expectations, the financial decision-maker feels less disappointment. More precisely, those who consistently establish high expectations tend to be more disappointment tolerant than others. This paper provides evidence that categories of disappointment aversion and expectation proclivity are associated with financial risk aversion and certain demographic characteristics. Findings from this paper indicate that a commonly used heuristic that decision-makers should reduce expectations to avoid disappointment may not be accurate or particularly useful in the context of financial decision-making. Findings from this study add to the existing body of literature by showing that aversion to disappointment and the establishment of expectations, while distinct concepts, are interrelated

Kopot, C., & Cude, B. J. (2021). Channel Depth or Consistency? A Study on Establishing a Sustainable Omnichannel Strategy for Fashion Department Store Retailers. Sustainability, 13(13), 6993. https://www.mdpi.com/2071-1050/13/13/6993

In recent years, fashion department stores have struggled to sustain their foothold in the competitive market due to changing consumer behavior as well as technological advancement. This study aimed to examine customers’ perspectives on the shopping channels of omnichannel fashion department stores. The analysis was based on data from 552 customers who shopped at U.S. omnichannel fashion department stores. Confirmatory factor analysis and structural equation modeling were utilized to analyze the hypothesized relationship. The results showed that brand attitude mediated the influence of perceived fluency of customers’ purchase intentions in the omnichannel fashion department store setting. Content consistency and process consistency also positively affected customers’ perceived fluency of the channels of those fashion department stores. Customers are more likely to purchase from a fashion department store that provides consistent content and processes across the multiple shopping channels from which they can purchase merchandise. Further, customers value consistency of the content and processes across all fashion department store channels. The results are insightful especially for industry practitioners, as it enables them to develop a sustainable omnichannel business strategy by focusing on the depth of the channels and channel consistencies (content and process) while improving customers’ purchase intention from their stores

Lee, H., & Worthy, S. (2021). A Qualitative Analysis of Young Adults’ Health and Wellness Perceptions, Behaviors, and Information Seeking. Journal of Human Sciences and Extension, 9(2), 1-19. https://www.jhseonline.com/article/view/91

Access to health- and wellness-related resources is unprecedented, and the desire to attain and use that information is high. However, the information is not always accurate, and individuals may be selectively choosing the information they read and follow. Additionally, although Americans have access to more health and wellness information than ever before, rates of obesity, hypertension, and sedentary lifestyles are still high. This study investigated information seeking for health and wellness-related resources by healthy, educated, young adults and their health and wellness perceptions and behaviors. Five focus groups were conducted with 35 young adults to gather information about diet, exercise, sleep, and stress management. The information-seeking skills and skepticism of information were high for this sample. They were more informed and practiced healthier behaviors related to nutrition and exercise than expected. However, they were less knowledgeable about good sleep hygiene and had varying sleep behaviors. The stress management techniques employed were a balance of healthy and unhealthy behaviors. This study’s findings imply that it would be useful for family and consumer sciences educators and Extension professionals to add educational programming about good sleep hygiene and stress management techniques in addition to nutritional and healthy activity education. 

Lurtz, M. R., Archuleta, K., Kothakota, M., & Jorgensen, T. J. (2021). A deeper dive: A mixed methods approach to risk tolerance. Financial Planning Review, 4(2), e1112. https://onlinelibrary.wiley.com/doi/full/10.1002/cfp2.1112

Most risk tolerance studies are quantitative, even though many factors that may affect the manifestation of risk tolerance are qualitative. This study employed a mixed-methods approach to investigate how individuals consider risk tolerance as it relates to their financial situation. Fuzzy-trace theory, a psycholinguistic theory of risk processing rooted in prospect theory that is becoming increasingly popular in the medical field, guided the study. Quantitative results indicate that stated versus revealed measures of risk tolerance are not consistent for most people. However, higher risk literacy increases the likelihood of consistency. Qualitative results reveal that individuals perceive risk tolerance through various lenses, including knowledge, values, emotions, and personal experience

May 06, 2021


April Bullard, one of our undergraduate students who works as the SSAC Lead Student Staff/Intern, won 2nd place in UGA’s Top 75 Student Employees of the Year by the UGA Career Center. The introduction is about a minute long and the section about April begins at 3:28 on the video. https://career.uga.edu/hireuga/seoty2021 

Isabel Rutledge, Griffin undergrad, was chosen as the Student Challenge Speaker for the May virtual FACS commencement.  

Dr. Sophia Anong on being named a 2021 Science and Technology Policy Fellow of the American Association for the Advancement of Science. Dr. Anong will serve as the Digital Ecosystem Advisor at the U.S. Agency for International Development (USAID). 

Dr. Lance Palmer on receiving the Janette McGarity Barber Distinguished Professorship

Dr. Kenneth White received a NEFE grant for examining cross-racial validity of financial literacy. The total grant is worth $93,247: 

Reiter, M., McCoy, M., Watkins, K., Jurgenson, J., & White, K. (2020). An examination of the KMSI-R: Relationship to financial literacy and cross-racial validity. 

Dr. Pamela Turner received a $150,000 USDA-NIFA grant to develop emergency management training of extension employees entitled: Preparing Extension Employees for Emergencies & Natural Disasters.  

Doctoral student Yu (Yulia) Zhang will be awarded the NEFE Best Paper Award at this year’s 2021 ACCI Annual Conference for her paper co-authored with alumna Dr. Lu Fan of the University of Missouri:  

Zhang, Y. and Fan, L. (2021). The Determinants of Student Loan Behaviors, Stress, and Satisfaction. 2021 ACCI Annual Conference

Along with Yulia, the following FHCE doctoral students will be presented their research at the ACCI Conference: Pan-Ju (Cindy) Chen, Heejae (Hannah) Lee, Jia Qi, Jordan Bell, Michael Gawrys, Muna Sharma, and Yingyi (Tracy) Liu

Doctoral students Heejae (Hannah) Lee, Jordan Bell, and Pan-Ju (Cindy) Chen (co-authored with Dr. Dee Warmath) are also going to present at the American Market Association Frontiers in Service Conference this July. 

The following students presented their research at the 2021 CURO symposium

Octavio Aguilar (Mentor Faculty: Dr. Anong), Audrey Kernodle (Mentor Faculty: Dr. Chatterjee) and Milan Chokshi (Mentor Faculty: Dr. Chatterjee). In addition to mentoring our FHCE students, Dr. Anong also served as a mentor for 7 additional students who presented their research at CURO. 

This year the UGA Student Financial Planning Association (SFPA) had a virtual annual celebration. Thank you Kelly Howe, Drs. Mary Carlson and Michael Thomas, and many others involved in putting this wonderful presentation together. Here is the link to the celebration: 2021 Annual Celebration program. The following supporters, leaders, and alumni were awarded as part of this annual celebration: 

Thomas E. Cochran Distinguished Service Award: Dean Linda K. Fox, FACS. 

Thomas E. Cochran Emerging Leader Award: Anna Schermerhorn, FHCE Undergraduate Student  

Distinguished Financial Planning Alumni Award: Dr. Martin Seay, KSU. 

Young Financial Planning Achiever Award: Bo Hanson, Abound Wealth Management (Franklin, TN), Co-Host of The Money Guy Show. 

Outstanding Financial Planning Graduate Student Award: Eunjin Kwak, FHCE Doctoral Student 

Outstanding Financial Planning Undergraduate Student Award: Kevin VanCise, FHCE Undergraduate 

Recent Research 

White, K. J., McCoy, M., Chen, X., Watkins, K., & Koposko, J. (2021). “We don’t talk about that”: Exploring money conversations of black, Hispanic, and white households. Family and Consumer Science Research Journal. DOI: 10.1111/FCSR.12397  

Fan, L., Chatterjee, S. & Kim, J. (2021). An Integrated Framework of Young Adults’ Subjective Well-Being: The Roles of Personality Traits, Financial Responsibility, Perceived Financial Capability, and Race. Journal of Family and Economic Issues. https://doi.org/10.1007/s10834-021-09764-6 

Apr 12, 2021


Dr. Joe Goetz for receiving the Josiah Meigs Distinguished Teaching Professorship, which is the University’s highest teaching honor. https://news.uga.edu/five-uga-faculty-members-named-meigs-professors-for-teaching-excellence/ 

Congratulations to Effie Antonoudi, who was recently awarded the College of Family and Consumer Sciences Super-Includer Diversity Award for her work on Diversity & Inclusion in the Financial Planning field.

Portia Johnson for being inducted to the UGA Chapter of the Blue Key National Honor Society. Portia was one of the 74 students chose for this year’s cohort of lifetime membership inductees.

Jessica Parks has received her Accredited Financial Counselor (AFC) certification.

Doctoral Student Hanna Lee (faculty mentor: Dr. Dee Warmath) presented her poster entitled “The Role of Attitudes in Fad Diet Adoption” at the Georgia CTSA Conference. https://youtu.be/WIXB8l_VAi0 

Jordan Bell’s paper entitled “Great Expectations: The Role of Financial Security in Overall Well-Being” and Pan-ju (Cindy) Chen’s paper entitled There Won’t Be a Next Time: The Role of Acute Scarcity in Financial Goal Setting” were both selected for presentation at the 2021 American Marketing Association’s Marketing and Public Policy Conference. Both doctoral students were mentored by Dr. Dee Warmath.  

Jaeyong Yoo (Major Professor: Dr. Patryk Babiarz) presented his paper entitled “Predicting U.S. inter-state migration with online search” at the American Real Estate Society’s annual meeting in March, 2021. 

Doctoral students Aditi Routh and Jaeyong Yoo were both selected to receive Summer Research Grants. Each student will receive $1,500 from their respective grants.  

Tracy Kasing, who is a Financial Planning student on the Double Dawgs Pathway has published a book review in the Journal of Financial Therapy (Faculty Mentor: Dr. Kristy Archuleta): 

Kasing, T. E. (2020). Book Review: Tiny Habits: The Small Changes that Change Everything. Journal of Financial Therapy, 11(2), 6. 

Recent Research 

Henager, R., Anong, S. T., Serido, J., & Shim, S. (2021). Does Financial Satisfaction Vary Depending on the Funding Strategy Used to Pay for College?. Journal of Family and Economic Issues, 1-20. https://doi.org/10.1007/s10834-021-09755-7

This study sought to determine whether the levels of financial satisfaction reported by college undergraduates and graduates differ in relation to whether they funded their college education by working or borrowing or a combination of the two. Data for this study came from a survey sample of full-time freshmen that formed the basis of a longitudinal study conducted at a large public university. Funding sources examined were grouped into those who worked only, those who borrowed only, those who worked and borrowed, and those who used grants, scholarships, or other sources of money to fund their college education. Compared to those who had student loans, those who had financed college with grants, scholarships, or other money (usually from family and/or friends) were more likely to report greater financial satisfaction than those who had used student loans to pay for college. There was evidence that this was only true during college rather than after college. The results obtained suggest that merely possessing a student loan may not necessarily decrease the level of financial satisfaction as many suspect, especially considering other funding alternatives such as working during college. While there was no significant impact of these funding strategies on financial satisfaction either during or after college, there was evidence for possible thresholds at which overall student loan balances may begin to erode financial satisfaction. The results obtained suggest that student loans may not decrease the level of financial satisfaction as much as many have suspected when compared with working to pay for college, as long as the amount of the student loan is not excessive, and is not accompanied by other types of debt (which also reduced financial satisfaction). 

Kim, J., & Chatterjee, S. (2021). Financial Debt and Mental Health of Young Adults. Journal of Financial Counseling and Planning. DOI: 10.1891/JFCP-18-00048 

The purpose of this study is to examine the debt burdens, perceived capabilities, and mental health of young adults. Panel data constructed from the 2009 to 2013 waves of the Panel Study of Income Dynamics (PSID) and its Transition to Adulthood (TA) supplement are used in this study. The multinomial logistic regression analysis findings showed that the amount of revolving debt was negatively associated with young adults’ mental health. On the other hand, perceived abilities in acting responsibly, in solving problems, and in managing money were positively associated with the mental health of young adults. The fixed effects regression analysis results indicate that the amounts of credit card and student loan debt from the previous period were negatively associated with an increase in the mental health continuum scores of young adults over time. A discussion of the implications of this study’s key findings for scholars, policymakers, and practitioners is included. 

Muruthi, B. A., Watkins, K., McCoy, M. A., White, K. J., McRell, A. S., Thomas, M., & Taiwo, A. (2021). Save, Even If It’s a Penny”: Transnational Financial Socialization of Black Immigrant Women. Journal of Financial Therapy, 11(2), 3. https://newprairiepress.org/jft/vol11/iss2/3/ 

The purpose of this study is to investigate Black-Caribbean and African women’s transnational financial socialization. Analysis of the data show 1) financial socialization in the country of origin: (a) parents stressed the importance of saving, (b) learned about money management explicitly, (c) learned about money management through observation, (d) learned by observing parent’s struggle; and 2) the impact to women’s financial navigation in the U.S.: (a) not receiving financial education, (b) unexpected financial stressors in the U.S., (c) difficulty saving, (d) the need for more financial education. Implications for mental health and financial practitioners and researchers are provided. 

Rabbani, A. G., Grable, J. E., O’Neill, B., Lawrence, F., & Yao, Z. (2021). Financial risk tolerance before and after a stock market shock: Testing the recency bias hypothesis. Journal of Financial Counseling and Planning, 32(1), 1-17. DOI: 10.1891/JFCP-19-00025 

Is there an association between a household financial decision maker’s risk tolerance and the performance of the stock market? Some researchers argue that financial market events have little association with the financial risk tolerance (FRT) of household financial decision makers, while others argue that FRT among individuals can vary in relation to significant market fluctuations. The applicability of either argument may depend on the length of the period before and after a major market event. The purpose of this study was to evaluate aggregate changes in FRT around a major stock market event for different anchor time periods and to test the recency bias hypothesis. The analyses were designed to explore the FRT of Americans during a volatile multi-month period of stock market performance in 2018–2019. Several univariate, bivariate, and multivariate tests were used to compare FRT assessment scores pre- and post-October 3rd, 2018 (i.e., the market high in 2018). A decrease in FRT from the market high was noted across the sample; however, the decrease was exhibited most acutely by younger, non-married respondents with few investable assets. A noteworthy finding from this study is that financial counselors and financial planners likely serve a “buffering” role when household financial decision makers experience stock market shocks. 

Rabbani, A., Yao, Z., Wang, C., & Grable, J. E. (2021). Financial risk tolerance, sensation seeking, and locus of control among pre-retirement baby boomers. Journal of Financial Counseling and Planning, 32 (1), DOI: 10.1891/JFCP-18-00072: 

Financial risk tolerance is an important personal characteristic that is widely used by financial professionals to guide the development and presentation of client-centered recommendations. As more baby boomers enter retirement, research on how these individuals perceive their willingness to take financial risks has gained importance, particularly as the focus of investment portfolios changes from capital accumulation to capital preservation in retirement. This study examined the role of sensation seeking and locus of control on financial risk tolerance for a pre-retiree baby boomer sample using the 2014 wave of the National Longitudinal Survey of Youth 1979. Findings from three ordinary least square (OLS) regression models showed that baby boomers who were not sensation seekers, and those who displayed an external locus of control orientation were more likely to exhibit a low tolerance for financial risk. Furthermore, those who engaged in sensation-seeking behavior were more likely to have an internal locus of control orientation and a high tolerance for risk. 

Zhou, X., Zahirovic-Herbert, V., & Gibler, K. M. (2021). Price impacts of signaling in Chinese residential land auctions. Journal of Housing and the Built Environment, 1-23. https://doi.org/10.1007/s10901-020-09806-9 

Auctions are used by local Chinese governments to raise revenue while releasing land for development. Because developers reveal their valuation of parcels through winning, bids for land use rights in subsequent auctions may be influenced by outcomes of earlier government sales. A log linear hedonic regression analysis of more than 900 residential land use rights auctions in Chengdu over eight years reveals that top developers’ winning bids signal other developers who adjust their bids in subsequent auctions. Developers appear to believe that the top companies possess superior knowledge through research, experience, or insider information. The results are higher government revenue and rising land prices, which can lead to lessened competition among housing developers, higher house prices, and affordability problems in neighborhoods where the top developers buy land. 

Feb 24, 2021


Dr. Kenneth White and Dr. Desiree Seponski (HDFS/MFT) for being awarded the Diversity Research and Scholarship grant for their proposed project, “Exploring Financial Stress and Financial Optimism among Transgender College Students”. They will receive $3,000 for their work on this project.

Drs. Brenda Cude and Swarn Chatterjee were cited as top authors on financial literacy in the International Journal of Consumer Studies. Criteria for this included number of publications and number of citations.

Goyal, K. & Kumar, S. (2020). Financial literacy: A systematic review and bibliometric analysis, International Journal of Consumer Studies, 1-25, DOI: 10.1111/ijcs.12605

Dr. Pamela Turner organized a very successful FACS Conference for the UGA Extension, where she served as the Co-Chair. Dr. Turner has been commended for her outstanding work on county data assessment document and her training and preparation of the specialists.

Congratulations to Portia Johnson who was selected as one of five 2021 Sadie Collective Research Scholars! The researchers are highlighted at the annual Sadie T.M. Alexander Conference Research and Networking Reception co-sponsored by The Brookings Institute. The Sadie Collective brings together women in the quantitative sciences at different stages in their academic and/or professional careers to share resources, network, and advocate for broader visibility in the field in research.

Congratulations to Dr. Tammy Williams for successfully defending her dissertation entitled "Real and Perceived Financial and Financial Aid Obstacles: An Examination of the factors that impact the completion of the Free Application for Federal Student Aid and the Transition from Secondary to Post-Secondary Education in the U.S. High School Students". Tammy’s committee included Drs. Diann Moorman (Chair), Kenneth White, and Kim Skobba.

Congratulations to Dr. Mike Ryan for successfully defending his dissertation entitled "Preferences for Defined Benefit versus Defined Contribution Retirement Plans: The Impact of Financial Literacy, Risk Tolerance, and Time Orientation". Mike's committee included Drs. Brenda Cude (Chair), Kenneth White, and Swarn Chatterjee.

Drs. Andy Carswell, Brenda Cude, and Swarn Chatterjee were identified by at least one student from the Class of 2020 for contributing greatly to their career development and success.

Recent Research

Johnson, P.L., & Carswell, A.T. (2021).  The effects of unplanned moves on post-crisis housing situations.  Housing and Society, 48(2), 137-154. DOI: 10.1080/08882746.2020.1796109  [special issue on disasters]

Currently, there is not much research on subsequent housing decisions for households that are displaced due to a crisis event. Crisis events include disasters, but can also include unplanned moves related to eviction and foreclosure as well. The American Housing Survey provides the research community the opportunity to examine such situations through a special module related to recent movers introduced in 2013. Using measures of well-being related to residential satisfaction and housing cost burden, we analyze the differences in these measures for both regular movers and those who have moved due to circumstances of crisis. Initial analysis shows that there are highly significant differences between the two populations, with regular movers having higher housing unit satisfaction and neighborhood satisfaction, and lower housing cost ratios, when compared against households which moved under crisis situations. Similar findings are made when comparing against households’ previous housing situations as well. After controlling for demographic and other independent variables, however, the effect of crisis events is nullified for residential satisfaction. Housing cost ratios take divergent paths according to tenure, with renters having heavy cost burdens upon relocation and homebuyers actually reducing their ratios significantly.

Grable, J. E., Joo, S. H., & Kruger, M. (2021). Risk tolerance and household financial behaviour: A test of the reflection effect. IIMB Management Review. https://doi.org/10.1016/j.iimb.2021.02.001

An important proposition underlying prospect theory is the notion that when decision-makers must choose between options with gains and losses, their preference for positive outcomes often mirrors their preference for negative outcomes. This is called the reflection effect. This paper aimed to test the extent to which the reflection effect is associated with household finance outcomes. A secondary goal was to determine whether different risk preference groups, based on categorised reflection effect responses (i.e. risk avoiders, loss averse, loss tolerant and risk seekers), share common demographic characteristics. Findings, based on internet survey data from more than 40,000 individuals aged 35 or older, showed that individuals, on average, exhibit the reflection effect. The results also confirmed that there are differences in behaviour across risk categories, but that it is difficult to cluster decision-makers into a risk category using demographic characteristics

Kwak, E. J., & Grable, J. E. (2021). Conceptualizing the use of the term financial risk by non-academics and academics using twitter messages and ScienceDirect paper abstracts. Social Network Analysis and Mining. https://link.springer.com/article/10.1007/s13278-020-00709-9

A text mining technique, based on an Application Programming Interface (API) request—using narrative data from Twitter and ScienceDirect—was used to identify how non-academics and academics conceptualize and evaluate sentiment indicators associated with the term financial risk in their communications. It was determined that unlike the day-to-day uses of the term—all of which tend to focus predominately on the business and technology aspects of risk taking—the academic definition of the term is expressed broadly. It was also determined that the term was mainly associated with negative emotions in daily conversations, whereas the term tended to be used in a positive way in research paper abstracts. Results from this study suggest that the way financial risk is conceptualized and applied in real-life settings primarily represents negative emotional contexts, while academic papers tend to represent positive emotional contexts.

Kim, S., Cotwright, M., & Chatterjee, S. (2020). Who are robo-advisor users? Journal of Finance Issues, 2019 (2). http://jofi.aof-mbaa.org/polopoly_fs/1.4612123.1611602334!/fileserver/file/992889/filename/3.pdf

The purpose of this study is to explore the demand for robo-advising services by analyzing the participants’ behavioral characteristics and investment patterns. With the 2015 Financial Industry Regulatory Authority Investor data, we found that robo-advisor users were younger investors with high risk tolerance, whose self-assessment of financial knowledge is comparatively higher than their actual knowledge, and were independent decision-makers. By controlling for those behavioral attributes of robo-advisor users, we also found that robo-advisor users were reluctant to invest in individual stocks, while they showed the largest preference for investing in pooled investment products such as Exchange Traded Funds.

Odeyemi, E., & Skobba, K. (2020). Who is at the table? Civic engagement in small town housing decision-making, Local Government Studies. https://www.tandfonline.com/doi/abs/10.1080/03003930.2020.1864334?journalCode=flgs20

Small towns possess many of the components needed for stakeholder-led governance models, including strong social ties, frequent interactions and social norms that support participation in civic life. This study seeks to better understand civic engagement with housing decision-making in rural small towns. We examine the diversity of actively engaged stakeholder groups and the ways in which stakeholder participation is related to community characteristics using survey responses from representatives of 164 small towns within one Southeastern state. For the small towns in our study, population size, limited administrative capacity and access to human capital resources were associated with fewer engaged stakeholder groups. Relatively few stakeholder groups were involved in housing decision-making on average and those experiencing the greatest disadvantage were likely not at the table. This research adds to the limited body of research on civic engagement by exploring stakeholder engagement in housing decisions and policies in small towns using a unique dataset. Our study highlights the ways in which the potential for civic engagement in small towns is hindered, limiting the capacity and equity of housing policy among rural communities that likely have an array of housing problems.

Peng., Y & Yang, T. (2021). Anatomy of audience duplication networks: How individual characteristics differentially contribute to fragmentation in news consumption and trust. New Media & Society. https://journals.sagepub.com/doi/full/10.1177/1461444821991559

While partisan selective exposure could drive audience fragmentation, other individual factors might also differentiate news diets. This study applies a method that disentangles the differential contributions of the individual characteristics to audience duplication networks. By analyzing a nationally representative survey about US adults’ media use in 2019 (N = 12,043), we demonstrate that news fragmentation is driven by a myriad of individual factors, such as gender, race, and religiosity. Partisanship is still an important driver. We also distinguish between media exposure and media trust, showing that many cross-cutting ties in co-exposure networks disappear when media trust is considered. We conclude that audience fragmentation research should extend beyond ideological selectivity and additionally investigate how and why other individual-level preferences differentially contribute to fragmentation both in news exposure and in news trust.

Sharma, M., & Chatterjee, S. (2021). Cognitive Functioning: An Underlying Mechanism of Age and Gender Differences in Self-Assessed Risk Tolerance among an Aging Population. Sustainability, 13(4), 2361. Retrieved from http://dx.doi.org/10.3390/su13042361

Attitude toward risk plays a vital role in an individual’s financial decision-making and well-being. Past studies have found significant association of age and gender with risk tolerance. However, studies on the factors affecting the underlying mechanism are scant. The purpose of this research is to test whether cognitive functioning mediates the association between age, gender, and self-assessed risk tolerance. Using the 2014 wave of the Health and Retirement Study, path analysis was conducted to test the hypothesized model. Results revealed a negative direct association between age and risk tolerance. Moreover, the study also found a lower level of risk tolerance in women. A bootstrap-based confidence interval revealed that a significant portion of the relationship between age and risk tolerance was mediated by cognition. However, the gender difference in risk tolerance was not explained by cognition.

Worthy, Sheri L.; Mountain, Travis; Chatterjee, Swarn; Johnson, Carrie; Kiss, Elizabeth; O'Neill, Barbara; Saboe-Wounded Head, Lorna; and Gutter, Michael S. (2020) "Differences in the Determinants of Retirement Preparation between Farm and Nonfarm Households," Journal of Applied Farm Economics: Vol. 3 : Iss. 2, Article 5. DOI: 10.7771/2331-9151.1048


As principal farm operators age, retirement and succession planning has become increasingly important to the U.S. agriculture industry. This study examined differences in the determinants of retirement preparation between farm and nonfarm households using the Survey of Consumer Finances. Factors such as risk preferences, financial capability, human capital, and other demographic characteristics of farmers that may play a role in their decision to plan for retirement were examined. Retirement planning was investigated by running three separate sets of logistic regressions on the overall sample, farm households, and nonfarm households. Likelihood of consulting a financial planner, expecting to leave a bequest, and household net worth were used as dependent variables. Results indicate some significant differences between farm and nonfarm households and highlight limitations in currently available data sets for studies such as this one. Implications for practitioners, researchers, and policymakers regarding farm family retirement and succession planning are discussed

Jump to top