THE EFFECTIVENESS OF FINANCIAL CONTENT ON YOUTUBE TOWARDS FINANCIAL LITERACY, FINANCIAL BEHAVIOR, AND HOW IT INFLUENCES GENERATION Z FINANCIAL DECISION IN INDONESIA DURING PANDEMIC

Abstract

The use of digital technology like social media will make it easier for someone to access financial products and services. Youtube is currently the most widely used video-based social media network worldwide and in Indonesia. The purpose of this research is to find out whether financial content on Youtube will be effective (using 3 variables, namely entertainment value, information value, and source credibility) in influencing the viewer's financial literacy, financial behavior, and financial decision of Generation Z in Indonesia during a pandemic. The researcher set 600 respondents of Generation Z from various islands in Indonesia who have watched Youtube content about finance in the last 2 months. According to this study, 27.67% have a high level of financial literacy, 32.83.39% have a moderate level of financial literacy, and 39.50% have a low level of financial literacy. The average score of financial literacy is 68.23% which means moderate financial literacy. There are also differences in financial literacy by gender, with male respondents having a higher level of financial literacy than female respondents. Respondents who come from the island of Java have a higher financial literacy level than outside the island of Java. In addition, the higher the monthly income, previous level of education, and the amount of financial content watched on YouTube, the higher the level of financial literacy. According to the PLS-SEM analysis, generation Z' financial literacy has a positive and significant effect on their financial behavior and financial decision. Likewise, financial behavior has a positive and significant effect on financial decisions. Additionally, the researcher discovered that information value has a positive and significant effect on financial literacy. Then, entertainment value has a positive and significant effect on financial behavior. Last, source credibility does not significant effect on financial literacy or financial behavior.