Financial Identity Development in Chinese Emerging Adults: A Positioning Analysis

Financial identity is a major developmental task for emerging adults. Little is known about how parental and cultural master narratives influence this important developmental process. A narrative approach to identity emphasizes the value of analyzing how individuals construct their identities through their stories in relation to others, which makes it possible to examine the cultural developmental processes of financial identity microgenetically and ontogenetically. The goal of this exploratory case study is to understand the ways in which meaning-making in financial identity development unfolds during emerging adulthood. A small sample of Chinese emerging adults participated in semi-structured interviews regarding personal finance. A positioning analysis was conducted on the participants’ narratives to illustrate how they constantly navigate their financial identity in relation to their parents during emerging adulthood. Findings illustrated that these emerging adults constructed their financial identity through conflict with their parents and critical moments. This developmental process involved an ongoing negotiation between the individual and cultural processes. The study provided a nuanced understanding of individual pathways towards financial identity in these cases, and suggested interventions aimed at fostering economic well-being and supporting a healthy transition to adulthood.