<abstract xmlns="http://www.w3.org/1999/xhtml"><p>This study investigates the relationship between cashless payments and economic growth in selected OECD countries. Using annual data from 2007 to 2016, our results indicate that: Firstly, cashless payment stimulates economic growth in OECD countries. Specifically, the growth-enhancing effect is found in debit card payment while credit card, e-money and cheque payment have no impact on economic growth; Secondly, the positive relationship between economic growth and debit card payment is robust after controlling for the effect of endogeneity, omitted variable bias and outliers. Based on the findings, this study offers some imperative policy recommendations.</p></abstract>

This study investigates the relationship between cashless payments and economic growth in selected OECD countries. Using annual data from 2007 to 2016, our results indicate that: Firstly, cashless payment stimulates economic growth in OECD countries. Specifically, the growth-enhancing effect is found in debit card payment while credit card, e-money and cheque payment have no impact on economic growth; Secondly, the positive relationship between economic growth and debit card payment is robust after controlling for the effect of endogeneity, omitted variable bias and outliers. Based on the findings, this study offers some imperative policy recommendations.

Cashless Payments and Economic Growth: Evidence from Selected OECD Countries

Journal of Central Banking Theory and Practice

This work is licensed under the Creative Commons Attribution 4.0 Public License.

{"article-title":"Cashless Payments and Economic Growth: Evidence from Selected OECD Countries"}

This study investigates the relationship between cashless payments and economic growth in selected OECD countries. Using annual data from 2007 to 2016, our...

Cashless Payments and Economic Growth: Evidence from Selected OECD Countries

Published Online: Jul 16, 2020

Page range: 189 - 213

DOI: https://doi.org/10.2478/jcbtp-2020-0028

Keywords
Cashless payments, Economic growth, Organisation for Economic Co-operation and Development (OECD), debit card payment

© 2020 Teck-Lee Wong et al., published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 Public License.

Cashless Payments and Economic Growth: Evidence from Selected OECD Countries

Published Online: Jul 16, 2020

Page range: 189 - 213

DOI: https://doi.org/10.2478/jcbtp-2020-0028

KeywordsCashless payments, Economic growth, Organisation for Economic Co-operation and Development (OECD), debit card payment

© 2020 Teck-Lee Wong et al., published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 Public License.

Keywords
Cashless payments, Economic growth, Organisation for Economic Co-operation and Development (OECD), debit card payment