Bettina Fuhrmann Advocates for Enhanced Financial Literacy in Austria

Financial literacy has become an increasingly prominent topic in Austria, with greater awareness of its significance compared to a decade ago. Bettina Fuhrmann, a professor at the Vienna University of Economics and Business (WU) and director of the Institute for Economic Education, emphasizes the necessity of integrating financial education into the broader educational framework. She notes that while there has been progress in teaching and research, there is still much work to be done to embed financial topics across the entire education system and to reach adult learners.

Fuhrmann points out that concepts such as risk diversification, interest rates, budgeting, and affordable financing remain complex for many individuals. She believes that while increasing knowledge is crucial, translating that knowledge into practical behavior is equally important. Fuhrmann uses the analogy of choosing between an apple and a chocolate cake to illustrate the challenge people face in financial decision-making, highlighting that ignoring financial issues does not eliminate them.

According to Fuhrmann, financial concepts are not inherently more difficult to teach than other subjects. In fact, they are often more relatable as they pertain to daily life experiences. She asserts that basic arithmetic skills, including percentages and interest calculations, are typically sufficient for most financial decisions.

In 2013, Fuhrmann was invited to Brussels to present on financial literacy in Austria. During her research, she discovered a lack of attention to this subject within the country, especially in comparison to global efforts where national strategies and research were more prevalent. This realization ignited her passion for promoting financial literacy, leading to her active involvement in various initiatives both at WU and beyond.

At WU, she established the Center for Financial Education, a collaborative hub that brings together experts from various fields, including finance, economics, sociology, ethics, psychology, law, and marketing. Fuhrmann is also involved in numerous financial education initiatives outside the university, believing that teaching, research, and community engagement complement each other and enhance her work.

She leads a diverse team that encompasses a wide range of expertise, reinforcing her commitment to fostering an environment where her colleagues can pursue their interests while achieving collective goals. Fuhrmann emphasizes the importance of equipping her students and team with the skills necessary for success in academia, industry, or teaching, ensuring they can effectively communicate complex concepts in an understandable manner.

Looking ahead, Fuhrmann hopes for a future where individuals possess foundational knowledge about key economic topics, such as the relationship between interest rates and inflation, the distinction between revenue and profit, and the significance of innovation in the economy. She advocates for a better understanding of the economic and tax systems to empower individuals to critically assess claims and information presented to them.

Bettina Fuhrmann, 53, serves as a professor at the Vienna University of Economics and Business (WU) and heads the Institute for Economic Education. She also leads an interdisciplinary center for financial education that collaborates across eight of WU's eleven departments.