2021. June 23. 15:08

Focus on financial and accounting competences - The Latest 2021/2 Issue of the Public Finance Quarterly has been published

The focus of the new issue is on financial and accounting competencies. We can get to know the development of the financial culture of the Hungarian high school students in the last 10 years, as well as the evolution of past and present financial crises in the light of financial education. In addition, we can learn more about the changes in the digital competence in financial management of the Hungarian population during the epidemic, and an early quality measurement model for business accounts. In our key study, we present the results of the most comprehensive Hungarian merger authorisation process research of the last 30 years. Last but not least we can also read about the position of heterodox economics within economics and the post draw effects of prize bonds’ Investment on bullion returns.


Kovács Péter, Kuruczleki Éva, Rácz Tamás Attila és Lipták Lilla in their study present that the Econventio Association in cooperation with the Faculty of Economics and Business Administration of the University of Szeged have been developing the financial culture of high school students since 2011. The authors summarize the main findings of surveys over the past 10 years, based on a total of 110,000 responses. The findings show high school students to have inadequate and superficial financial knowledge. The results also show that high school students have low financial literacy levels. Financial knowledge is positively related to long-term oriented thinking, the opinion formed about self-sufficiency and self-care, and the general attitude towards finances. In addition to the ever-increasing role of digital financial information sources, high school students draw their financial knowledge mainly from what they see at home, which influences test scores in a negative way, while at the same time financial literacy education has a positive effect on students’ financial literacy. As age and experience increase, the level of financial knowledge increases too, especially in the topics of labour market, credits and loans and insurance, however, the problematic areas remain the same over time: calculating interest, compound interest, the meaning of expressions etc.

Ervin Denich in his work systematizes and summarizes the early quality measurement models of financial statements of enterprises, as these reports can form the basis of decision-making for the users. The author also analyses the financial statements prepared by manufacturing companies acting in Baranya Country, from a quality perspective, applying the DeAngelo (1986) model and the modified Jones model (1995). He examines the quality of the accounts as a change in total influence proportional to all assets between 2016 and 2019. Measured by T-statistics, the total influence in the period under review took on a negative value, which may suggest that the managers of the enterprise make income-reducing profit-oriented decisions.

Csiszárik-Kocsir Ágnes, Varga János és Garai-Fodor Mónika in their analysis, they undertake to highlight on past and present crises, to perceive their effects in the scope of past financial studies. According to the authors, the crises of the past and the recent crises have gone through very identical developmental phases in terms of their development, so it is important to know their development and operation, thus reducing the probability of future crises. The analysis points out that the development of financial literacy has been a challenge not only in Hungary but also worldwide for many years. For this, the results of a questionnaire survey conducted in 2020 will be used, basing it on extensive literature research. The authors find that the relevant studies play a decisive role in shaping the cognitive level of attitudes towards crises, and that crises that are actively addressed by the media and the public have a much greater perceived impact. They also point out that in addition to the influencing power of information flow and information dominance, ethnocentric behaviour is relevant in perceiving the impact of the examined crises: the more the crisis is farther from the consumer and affecting his everyday life the respondent feels less relevant its impact.

Szobonya Réka examines the level of digital competencies related to financial management and its correlations with the level of financial knowledge and the use of electronic financial services in a population survey conducted before the outbreak of the pandemic in the summer of 2019. In addition to financial knowledge, the existence of the tools and competencies necessary for the use of products is essential for navigating the increasingly digital financial market. The author furthermore analyses the possible gender gaps in digital competence segments and as a whole, as well as examines whether the use of digital tools is independent of individuals’ demographics. It is observed that the use of digital financial services has increased during the global COVID epidemic, one of the reasons for which may be the fear of infection, which is not necessarily backed by prudent information. In order to navigate the increasingly digital financial market, in addition to financial knowledge, it is essential to have the tools and competencies needed to use the products. The author points out that digital information acquisition is more typical for the younger generations, with senior respondents not being familiar with the digital space. Older and less educated people are even less confident in digital payment methods or with more sophisticated electronic financial services, as they gradually lack digital tools as well as high-level financial knowledge and competencies. Respondents who benefit from digital services, typically young, higher-educated, average or above-income, living in larger cities, have significantly higher digital competencies.


Rigó Csaba Balázs, Tóth András, Bodócsi András, Buránszki Judit és Dudra Attila present the findings of the most comprehensive research that has ever been conducted in relation to the 30-year-old Hungarian merger authorisation process that has been in place since the political transition in Hungary. The aim of the research is, in particular, to present to the wider professional public the development of the authorisation process for mergers (or concentrations) in Hungary, which started in the last decade, and the resulting public value returns that have been achieved. The most important results to emerge from the research are that – compared to 2010 data – the average procedure time for full-scale merger proceedings in 2020 was reduced by 62%, and the administrative time limit for simplified cases decreased by 82.5%. Furthermore, the research revealed that today one-third of the Hungarian Competition Authority’s market interventions in connection with mergers take a verbal/informal form. This study was conducted using the methodology of data processing and analysing that are at the disposal of the Hungarian Competition Authority.

Eleonora Matouskova in her study examines the position of heterodox economics within economics. She notes that orthodox economics plays a leading role in economic theory and, despite its intellectual contradictions, remains an essential part of the curriculum in higher education. One alternative to orthodox economic theory is heterodoxy, which is based on three theoretical approaches, the left-wing heterodoxy, the new Austrian school of economics, and neoheterodoxy. The aim of the study is to present the differences between orthodox and heterodox economic theory, to find the similarities between the different currents of heterodoxy and to determine the differences between them. According to the author, heterodox economics has a wide range of theoretical traditions, and there are differences not only between left-wing heterodoxy, the new Austrian school of economics, or the new heterodoxy, but also within its individual trends.

Malik Ghulam Shabbir Rabbani és Babar Zaheer Butt conducted their study with the view to test the impact of cash out flow from the Pakistani Prize Bond market to gold and silver markets as a result of the bonds’ draw. The selected data from 2007 to 2019 included returns of gold and silver markets. The data was tested with event study and abnormal returns (AR), average abnormal returns (AAR) and cumulative abnormal returns (CAR) were calculated. For AR, the significant results of the days after the draw show that the short-term availability of cash in the market had an impact on the gold and silver markets, however, the significant results of the days before the draw led to the assumption that experienced investors who knowing the dates of the draws and their impact on yields, they tended to act prematurely in order to reap the positive results. The researchers conclude that the magnitude of the impact of the liquidity generated in the short term is sufficient to encourage the government to (even better) document investments in all markets examined in order to include the source of income in the records and to rationalize taxation of transactions / investments.

The studies published in this issue can be viewed and downloaded at the following link