[danielbarla]

While I certainly had the _concept_ of compound interest taught to me at some abstract mathematical level, the application to real life practical financial scenarios was definitely not done [1]. Economics as a whole was an optional subject.

I think schools and curriculums could do a whole lot better in representing this important facet of life. More broadly, I often feel that "applying all that math you've learned to real things" is a subject that could be taught.

[1] Seriously, having applied math questions like "Johnny earns X per year, with a cost of living of Y. Assuming inflation of Z and average yearly returns of R, what percentage should he be putting away, starting at age 25, so that at age 50 he essentially gets the equivalent of his own salary each month?" would likely cause some lightbulbs to go off in the kids' heads.

[triceratops]

> the application to real life practical financial scenarios was definitely not done

Of course it was. You can't teach compound interest without referring to money or banks. That's the whole point of it. Otherwise it's just multiplication.

[sebastiennight]

It... is just multiplication. And can't talk about GP's experience, but I can tell you that going through scientific schooling and engineering schools in the French system you'll learn exactly how to calculate the math and never have a single example such as mentioned above.

We're here to build bridges, not count stashes of money after all!

You'd probably get those if you went through "economic studies" (which is a different track and where math includes a lot more statistics even in high school).

[TeMPOraL]

Not only you can, I still don't see how the financial "magic of compounding" isn't bullshit for vast majority of people - you can't really make significant money this way in reasonable time spans (5 years rather than 50).

[Ekaros]

I wonder where it will go when Y>X. Maybe open question what is the solution. A) Violent revolution and Johnny taking over means of production. B) Death.

[array_key_first]

The problem is that the financial industry is, like, capitalism-maxxing.

How do you teach "financial literacy" in a practical way without referring to specific products, offerings, or corporations? You really can't.

If you talk to people about investing or retirement, they're gonna talk about Fidelity, Vanguard, whatever. Which is very practical. But I'm not so sure we need our government and education system to basically directly endorse these corporations.