Cash users withdraw money from automated teller machines (ATMs) to finance cash payments. However, most ATMs in the United States dispense only multiples of $20 bills. The paper first constructs a consumer's optimization model showing how the precise denomination of dollar bills available from...

The study of consumer payment choice at the point of sale involves a classification of payment methods such as cash, credit cards, debit cards, prepaid cards, paper checks, and electronic payments withdrawn from consumers' bank accounts. I describe alternative methods for studying consumer...

Using a representative sample of the U.S. adult population, we analyze which payment methods consumers use to pay other consumers (p2p) and how these choices depend on transaction and demographic characteristics. We additionally construct a random matching model of consumers with diverse...