FINANCIAL EDUCATION. DEFINITIONS, STEREOTYPES AND PROBLEMS

Managing local government units in the 21st century faces new challenged connected to the conditions of knowledge-based economy. Currently the greatest approval is gained by the view which states that the ability to manage knowledge becomes a truly deciding factor for the efficiency of economic processes. In the conditions of globalisa-tion, free capital flow and dynamic development of the capital market and new financial instruments, the LGUs are forced to seek new paradigms for finance management, such as will focus ? to a greatest extent than before ? on diffusing information and knowledge, developing competences of key significance for the LGUs, developing financial knowledge among LGU employees and supporting organisational learning.