Financial Literacy's Illusion: Knowledge Doesn't Equal Wealth

Credit card companies advocate for financial literacy while actively resisting initiatives to simplify their products, creating confusion among consumers. This resistance undermines efforts to provide clear, basic banking options. Additionally, the notion that personal spending habits, like daily coffee purchases, dictate financial stability is misleading; historical data shows higher saving rates in the past despite greater discretionary spending. The increased costs of essential services such as housing and healthcare contribute more to financial struggles than personal spending choices. Furthermore, evidence suggests that enhanced financial literacy does not correlate with improved financial outcomes, and it may actually increase vulnerability to scams, highlighting the disconnect between knowledge and economic well-being.