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Reference budgets for counselling on how to manage private household finance – requirements and patterns based on international experience
Author(s) -
Preuße Heide
Publication year - 2012
Publication title -
international journal of consumer studies
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.775
H-Index - 71
eISSN - 1470-6431
pISSN - 1470-6423
DOI - 10.1111/j.1470-6431.2012.01127.x
Subject(s) - ideal (ethics) , presentation (obstetrics) , process (computing) , term (time) , computer science , accounting , business , political science , medicine , law , quantum mechanics , radiology , operating system , physics
The approach described in the present article intends to create a conceptual design for G erman reference budgets, which can be used for counselling purposes. The introductory presentation of the term ‘reference budget’ and its significance in general is followed by the explanation of budget management in private households in the microeconomic sense. This determines the requirements on budget counselling and the teaching of financial literacy. Moreover, being the ideal type, these represent the examination criteria applied for the assessment of available reference budgets. By a comparison of existing international approaches, it is then investigated whether and in which form reference budgets are used for counselling in various countries. The information thus obtained will conclusively be used to reflect the previous development process of G erman reference budgets. Their state of progress can be compared with the ideal type on the one hand and with internationally adopted concepts on the other hand. In conclusion, some requirements that follow from the ideal‐type view can already be fulfilled with the G erman concept of reference budgets. Others can serve as the distant goal towards which the long‐term process will be geared.