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Field
Abstract
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Before
Cashless purchase is promoted for convenience, safety, efficiency and transparency. E-Wallet usage is supposed to promote cashless purchase decision. To the best of our knowledge, no study explored the causal impact of E-Wallet usage on cashless purchase decision. To address the self-selection bias, this study applies Randomized Encouragement Design (RED), in which the assistance to install an E-Wallet app acts as an instrumental variable. The assistance to install an E-Wallet app acts as an encouragement to increase usage of App-based mobile banking. The study explores whether usage of E-Wallet app on cashless purchase decision. The study considers Khulna, third biggest city in Bangladesh, as the study area. We focus on four outcomes: online purchase amount last month, online food purchase last month, online non-food purchase last month and online purchase as a per cent of total expenditure. The units of analysis are 201 low to middle income people living in Khulna city. Income based heterogeneity test will be conducted. This study has policy implications to promote E-Wallet app usage to accelerate cashless purchase.
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After
Cashless purchase is promoted for convenience, safety, efficiency and transparency. E-Wallet usage is supposed to promote cashless purchase decision. To the best of our knowledge, no study explored the causal impact of E-Wallet usage on cashless purchase decision. To address the self-selection bias, this study applies Randomized Encouragement Design (RED), in which the assistance to install an E-Wallet app acts as an instrumental variable. The assistance to install an E-Wallet app acts as an encouragement to increase usage of App-based mobile banking. The study explores whether usage of E-Wallet app on cashless purchase decision. The study considers Khulna, third biggest city in Bangladesh, as the study area. We focus on four outcomes: online purchase amount last month, online food purchase last month, online non-food purchase last month and online purchase as a per cent of total expenditure. The units of analysis are 202 low to middle income people living in Khulna city. Income based heterogeneity test will be conducted. This study has policy implications to promote E-Wallet app usage to accelerate cashless purchase.
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