Psychology of money in the indonesian context: A critical review of morgan housel’s the psychology of money

University of Jambi, Indonesia

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Abstract

Financial literacy in Indonesia remains low, despite increasing access to digital financial services and widespread consumerism. Amid these dynamics, Morgan Housel’s globally acclaimed book, The Psychology of Money, has gained traction as a popular reference for personal finance. However, whether its ideas, predominantly shaped by Western individualistic contexts, can be meaningfully applied in Indonesia warrants critical examination. This study presents a critical review of Housel’s book using a descriptive qualitative approach through critical content analysis. The analysis reveals that while the book holds educational value and raises financial awareness, much of its content is framed through an individualistic lens that inadequately addresses structural economic inequality, local cultural norms, and the generally low level of financial literacy in Indonesia. This study recommends that the book be used as a reflective resource in economic education, incorporating a contextual and critical approach that more comprehensively considers the social realities of Indonesian society.