Challenges in Understanding Western Economic and Financial Concepts from the Perspective of Young Adults with a Post-Soviet Migration Background in Germany—Findings from a Qualitative Interview Study

Abstract

The content of economic education in Germany is based largely on the laws and ideals of the prevailing economic system. While Western concepts such as the competitive market typically are addressed in economic programs in Germany, they may be unfamiliar in Eastern European countries that were part of, or under the influence of, the former Soviet Union, where many youths living in Germany originate. Findings from large-scale quantitative studies of economic and financial literacy in Germany indicate that people who have a migration background (MB) perform worse on tests of economic literacy than those who do not; however, these studies do not provide sufficient insight into the underlying migration-related causes of the deficits in economic literacy. In this study we investigate the influence of family financial socialization on young adults’ understanding of economic and financial concepts. We interview eight young adults with a post-Soviet MB living in Germany using a two-part procedure: problem-centered and think-aloud interviews. We found that migrant parents directly and indirectly influenced their children’s understanding of economic and financial concepts in numerous ways, and we maintain that the best way to remedy the deficits in their understanding of such concepts is through targeted programs and teacher training.