Home  Journals  Finance and Credit  2(806) - 2021 February

Patterns of people's financial and consumer behavior due to the COVID-19 pandemic as a trigger of the macroeconomic destabilization

Received: 10 September 2020

Received in revised form: 25 January 2021

Accepted: 8 February 2021

Available online: 26 February 2021

Subject Heading: FINANCIAL CAPITAL

JEL Classification: G02, H31

Pages: 417–429

https://doi.org/10.24891/fc.27.2.417

Subject. The article discusses the financial behavior of households, and financial decisions.
Objectives. I model patterns of households' financial behavior, referring the impact of stress factors on financial decisions.
Methods. The financial behavior was analyzed through approaches proposed by D. Kahneman, A. Tversky and R. Thaler. However, instead of experiments, I rely upon surveys evaluating the financial literacy and behavior of people in the Sverdlovsk Oblast via social networks and conduct my research as a member of the task force of the Regions Center for Financial Literacy at the Ural State University of Economics. I took part in the preparation of questionnaires.
Results. I proposed model patterns of financial behavior and substantiate what determines the behavioral pattern of people in distress. I also conclude that the impact of the COVID-19 on the financial and consumer behavior of people triggers destabilizing effects for the macroeconomic situation.
Conclusions. Financial behavior modeling will help forecast financial and consumer shocks when the macroeconomic situation is destabilized, thus transforming the social policy.

Keywords: behavioral profile modeling, consumer behavior, financial behavior, financial decision, consumer preferences, coronavirus

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