Economists Have Failed to Build Public Trust
Low public confidence in economic experts may be hindering the effectiveness of financial education efforts.
Updated on Oct. 3, 2026 in Financial Planning
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Economist Justin Wolfers argued that financial education initiatives often fail because the public lacks trust in economic expertise. He suggested that experts must move away from jargon and avoid posing as stock-picking authorities to better connect with everyday financial concerns.
Why it matters
Financial literacy remains limited among the public, which Wolfers attributes to a deep-seated skepticism toward economists. If people do not trust the sources of financial guidance, they are less likely to adopt better money management behaviors.
A 2017 YouGov survey found that only 25% of Britons trust economists, trailing behind weather forecasters at 51% and nutritionists at 39%. Only 5% of those surveyed expressed trust in politicians.
The players
Justin Wolfers
He is an economist known for his analysis on the intersection of public policy, social trends, and financial behavior.
Financial Industry Regulatory Authority
This is an independent, non-governmental organization that oversees member brokerage firms and conducts research on investor education.
YouGov
It is a global public opinion and data company that specializes in polling and consumer research.
The details
Data shows that while 69% of Americans understand basic interest growth, only 41% correctly identify that single stocks are riskier than mutual funds. Wolfers contends that economists should stop trying to act like gurus and start sharing relatable stories about money to repair their tarnished public image.
Timeline
A YouGov survey gauging trust in professional groups was conducted in 2017.
Financial literacy data from the Financial Industry Regulatory Authority was released in 2024.
Market Dynamics
This lack of confidence mirrors the findings of the 2017 YouGov survey on public trust in professions, which established a historical baseline for low credibility among economists. This ongoing trust deficit suggests that financial communication is trapped in a cycle of skepticism that predates recent economic volatility.
Readers may find it difficult to distinguish between high-quality financial advice and mere speculation due to the lack of trust in experts. This skepticism requires individuals to exercise extra caution and prioritize verified educational resources when making portfolio or savings decisions.
The takeaway
Building financial security requires skepticism toward pundits who claim to predict stock market movements. Individuals should seek out clear, jargon-free explanations to ensure their investment strategies are based on sound principles rather than speculative guru advice.
Further reading
For broader insights on managing personal wealth, visit the Financial Planning section.
Source note: This article includes information reported by Benzinga.
Live Poll
Do you generally trust the advice provided by economists regarding your personal financial decisions?
