Mediating Role of Financial Behavior between Financial Factors and Economic Well-being: Through the Lens of the Extended Family Resource Management Model

Ahmad, H. H., Abdullah, H., & Samsudin, S. (2016). The linkages between household consumption and household debt composition in Malaysia. International Journal of Economics and Financial Issues, 6(4), 1354-1359.
Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T
Almenberg, J., Lusardi, A., Save-Soderbergh, J., & Vestman, R. (2019). Attitudes Toward Debt and Debt Behavior. NBER Working Paper No. 24935.JEL No. D14, D15, D91.
Atkinson, A., & Messy, F. A. (2012). Measuring financial literacy: Results of the OECD. OECD working papers on finance, insurance and private pensions, 44(2), 296–316.
Banerjee, A., Kumar, K., & Philip, D. (2017). Financial literacy, awareness and inclusion. Retrieved on 08/10/2021 from https://scholar. google.co.in/scholar?hl=en&as_sdt= 0%2C5&q=Banerjee%2C+Kumar%2C+and+Philip+%282017%29+financial+literacy& btnG=
Bhushan, P., & Medury, Y. (2014). An empirical analysis of inter linkages between financial attitudes, financial behavior and financial knowledge of salaried individuals. Indian Journal of Commerce and Management Studies, 5(3), 58-64.
Bigot, F., Castanon, E., Baldini, C., Hollebecque, A., Carmona, A., Postel-Vinay, S., Angevin, E., Armand, J.-P., Ribrag, V., Aspeslagh, S., & others. (2017). Prospective validation of a prognostic score for patients in immunotherapy phase I trials: The Gustave Roussy Immune Score (GRIm-Score). European Journal of Cancer, 84, 212–218. https://doi.org/ 10.1016/j.ejca.2017.07.027
Borden, L. M., Lee, S. A., Serido, J., & Collins, D. (2008). Changing college students’ financial knowledge, attitudes, and behavior through seminar participation. Journal of Family Economic Issues, 29(1), 23-40. https://doi.org/10.1007/s10834-007-9087-2
Brilianti, T. R., & Lutfi, L. (2020). Pengaruh pendapatan, pengalaman keuangan dan pengetahuan keuangan terhadap perilaku keuangan keluarga di kota Madiun. Journal of Business and Banking, 9(2).
Brugnoli, A., Folloni, G., & Modena, F. (2009). Multidimensional economic well-being. Is it measurable? The case of Lombardy (No. 0910). Public policies and local development. Retrieved on 07/04/2022 from https://core.ac.uk/download/pdf/ 6234468.pdf
Central Bank of Sri Lanka. (2019). Annual Report, Central Bank of Sri Lanka, Janadhipathi Mawatha, Colombo 01.
Clark, R., & D’Ambrosio, M. (2008). Adjusting retirement goals and saving behavior: The role of financial education. In: Lusardi, A. (Ed.), Overcoming the saving slump: How to increase the effectiveness of financial education and saving program. Chicago: University of Chicago Press.
Consumer Financial Protection Bureau. (2015). Financial well-being: The goal of financial education. Retrieved on 31/08/2021 from https://www.consumerfinance.gov/ dataresearch/research-reports/financial-well-being
Deacon, R. E. & Firebaugh, F. M. (1988). Family Resource Management: Principles and applications. (2nd ed.). Needham Heights, MA: Allyn and Bacon.
Diener, E. D., Emmons, R. A., Larsen, R. J., & Griffin, S. (1985). The satisfaction with life scale. Journal of Personality Assessment, 49(1), 71–75.
Fei, C., Sabri, M. F., Mohamed, N. A., Wijekoon, R., & Majid, A. Z. A. (2020). Determinants of financial vulnerability. Journal of Critical Reviews, 7(15), 3097–3107.
Fraering, M., & Minor, M. S. (2006). Sense of community: An exploratory study of US consumers of financial services. International Journal of Bank Marketing, 24(5), 284-306. https:// doi.org/10.1108/02652320610681738
Furnham, A. (1984). Many sides of the coin: The psychology of money usage. Personality and Individual Differences, 5(5), 501–509.
Gasiorowska, A. (2015). The impact of money attitudes on the relationship between income and financial satisfaction. Polish Psychological Bulletin, 46(2), 197-208.
George, D., & Mallery, P. (2003). SPSS for Windows step by step: A simple guide and reference (4th ed.). Allyn & Bacon.
Goldsmith, E. (2005). Resource management for individuals and families. Belmont, CA: Wadsworth.
Gutter, M., & Copur, Z. (2011). Financial behaviors and financial well-being of college students: Evidence from a national survey. Journal of Family and Economic Issues, 32(4), 699–714.
Hair, J. F. Jr., Hult, G. T. M., Ringle, C. M., Sarstedt, M. (2014). A Primer on partial least squares structural equation modeling (PLS-SEM). European Journal of Tourism Research, 6(2), 211–213.
Hair, J. F., Black, W. C., Babin, B. J., Anderson, R. E., & Tatham, R. L. (2006). Multivariate data analysis (6th ed.). Pearson Education.
Hair, J. F., Hult, G. T., Ringle, C. M., & Sarstedt, M. (2017). A primer on Partial Least Squares Structural Equation Modeling. second ed. Sage, Thousand Oaks.
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi. org/10.1108/EBR-11-2018-0203
Hasibuan, B. K., Lubis, Y. M., & HR, W. A. (2018). Financial literacy and financial behavior as a measure of financial satisfaction. Retrieved on 30/08/2021 from https://doi.org/ 10.2991/ebic-17.2018.79
Haver, A., Akerjordet, K., Caputi, P., Magee, C., & Furunes, T. (2015). Measuring mental well-being: A validation of the Short Warwick–Edinburgh Mental Well-Being Scale in Norwegian and Swedish. Scandinavian Journal of Public Health, 43(7), 721–727. https://doi.org/ 10.1177/1403494815588862
Hayhoe, C. R., Cho, S. H., DeVaney, S. A., Worthy, S. L., Kim, J., & Gorham, E. (2012). How do distrust and anxiety affect saving behavior? Family and Consumer Sciences Research Journal, 41(1), 69-85. https://doi.org/10.1111/j.1552-3934.2012.02129.x
Henseler, J., Ringle, C. M., & Sinkovics, R. R. (2009). The use of partial least squares path modeling in international marketing. In New challenges to international marketing. Emerald Group Publishing Limited.
Hilgert, M. A., & Hogarth, J. M. (2003). Household financial management: The connection between knowledge and behavior. Federal Reserve Bulletin, 88, 309-322.
Hogarth, J. M., & Hilgert, M. A. (2002). Financial knowledge, experience and learning preference: preliminary results from a survey on financial literacy. Journal of Family and Consumer Sciences, 48, 1–7.
Kholilah, N. A., & Iramani, R. (2013). Studi financial management behavior pada masyarakat Surabaya. Journal of Business and Banking, 3(1), 69. https://doi.org/ 10.14414/ jbb.v3i1.255
Kinderman, P., Schwannauer, M., Pontin, E., & Tai, S. (2011). The development and validation of a general measure of well-being: the BBC well-being scale. Quality of Life Research, 20(7), 1035–1042.
Kline, R. B. (2011). Convergence of structural equation modeling and multilevel modeling. In The SAGE handbook of innovation in social research methods (pp. 562-589). SAGE Publications Ltd.
Kumar, A., Mohapatra, M., & Dhir, S. (2021). Linking personality with contextual performance through subjective well-being using PLS SEM modelling. Global Business Review, 09721509211030360, 1-15. https://doi.org/10.1177/09721509 211030360
Lee, J. M., & Kim, K. T. (2016). The role of propensity to plan on retirement savings and asset accumulation. Family and Consumer Sciences Research Journal, 45(1), 34–48. https://doi.org/10.1111/ fcsr.12179
Lee, J. M., Lee, J., & Kim, K. T. (2020). Consumer financial well-being: Knowledge is not enough. Journal of Family and Economic Issues, 41(2), 218–228. https://doi.org/ 10.1007/s10834-019-09649-9
Lusardi, A., & Mitchell, O. S. (2007). Baby boomer retirement security: the role of planning, financial literacy, and housing wealth. Journal of Monetary Economics, 54, 205-224. https://doi.org/10.1016/j.jmoneco.2006.12.001
Lusardi, A., Mitchell, O. S., & Curto, V. (2010). Financial literacy among the young. Journal of Consumer Affairs, 44(2), 358-380. doi.org/10.1111/j.1745-6606.2010.01173.x
Mimura, Y. (2014). The relationship between life satisfaction among wives and financial preparedness of households in Japan. Journal of Family and Economic Issues, 35(4), 532-541. https://doi.org/10.1007/s10834-014-9390-7
Mimura, Y., Cai, Y., Tonyan, H., & Koonce, J. (2019). Resource well-being among family child care business owners. Journal of Family and Economic Issues, 40(3), 408-422. https://doi.org/10.1007/s10834-019-09620-8
Nga, K. H., & Yeoh, K. K. (2015). Affective, social and cognitive antecedents of attitude towards money among undergraduate students: A Malaysian study. Pertanika Journal of Social Sciences & Humanities, 23, 161-179.
OECD. (2011). Development co-operation report 2011. Retrieved on 25/03/2022 from https://www.oecd.org/dac/developmentco-operationreport2011.htm.
OECD. (2013). “Economic well-being”, in OECD framework for statistics on the distribution of household income, consumption and wealth. Retrieved on 31/03/2022 from https://doi.org/10.1787/9789264194830-5-en
OECD. (2015). How's Life? 2015, Measuring well-being. Retrieved on 5/6/2020 from https://www.oecd-ilibrary.org/docserver/c7adaf59 en.pdf?expires=15913592 49& id=id& acc name=guest&checksum=454037EB06307E66FA387E515094B882
OECD. (2019). The economy of well-being: Creating opportunities for people’s well-being amd economic growth. SDD Working paper No. 102. Retrieved on 06/0/2022 from https://www.oecd.org/officialdocuments/publicdisplaydocumentpdf/?cote=SDD/DOC(2019)2&docLanguage=En
Orsila, R., Luukkaala, T., Luukkaala, T., Manka, M. L., & Nygard, C. H. (2011). A new approach to measuring work-related well-being. International Journal of Occupational Safety and Ergonomics, 17(4), 341–359. https://doi.org/10.1080/ 10803548.2011. 11076900
Osman, Z., Madzlan, E. M., & Ing, P. (2018). In pursuit of financial well-being: The effects of financial literacy, financial behavior and financial stress on employees in Labuan. International Journal of Service Management and Sustainability, 3(1), 55-94. https://doi.org/10.24191/ijsms.v3i1.8041
Podsakoff, P. M., MacKenzie, S. B., Lee, J. Y., & Podsakoff, N. P. (2003). Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of applied psychology, 88(5), 879-903.
Poh, L. M., Sabri, M. F., Wahab, H. A. R. A., & Wijekoon, R. (2021). Determinants of financial vulnerability among civil servants in Peninsular Malaysia. Malaysian Journal of Consumer and Family Economics, 27, 113–143.
Radzyk, J. (2014). Validation of a new social well - being questionnaire. 18–21.
Rai, K., Dua, S., & Yadav, M. (2019). Association of financial attitude, financial behavior and financial knowledge towards financial literacy: A structural equation modeling approach. FIIB Business Review, 8(1), 51-60. https://doi.org/10.1177/2319714519 826651
Robb, C. A., & Woodyard, A. S. (2011). Financial knowledge and best practice behavior. Journal of Financial Counseling and Planning, 22(1), 60-70.
Sabri, M. F., & Falahati, L. F. (2013). Predictors of financial well-being among Malaysian employees: Examining the mediate effect of financial stress. Journal of Emerging Economies and Islamic Research, 1(3), 61–76. https://doi.org/10.24191/jeeir. v1i3.9130
Sabri, M. F., & Wijekoon, R. (2019). The influence of gender and ethnicity on young adults’ participation in financial education program. Journal of Management and Sustainability, 9(1), 159-170. https://doi.org/ 10. 5539/ jms. v9n1p159
Sabri, M. F., Wijekoon, R., Ramli, N. N., & Dass, T. M. (2019). The impact of smart money kit on children’s financial knowledge, attitude and behavior. Journal of Social Sciences and Humanities, 3, 48-59.
Sabri, M. F., Abd Rahim, H., Wijekoon, R., Fardini, N., Zakaria, A. S. M., & Reza, T. S. (2020b). The mediating effect of money attitude on association between financial literacy, financial behavior, and financial vulnerability, International Journal of Academic Research in Business and Social Sciences, 10(15), 340-358.
Sabri, M. F., Cook, C. C., & Gudmunson, C. G. (2012). Financial well?being of Malaysian college students. Asian Education and Development Studies, 5(1), 153-170.
Sabri, M. F., Reza, T. S., & Wijekoon, R. (2020a). Financial management, savings and investment behavior and financial well-being of working women in the public sector. Majalah Ilmiah Bijak, 17(2), 135–153. https://doi.org/10.31334/bijak.v17i2.1008
Sabri, M. F., Wijekoon, R., & Rahim, H. A. (2020c). The influence of money attitude, financial practices, self-efficacy and emotion coping on employees’ financial well-being. Management Science Letters, 10(4), 889–900. https://doi.org/10.5267/j.msl. 2019.10.007
Sages, R. A., & Grable, J. E. (2009). Financial numeracy, net worth, and financial management skills: Client characteristics that differ based on financial risk tolerance. Journal of Financial Service Professionals, 64(6), 57–65.
Selvia, G., Rahmayanti, D., Afandy, C., & Zoraya, I. (2021). The effect of financial knowledge, financial behavior and financial inclusion on financial well-being, In: BISIC 2020, 3-4 October 2020, Bengkulu, Indonesia, 1-14. https://doi.org/10.4108/ eai.3-10-2020.2306600
Setiyani, R., & Solichatun, I. (2019). Financial well-being of college students: An empirical study on mediation effect of financial behavior. KnE Social Sciences, 451-474. https://doi.org/10.18502/kss.v3i11.4026
Shih, T. Y., & Ke, S. C. (2014). Determinates of financial behavior: insights into consumer money attitudes and financial literacy. Service Business, 8(2), 217-238. https://doi.org/ 10.1007/s11628-013-0194-x
Shim, S., Barber, B. L., Card, N. A., Xiao, J. J., & Serido, J. (2010). Financial socialization of first-year college students: The roles of parents, work, and education. Journal of youth and adolescence, 39(12), 1457-1470. https://doi.org/10.1007%252Fs10964-009-9432-x
Susilowati, N., & Latifah, L. (2017). College student financial behavior: An empirical study on the mediating effect of attitude toward money. Advanced Science Letters, 23(8), 7468-7472.
Tang, N., & Baker, A. (2016). Self-esteem, financial knowledge and financial behavior. Journal of Economic Psychology, 54, 164-176. https://doi.org/10.1016/ j.joep. 2016.04.005
Tang, N., Baker, A., & Peter, P. C. (2015). Investigating the disconnect between financial knowledge and behavior: The role of parental influence and psychological characteristics in responsible financial behaviors among young adults. Journal of Consumer Affairs, 49(2), 376-406. https://doi.org/10.1111/joca.12069
Tomaselli, V., Fordellone, M., & Vichi, M. (2021). Building well-being composite indicator for micro-territorial areas through PLS-SEM and K-Means approach. Social Indicators Research, 153(2), 407-429. https://doi.org/10.1007/s11205-020-02454-0
Topa, G., Hernandez-Solis, M., & Zappala, S. (2018). Financial management behavior among young adults: The role of need for cognitive closure in a three-wave moderated mediation model. Frontiers in Psychology, 9(NOV), 1–10.
https://doi.org/10.3389/fpsyg. 2018.02419
Wijekoon, R., Sabri, M. F., Ahmad, N., Rahim, H. A., & Suhaimi, S. S. A. (2021a). Financial factors as antecedents of economic well-being and mediation effect of technology adoption. Jurnal Pengguna Malaysia, 37, 148–171.
Wijekoon, R., Sabri, M. F., Ahmad, N., & Rahim, H. A. (2021b). Understanding the path toward family economic well-being of coconut growers. International Journal of Academic Research in Business and Social Sciences, 11(19), 327–348, http://dx.doi.org/ 10.6007/IJARBSS/v11-i19/11740.
Wijekoon, R., Sabri, M. F., Ahmad, N., & Rahim, H. A. (2021c). Mediation effect of technology adoption between financial factors and economic well-being. In A. L. K. Abdullah, H. A. Rahman, J. L. D’Silva, N. A. Kamarudin (Eds), Proceedings of the Conference on Youth and Community Issues; Series 2/2021 (pp. 225-231), Serdang, Malaysia: University Putra Malaysia.
Wijekoon, R., Sabri, M. F., Ahmad, N., & Rahim, H. A. (2021d). The impact of financial knowledge, money attitude on economic well-being with the mediating effect of financial behavior. Proceedings of the Conference on Consumer, Family and Business Agility in Crisis, Serdang, Malaysia: University Putra Malaysia.
Wijekoon, R., Sabri, M. F., & Paim, L. (2021e). Poverty: A literature review of the concept, measurements, causes and the way forward. International Journal of Academic Research in Business and Social Sciences, 11(15), 39–111. https://doi.org/10.6007/ IJARBSS/v11-i15/10637
Xiao, J. J. (2013). Family economic well-being. In Handbook of marriage and the family (pp. 573–611). Springer, Boston, MA.
Zulfiqar, M., & Bilal, M. (2016). Financial wellbeing is the goal of financial literacy. Research Journal of Finance and Accounting, 7(11), 94–103.

In-Text Citation: (Wijekoon et al., 2022)
To Cite this Article: Wijekoon, R., Sabri, M. F., Ahmad, N., & Rahim, H. A. (2022). Mediating Role of Financial Behavior between Financial Factors and Economic Well-being: Through the Lens of the Extended Family Resource Management Model. International Journal of Academic Research in Business and Social Sciences, 12(10), 30 – 48.

Copyright: © 2022 The Author(s)
Published by HRMARS (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode