We develop a model to explain a puzzling trend in cash demand in recent years: the value of bank notes in circulation … as a percentage of GDP has remained stable despite decreasing cash usage at points of sale owing to competition from … alternative means of payment such as credit cards. The main feature of the model is that cash circulates between economic …

' use of cash relative to debit and credit cards. The authors find that consumers who perceive debit cards and credit cards … to be more convenient and less risky than cash use them more frequently. Even at low levels of perceived risk, consumers … shift substantially away from cash and towards alternative payment methods. However, the authors' results reveal that there …

In the United States prior to 1863 each bank issued its own distinct notes. E-money shares many of the characteristics … of these bank notes. This paper describes some lessons relevant to e-money from the U.S. experience with state bank notes … functioning of the system. The U.S. experience with state bank notes suggests that a privately-issued e-money system can operate …

We measure consumers’ use of cash by harmonizing payment diary surveys from seven countries. The seven diary surveys … United States). Our paper finds cross-country differences - for example, the level of cash usage differs across countries …. Cash has not disappeared as a payment instrument, especially for low-value transactions. We also find that the use of cash …

bank issued its own notes. E-money shares many of the characteristics of these bank notes. This paper describes some … lessons relevant to e-money from the U.S. experience with national bank notes. It examines historical evidence on how well the … bank notes suggests that a privately-issued e-money system can operate efficiently but will require government intervention …

In this paper two shocks are analysed using Canadian data: a money-supply shock ("M-shock") and an interest-rate shock …

instrument attributes, and transaction features on the probability of using cash, debit card, or credit card at the point … questionnaire and a three-day shopping diary. We find that cash is still used intensively at low value transactions due to speed …