This study investigates how consumers update their perceptions of flood risk and make financial protection decisions in an era of intensifying climate change. Using monthly county-level data from the National Flood Insurance Program (NFIP), FEMA disaster records, climate datasets, and text-based measures of national media coverage, we analyze how four types of information—local floods, extreme precipitation, disasters in other states, and climate-related media—shape household uptake of flood insurance. Results show that indirect exposure to out-of-state disasters explains more than half of the variation in insurance adoption, while local floods and extreme precipitation also play significant roles. Media coverage contributes more modestly overall but has strong effects when focused on global warming or climate controversies, particularly in high-education and higher-income communities. In contrast, households in lower-education, high-risk areas respond primarily to direct flood experiences. These findings highlight the dynamic and heterogeneous ways consumers process information, underscoring the need for communication and policy strategies that are tailored to diverse populations. By centering consumer well-being and equity, the study offers actionable insights for improving risk communication, strengthening the National Flood Insurance Program, and supporting household financial resilience against climate-related disasters.
This study examines consumer acceptance of refurbished durables in Korea using a two-part design that links behavioral intention to the minimum discount required to switch from new to refurbished. Using an online panel of adults and a massage-chair category frame, we model purchase intention with explainable machine-learning and report SHAP attributions for attitudes toward refurbishment and attribute-importance items (price, warranty, hygiene, seller credibility, reviews, performance, appearance). We then elicit willingness-to-accept (WTA) using a double-bounded dichotomous-choice sequence and estimate the discount distribution via interval-censored accelerated failure-time models. Results show attitudes toward refurbished products as the dominant positive driver of intention, while stronger concerns about hygiene and warranty increase the discount required. The model-based median WTA is approximately 15% off list price, with meaningful heterogeneity across segments. Findings provide actionable pricing, assurance, and labeling guidance for firms and policy makers seeking to expand trustworthy refurbished channels that improve affordability and sustainability without compromising perceived quality.
Author(s): Yuhyun Seo, Eunjung Lim, Eunsil Hong, Jiyeon Son
The Individual Financial Access Scale (IFAS) development project represents a comprehensive three-year initiative to create the first validated, multidimensional measurement tool for financial access. Moving beyond traditional binary measures of basic product ownership, this study employed rigorous scale development methodology following established psychometric procedures across three distinct phases: conceptualization and item generation, pilot testing with 1,085 respondents, and validation with 4,094 nationally representative participants. The project utilized both Confirmatory Factor Analysis and Item Response Theory to develop two validated scale versions—a comprehensive 14-item and parsimonious 10-item tool—that capture financial access across three empirically-derived domains: Mainstream Financial Products and Services (focusing on wealth-building products), Institutional Practices of Financial Service Providers, and Individual Ability and Actions. Both versions demonstrated exceptional psychometric properties, with the 10-item scale achieving superior model fit (RMSEA=0.032, CFI=0.994, TLI=0.992). The scales employ sophisticated measurement approaches that assess not only product ownership but also availability, suitability, and perceived barriers to financial services. Standardized scoring tables enable conversion of raw scores to 0-30 point scales across domains, facilitating practical implementation by researchers, practitioners, and policymakers. This work provides essential infrastructure for understanding and addressing financial access disparities, supporting evidence-based interventions that can improve consumer financial outcomes
Author(s): Jin Huang, Julie Birkenmaier, Yingying Zhang
Budgeting is widely recognized as supporting financial well-being; however, limited research examines how individuals budget. This study investigates the information sources used for expense tracking and their relationship to budget data quality, using the 2023 Survey and Diary of Consumer Payment Choice. Descriptive analysis reveals that 65% of individuals rely on multiple information sources, with financial records being the most common source. Regression analyses show that employing multiple information sources significantly enhances budget data quality, measured as reductions in imprecise and incomplete expenditure reporting. Although 97% of respondents own financial accounts, only 66% rely on financial records when budgeting. Results show that financial record use depends on account ownership, ability to use accounts, and account service perceptions, supporting Birkenmaier and Huang's (2024) conceptualization of financial access. These findings suggest that financial education should emphasize multi-source budgeting strategies while addressing both objective and subjective barriers to financial access.
I am an Assistant Professor in the Department of Consumer Sciences at The University of Alabama. I am also a faculty affiliate of the Center for Financial Security at the University of Wisconsin-Madison.
My research focuses on three key areas: how youth and young adults develop financial capability; the role of safety net programs in promoting financial health; and the financial behavior of people with disabilities. I have published in the Journal of Family Economic Issues. My... Read More →
Tuesday April 14, 2026 10:15am - 11:45am PDT Atlantic I & II
Financial inclusion — access to and use of mainstream financial services — remains unequally distributed across the United States population, yet the mechanisms underlying these disparities are poorly understood at the intersectional level. This study examines how race, gender, and objective financial knowledge (OFK) jointly shape financial inclusion outcomes using data from a nationally representative sample of 24,918 U.S. adults. Employing a weighted multinomial logistic regression model with Gender × Race and Gender × Race × OFK interaction terms, we compute average marginal effects (AMEs) via counterfactual prediction to estimate the probability of four financial inclusion outcomes: exclusive institutional finance use, dual use of institutional and alternative financial services, alternative financial services only, and complete financial exclusion.
This study examines how consumer expectations influence food consumption in all-you-can-eat restaurants. Conducted with 313 diners at a Korean BBQ buffet offering premium and standard menu options, participants were randomly assigned to one of four groups based on their menu choice and whether they received a surprise discount or a free upgrade. Results show that higher expectations—shaped by cues like price and perceived food quality—lead to increased consumption. Unexpected discounts or free upgrades did not significantly alter consumption, suggesting that once expectations are set, they strongly guide behavior regardless of actual changes in offerings. Nonetheless, both types of expectancy violations improved perceived satiety and value. These findings highlight that consumption behavior is anchored in initial expectations, which persist even when actual conditions change, emphasizing the psychological over the economic determinants of buffet dining behavior.
There appears to be an advisor blind spot to the presence of a very large asset found in most households: the home. Add to this, the finding that households in the United States have a widespread problem of retirement inadequacy (Board of Governors of the Federal Reserve System, 2019). While the use of reverse mortgages and home equity later in life is more recently at the forefront of financial planning to help with this inadequacy, there should also be lifestyle discussions initiated by a financial planner when a client is buying a home, and throughout home ownership (such as decisions about refinancing, moving to a larger home) to make better home ownership financial decisions throughout life and ensure retirement success (Herring, 2019). Data derived from a Financial Advisors survey shows a consensus on needing to advise clients on varying housing matters and a diversity of responses on whether they feel adequately educated to do so. Lifestyle choices are for the client to decide, but the financial planner should be prepared to offer advice on a variety of priorities, including the home, which is often a client’s most valuable asset (Blanchett, 2017).
This study examines the relationship between student loans and homeownership in the United States, with a particular focus on how this relationship evolves over time. Using longitudinal data and fixed-effects logistic regression models, we analyze whether student loans deter homeownership among individuals in early adulthood. The models incorporate time-varying financial and demographic predictors, as well as an interaction term to evaluate temporal changes in the effect of student loans. The findings reveal that while student loans do not have a significant impact on homeownership on average, their negative effect is pronounced early in adulthood and diminishes over time. Higher income and marital status are consistently associated with increased odds of homeownership, whereas urban residence significantly reduces the likelihood of owning a home. These results highlight the dynamic nature of financial constraints and emphasize the importance of policies supporting homeownership, particularly for those burdened by student debt during early career stages.
The present study addresses the research needs by examining how consumer's objective and subjective financial knowledge is associated with their interest in using AI for financial planning purposes. Additionally, the study considers whether prior technology adoption further moderates this relationship. This research seeks to contribute to theory and practice in consumer financial behavior by clarifying these mechanisms. It offers insights that can inform education, policy, and the responsible development of AI-driven financial tools.
Author(s): Ravisha Chutani, Kimberly Watkins, John Grable
This study examines how smart infrastructure and services affect consumer decision-making, willingness to pay, and housing affordability. Using Van Westendorp’s Price Sensitivity Measurement (PSM) model, we surveyed consumers to identify acceptable price ranges for smart service utilization and smart space development. PSM reveals the price points at which consumers view products as too expensive, too cheap, or good value, providing insights for setting strategies when introducing new technologies. Complementing this approach, a hedonic pricing analysis of more than 100,000 housing units in South Korea evaluates how smart features and recurring service costs are capitalized into housing prices. Findings indicate that while consumers are willing to pay premiums for convenience and efficiency, these premiums also contribute to affordability challenges and regional disparities. By integrating consumer-based willingness-to-pay data with market-based housing price effects, this study offers a comprehensive understanding of how smart technologies shape consumer financial outcomes. The results highlight the need for transparent pricing, equitable housing policies, and informed consumer decision-making to ensure that technological innovation enhances household well-being without limiting access to affordable housing and essential services.
This study examines the causal impact of payday lending access restrictions on household consumption patterns using Ohio's 2018 Fairness in Lending Act as a quasi-experimental setting. We employ a difference-in-differences approach comparing employed, low-income households in West Virginia and Pennsylvania counties bordering Ohio (treatment group) with similar households in non-border counties (control group). Using NielsenIQ Home Scanner data from 2016-2019, we find that households losing cross-border payday lending access experienced significant decreases in total monthly spending. Disaggregated analysis reveals that spending reductions primarily occurred in necessities, particularly food, rather than discretionary items like alcohol and tobacco. Alcohol spending showed no significant change, while tobacco spending declined only marginally. These findings challenge the welfare rationale underlying payday lending restrictions, suggesting that such policies may force vulnerable populations to reduce essential consumption rather than eliminating harmful spending behaviors, potentially exacerbating rather than alleviating financial hardship among low-income households.
