Explaining adoption and use of payment instruments by US consumers

• 成果类型: Article
• 署名作者: Koulayev, Sergei; Rysman, Marc; Schuh, Scott; Stavins, Joanna
• 署名单位: Boston University; Federal Reserve System - USA; Federal Reserve Bank - Boston
• 刊物名称: RAND JOURNAL OF ECONOMICS
• ISSN/ISSBN: 0741-6261
• DOI: 10.1111/1756-2171.12129
• 发表日期: 2016
• 页码: 293-325
• 关键词: demand; ECONOMICS; DYNAMICS; models; CHOICE

摘要

Motivated by recent policy intervention into payments markets, we develop and estimate a structural model of adoption and use of payment instruments by U.S. consumers. Our structural model differentiates between the adoption and use of payment instruments. We evaluate substitution among payment instruments and welfare implications. Cash is the most significant substitute to debit cards in retail settings, whereas checks are the most significant in bill-pay settings. Furthermore, low income consumers lose proportionally more than high income consumers when debit cards become more expensive, whereas the reverse is true when credit cards do.