by Marco M
“The Internet and Finances at Home”
This study presents several factors which correlate household finances with access to the internet. The major factors the survey cites are education, age, race and income. First, people with college degrees are more likely to have a computer (i.e. access to the internet) and conduct research before making any financial decisions. The second factor is age; older Americans are more likely to use the internet to access financial information for investments reasons than are younger Americans. Third, is race; the study lists the order in which racial groups use the internet for financial purposes: Asian Americans, Whites, Hispanics and Blacks. Finally income, the study focuses on households with an annual income of $75,000 or more because they are more likely to own at less one computer, as opposed to households with lower annual incomes.
Moreover, the study explains that the main reasons for not accessing the internet are security concerns, websites being difficult and confusing, and the desire to talk or work with a live person and not a machine.
I think this study presents a clear picture of how useful the internet can be as a financial tool for decision-making in purchasing, investing and the management of money. However, there is more work to be done by the financial institutions as far as making it easier for people to access the information for which they are looking. Furthermore, financial institutions need to reassure people that accessing information or making financial transactions via the internet is a safe and secure process.
Rock, W., Hira, T. K., & Loibl, C. (2010). The use of the internet as a source of financial information by households in the united states: A national survey. International Journal of Management, 27(3), 754-754-769,778. Retrieved from http://search.proquest.com/docview/763170111?accountid=10357