INQUIRY, INVESTIGATION AND IMMERSION

THE EFFECT OF DAILY ALLOWANCE TO THE ACADEMIC PERFORMANCE OF

THE GRADE 12 STUDENTS IN COLEGIO DE MAHARLIKA OF NORTH

COTABATO.INC

Researcher

Pakil, Asra'a P.

February 17, 2023

 Pliner, Freedman, Abramovitch, and Darke (1996) carried out several studies

comparing children who received an allowance to those who did not. They discovered

that having an allowance improved their ability to use credit and appropriately price

goods—all skills relevant to spending money. The authors argue, however, that the

allowance system only functions when it fosters trust and expectation, which calls for

the youngster to acquire financial literacy and experience. An allowance system seems

to require parental commitment and involvement if it is to have an impact on children's

monetary views and behaviors.

Miller and Yung (1990) found little evidence in the American teenagers perceive

pocket money as an educational opportunity, fostering independence in financial

decision-making and money management. They came to the conclusion that the

importance of allowances for teenagers is not the actual receiving of money, but rather

how the circumstances of receipt are assessed, the scope of labor commitments, and

financial restrictions on the amount, usage, and withholding of revenue. As a result,

parents' ability to economically socialize their children may be largely dependent on the

allowance policies they establish and the teenagers' acceptance and knowledge of

these policies.

In Australia, Warton and Goodnow (1995) discovered that children viewed home duties

more as a chance to earn pocket money than adults, who regarded them as a way to

learn that everyone must contribute fairly, how to be helpful, and how to carry out tasks

as assigned.
 Mortimer, Dennehy, Lee and Finch (1994) studied 1,000 ninth grade students and

found no significant effects of allowances on children’s savings, but did find that

students who reported receiving regular allowance in the ninth grade were less likely

than other students to view work generally as a source of intrinsic satisfaction. They

warn that parents and financial counselors need to be careful about undermining the

development of work values through allowance practices.

The American researchers Marshall and Magruder (1960) discovered this

relationship between children's financial literacy and the extensiveness of their financial

experience fifty years ago. However, they did not discover that giving children an

allowance increased their financial literacy.

It has been proposed that the economic socialization encountered by students in

higher education engenders tolerant attitudes towards debt and cynical attitudes

towards financial institutions which may have longer-term consequences ( Scott &

Lewis, 2000).

Giving allowances along with budget negotiations is the optimum allocation

strategy, according to Lassarre (1996). They come to the conclusion that the ability it

provides for family discussions about money concerns is the mechanism that makes an

allowance system effective.

Other investigations have shown that granting allowances is a practice less common in

the disadvantaged homes. Within families that do give allowances, the amount of family

income generally was not found to differentiate the practices of families. Although the

relationship between income and allowances requires more investigation, the analysis
of allowance practices per se is most effectively pursued in families who are able to

provide beyond the bare necessities of life (Furnham & Thomas, 1984).

Jahoda (1983) has been able to show for example, that African children acquire the

concept of profit more rapidly than European children, reversing the usual

cognitive/developmental comparisons between first and third world countries.

Feather (1991) found that pocket money allocation was related to the perceived need

among parents to foster a strong and harmonious family unit.

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