Applying Generative Artificial Intelligence in Financial Literacy Research: A Demonstration.

This article focuses on the application of generative artificial intelligence (GAI), specifically Chat Generative Pre-Trained Transformer (ChatGPT), in analyzing consumer financial literacy using data from the National Financial Capability Study (NFCS). It demonstrates how ChatGPT can assist in data preparation, statistical analysis, and interpretation of both subjective (self-assessed) and objective (knowledge-based) financial literacy measures across multiple NFCS waves from 2009 to 2021. Findings reveal a persistent gap where subjective financial literacy remains stable or slightly increases, while objective financial literacy declines over time, highlighting potential overconfidence or other factors influencing self-perception. The article emphasizes the importance of human judgment in guiding AI use and cautions against overreliance due to risks such as bias and reproducibility challenges.