Scandinavian Working Papers in Economics
Working Paper Series,
Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance
No 25/3: Planned behavior with saving and borrowing intentions - how do consumers make ends meet?
Kent Eriksson (), Cecilia Hermansson (), Malin Malmström (), Mark Sanctuary () and Hsu-Chi Weng ()
Additional contact information
Kent Eriksson: Department of Real Estate and Construction Management, Royal Institute of Technology, Postal: Teknikringen 10B, 100 44 Stockholm, Sweden
Cecilia Hermansson: Department of Real Estate and Construction Management, Royal Institute of Technology, Postal: Teknikringen 10B, 100 44 Stockholm, Sweden
Malin Malmström: Luleå University of Technology, Postal: Department of Social Sciences, Technology and Arts, Business Administration and Industrial Engineering, Luleå University of Technology, Luleå, Sweden.
Mark Sanctuary: Division of Accounting, finance and changes, Department of Industrial Economics and Management, Indek School, KTH Royal Institute of Technology, Stockholm, Sweden., Postal: 100 44 Stockholm, Sweden
Hsu-Chi Weng: Department of Real Estate and Construction Management, Royal Institute of Technology, Postal: Teknikringen 10B, 100 44 Stockholm, Sweden
Abstract: The ability to make ends meet has long been a critical issue tied to individuals’ financial well-being. This study proposes and analyzes a structural model to explain the antecedents of making ends meet behavior, grounded in the Theory of Planned Behavior. Data were collected through a survey of bank customers from a large Swedish retail bank (N=14,617). Structural equation modeling results reveal that social learning, financial confidence, and risk attitude collectively shape behavioral intentions to save and borrow. Saving intention positively contributes to the ability to make ends meet, while borrowing intentions decreases this likelihood. Additionally, the study finds that financial information received through social surroundings differently affects saving intention and borrowing intention. To account for demographic and socioeconomic factors, group analysis was conducted across gender and income groups to evaluate the model’s applicability. The results show that the proposed antecedents significantly influence making ends meet behavior across these groups, although the magnitude of effects varies. These findings offer valuable insights for public policy and financial institutions, highlighting the behavioral determinants that can enhance individuals’ ability to achieve financial stability.
Keywords: Theory of Planned Behavior; making ends meet; saving; borrowing; social learning; financial confidence; risk attitude; structural equation modeling
Language: English
27 pages, January 14, 2025
Full text files
record.jsf?pid=diva2:1937710Full text
- Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance
- Home page for this series
Questions (including download problems) about the papers in this series should be directed to Cecilia Hermansson ()
Report other problems with accessing this service to Sune Karlsson ().
RePEc:hhs:kthrec:2025_003This page generated on 2025-09-16 20:14:43.