Table 1.

Controlling for general cognitive skills and economic literacy

Variables	Fraction of time in delinquency		Foreclosure initiated (=1)
NA index	−0.047**	−0.051***	−0.065**	−0.061**
	(0.019)	(0.019)	(0.027)	(0.028)
Verbal IQ measure	−0.001	−0.002	−0.006**	−0.006**
	(0.002)	(0.002)	(0.003)	(0.003)
Savings scenario correct (DV)		0.002		−0.051
		(0.036)		(0.058)
Inflation scenario correct (DV)		0.006		−0.016
		(0.033)		(0.047)
Reaction time in NA questions		−0.003		−0.001
		(0.002)		(0.003)
Control variables?	Yes	Yes	Yes	Yes
	0.262	0.268
F test of : All coefficients are equal to zero	P < 0.01	P < 0.01	P < 0.01	P < 0.01
N	322	322	318	318

Regression coefficients are reported in the two columns under “Fraction of time in delinquency.” Marginal effects from probit models are reported in the two columns under “Foreclosure initiated (=1).” Robust SEs are shown in parentheses in these columns. All specifications contain the full set of control variables as in Fig. 2. “DV” indicates variables that are dichotomous. Level of significance: *P < 0.1, **P < 0.05, ***P < 0.01.