Three Essays on U.S. Households' Racial Groups Differences: Emergency Funds, Retirement Preparedness, and Financial Resilience

This dissertation examines the determinants of household financial security across three dimensions: emergency expense preparedness, retirement planning engagement, and financial resilience, focusing on racial and ethnic disparities. Using data from the 2022 and 2023 Survey of Household Economic Decisionmaking (SHED) and the 2021 National Financial Capability Study (NFCS), logistic and multinomial regression models identify structural drivers and gaps in financial well-being among U.S. households. The first study investigates the capacity of Black households to manage emergency expenses of $2,000 or more. Results indicate that debt, renting, and poor health significantly reduce the likelihood of being financially prepared, while financial literacy and outright homeownership increase emergency preparedness. Interaction effects reveal that debt and health exert the strongest influences, disproportionately shaping financial security across racial and ethnic groups. The second study explores retirement planning engagement among dual-income households, emphasizing racial and ethnic differences. Findings show that higher levels of financial literacy, positive financial attitudes and behaviors, stronger financial control, and lower financial anxiety are positively associated with retirement preparedness. The third study analyzes determinants of financial resilience. Results demonstrate that financial knowledge and behaviors exert the most decisive influence, followed by economic and financial products and services. In contrast, social capital shows weak or negative associations with financial resilience. Additionally, income and gender emerge as positive predictors, while racial and ethnic differences appear comparatively limited, with only sparse associations observed for Black and Hispanic households.