Work

Pandemics and Household Cash Withdrawals: Evidence From Transaction Data on Hundreds of Millions of Bank Cards

Year: 2025

Type: article

Abstract: ABSTRACT Relying on data from 165 million bank cards in China, we find that people use less cash for transactions after the outbreak of COVID‐19. The effect is more pronounced in cities with a larger elderly population, lower education levels, more advanced digital infrastructure, and greater COVID‐19 exposure. Cash usage remains low even after COVID‐19 is no longer a public concern. Further analysis suggests that policies promoting noncash payment methods only partially explain this trend. Overall, our study suggests that COVID‐19 has a long‐term impact on household payment habits.

Source: Financial Management

DOI: 10.1111/fima.12500

Authors: Haohan Ren, Kemin Wang, Bohui Zhang, Fan Zhang

Institutions: Fudan University, Chinese University of Hong Kong, Shenzhen, Jinan University, University of Jinan

Language: English

Topic: COVID-19 Pandemic Impacts

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDG: Good health and well-being

Open Access status: bronze

Funder: National Natural Science Foundation of China