Friday, 11 November 2016

With a Flurry of New Ways to Pay, Cash Hangs On - Real Time Economics - WSJ

xxx

A new Federal Reserve study finds while consumer habits around cash are changing, its popularity remains high

From With a Flurry of New Ways to Pay, Cash Hangs On - Real Time Economics - WSJ

I’m not sure I would say “high”. What the Fed study actually shows is that cash was 40% of all transactions in 2012, 32% of all transactions now. So it’s fallen from being used for less than half of all transactions to less than a third. That doesn’t sound like “hanging on” to be honest. What was most interesting, to my mind, was that fact that the use of cash for P2P transactions has gone up despite the advance of Venmo. My guess is that cash displaced checks.

No comments:

Post a Comment