Mindfully aware and open: Mitigating subjective and objective financial vulnerability via mindfulness practices

Abstract

AbstractOur research presents mindfulness as a potential intervention to mitigate financial vulnerability, defined as the ability to handle unexpected future financial setbacks. As potential interventions to mitigate consumer financial vulnerability, we provide a conceptual framework on how two types of mindfulness practices (i.e., non‐judgmental awareness and openness to experience) can mitigate the subjective and objective financial vulnerability differently. We suggest ways to manipulate the two types of mindfulness and discuss the results of our initial pilot study, focusing on lower‐income consumers. In addition, we propose fruitful avenues for future research and provide recommendations for managers and policymakers to better address consumer financial vulnerability and enhance consumer welfare via mindfulness practice.