NCES recently released the results of the Program for International Student Assessment (PISA) 2018 assessment of financial literacy. This assessment measured 15-year-old students' knowledge and understanding of financial concepts, products, and risks and their ability to apply that knowledge to real-life situations. It found that, on average, U.S. students performed similarly to their peers across the 12 other participating Organization for Economic Cooperation and Development (OECD) countries.
The assessment also found that 12 percent of U.S. students performed at the highest level of proficiency (level 5). Performance at this level indicates that students can apply their understanding of financial terms and concepts to analyze complex financial products, solve nonroutine financial problems, and describe potential outcomes of financial decisions in the big picture.[1] The U.S. percentage was again similar to the OECD average.
However, this analysis also identified a group of students who might be considered “resilient.” In education research, resilience is defined as the ability to perform well academically despite coming from the disadvantaged backgrounds that have more commonly been associated with lower performance.
High-performing students came from across the spectrum of school poverty levels, as measured by the percentage of students eligible for free or reduced-price lunch (FRPL).[2] In particular, 7 percent of high-performing students in financial literacy came from the highest poverty schools (figure 1).
Figure 1. Percentage distribution of U.S. 15-year-olds in public schools scoring below level 2 and at level 5 of proficiency on the PISA financial literacy scale, by percentage of students eligible for free or reduced-price lunch (FRPL) at their school: 2018
NOTE: Data for percentage of students eligible for FRPL were available for public schools only. An individual student's level of poverty may vary within schools. Detail may not sum to totals due to rounding.
SOURCE: Organization for Economic Cooperation and Development (OECD), Program for International Student Assessment (PISA), 2018.
It is these 7 percent of students who could be considered “resilient” and may be of interest for further study. For example, research could identify if there are factors that are associated with their high performance when compared to their lower performing peers in similar schools. Research on academically resilient students that used eighth-grade data from TIMSS found, for example, that having high educational aspirations increased the likelihood that students with few home education resources performed at or above the TIMSS Intermediate international benchmark in mathematics.[3] Experiencing less bullying also increased this likelihood.
Examining the “resilient” PISA financial literacy students more closely could also determine the extent to which their individual backgrounds are related to performance. This would be of interest because, even within high-poverty schools, students' individual circumstances may vary.
Patterns in Other PISA Subjects
There are similar subsets of “resilient” students in the other PISA 2018 subjects (table 1). Eight percent of high performers in reading were from the highest poverty schools, as were 5 percent of high performers in mathematics and 7 percent of high performers in science.
Table 1. Percentage of U.S. 15-year-olds in public schools scoring at or above level 5 of proficiency, by PISA subject and their schools' free or reduced-price lunch (FRPL) status: 2018
[Standard errors appear in parentheses]
NOTE: Results are scaled separately; thus, percentages cannot be compared across subjects. Level 5 is the highest level of proficiency in financial literacy; levels 5 and 6 are the highest levels of proficiency in the other PISA subjects. Data for students eligible for FRPL were available for public schools only.
SOURCE: Organization for Economic Cooperation and Development (OECD), Program for International Student Assessment (PISA), 2018.
For more information on the PISA 2018 results in financial literacy and other subjects, visit the NCES International Activities website. To create customized data and charts using PISA and other international assessment data, use the International Data Explorer.
By Maria Stephens, AIR
[2] Data for students eligible for FRPL are available for public schools only.
[3] Students at the Intermediate international benchmark can apply basic mathematical knowledge in a variety of situations, and those above this benchmark can do so in increasingly complex situations and, at the highest end, reason with information, draw conclusions, make generalizations, and solve linear equations.
