An Assessment of Children s Economic Knowledge

For many years, Korean economic educators have been concerned about children`s economic illiteracy. This study attempts to measure the economic knowledge of Korean 5th and 6th grade students in comparison with that of U.S. students. In addition, this study performs regression analyses to identify various factors influencing Korean children`s test scores. According to the results of the test administered, Korean children have less economic knowledge than American children, thus confirming the fears of Korean economic educators. In particular, Korean students are weak in such basic concepts as opportunity cost, supply and demand, and competition. In addition, they are weaker in forms of useful comprehension than in forms of more factual knowledge. The regression analyses also suggest that female 6th grade students, those who read more books, those with positive attitudes toward social studies, those from higher-income families, and urban area students tend to have higher test scores.