How Do Distrust and Anxiety Affect Saving Behavior?

Abstract

Using scales developed from a modified Yamauchi and Templer's Money Attitudes Scale (1982), this research examined how distrust and anxiety, demographic factors, and financial management behavior were associated with being a regular saver among low‐ and moderate‐income households. Data were collected online. The national sample consisted of 749 respondents. The results of the Ordinary Least Squares regression on the financial management behavior score showed that those with higher levels of distrust and lower levels of anxiety tended to engage in more recommended financial management behaviors. The results of the logistic regression on saving regularly showed that anxiety and financial management behaviors were associated with savings behavior. The results of hierarchical logistic regressions showed that those who practiced more recommended financial management behaviors and those who had lower levels of anxiety were more likely to save regularly. Also, those with more income and more net worth were more likely to save regularly. Male respondents were more likely to save regularly than female respondents. As age increased, respondents were less likely to save regularly.