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Money might make the world go ‘round, as the saying goes, but people most certainly don’t approach finance in the same way around the globe. It’s a good idea to think about whether the way you are teaching your kids how to handle funds acknowledges how the people of different nations address the topic.

A Quick Look At Money Around the World

In the United States, a major theme surrounding money is “buy for one,” meaning that people have no problem buying something separate for each member or age group of their family. At the grocery store, for example, they might buy particular foods for the adults and others for the kids. They typically prefer new over used, although many people gladly go second hand when they have to, and bigger or more almost always is seen as better. In France, this would be sheer ridiculousness, and many French people don’t even bother with credit cards, relying on debit cards instead as a simple method of spending control. In Mexico, most people work more hours and earn less than those in countries within the Organization for Economic Cooperation and Development, yet more Mexicans (about 5 percent more) say they are satisfied with their lives. It’s also a little more acceptable for adult kids to stay at home for a while, because the traditional Hispanic and Latino culture supports close family and community networks. The average European income is as much as 20 times what it is in most regions of Africa, with much of the population living on $200 USD a year or less—economists generally agree that billions in aid has done little to help, largely because of misuse of the resources. In these areas, people are struggling to find solutions to getting basics like shelter and food, and keeping up with the Joneses is the least of their worries.

Why Care?

The general tendency among parents when they try to teach kids about money is to adopt the set of financial views and practices that is prevalent in their given culture. This is not all bad, because some degree of standardization in a given area is necessary for transactions and investments to be efficient. Even so, it is problematic in that it does not teach your child to have a broad, global view of money, which is something that is increasingly necessary as countries engage in increased trade and technology makes international travel and purchases easier. A world perspective of finance also increases awareness of social problems that connect to income and spending, such as unemployment or insufficient education. With this awareness, your child might develop a stronger drive not only to work hard for himself, but also to be monetarily and emotionally sympathetic to others who need financial help.

Taking a Global Perspective

As a parent, you’ve got plenty of options for making your financial lessons a little more worldly. For example, instead of just using American dollars, have them calculate a transaction in a different currency, such as the Euro. You can also try experiments such as cooking traditional meals from different countries and comparing costs, or trying to come up with a meal plan for the week based on the average income of another nation. Charts of different techniques or prices around the world are also fun for kids to make. Along with these activities, you can fall back on a single unfinished statement: “We [they] do it this way because…” By encouraging your child to complete the statement based on the financial concept you’re teaching, you’ll force him to think more critically about money in a cultural context. If you’re really ambitious, use “Something that could work better is…”, too.

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