Generational Differences in Managing Personal Finances

Bruce Carlin, Arna Olafsson, Michaela Pagel

Research output: Contribution to journalJournal articleResearchpeer-review


In this article, we provide a descriptive account of how people from different generations vary in their use of financial management technology, their access credit markets, and how they finance consumption and incur financial costs and penalties. We use a detailed panel of transaction-level data from Iceland on individual spending, incomes, balances, and credit limits from a personal financial management software. We find that technology adoption is faster for millennials, but use of consumer credit and financial penalties are higher for older generations. While the "coholding puzzle" exists for all people, it appears to be more severe for baby boomers.
Original languageEnglish
JournalAEA Papers and Proceedings
Pages (from-to)54-59
Number of pages6
Publication statusPublished - May 2019

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