Financial Resilience as a Behavioral Response to Economic Uncertainty Exploring Individual Financial Decision Making
DOI:
https://doi.org/10.59890/ijmbi.v4i4.30Keywords:
Economic Uncertainty, Financial Resilience, Financial Decision Making, Budgeting Behavior, Behavioral FinanceAbstract
Economic uncertainty increasingly influences personal financial behavior, making financial resilience essential for maintaining household stability. This study examines the effect of perceived economic uncertainty on financial resilience through individual financial decision making. A quantitative explanatory design used a cross-sectional survey of 150 income-earning individuals selected through purposive sampling. Data were collected through structured questionnaires and analyzed using partial least squares structural equation modeling. The results show that economic uncertainty encourages cautious financial decisions, particularly budgeting, emergency saving, debt control, and expenditure adjustment, while these decisions significantly strengthen financial resilience. Individual financial decision making also mediates this relationship. These findings extend behavioral financial management perspectives and emphasize the importance of adaptive decision-making capabilities in improving individual preparedness for economic shocks.
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