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The EU directive 2005/06/EC on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing tries to prevent such crime by requiring banks, real estate agents and many more companies to investigate and report usage of cash in excess of €15,000.
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However, it has been recognized that handling dual processes such as the development of cash usage and card usage— for a long period would be expensive for both the payments industry, and its customers (Tumpel-Gugerell 2009; citealtEuropean12009
Similarly, average ATM transactions are computed using the reciprocal of the same weighting factor in order to show the likelihood of cash usage in sectors where cash is expected, per se, to show a higher usage.16 The sectors where cards are found to be used to a significant larger extent than cash17 are hotels, restaurants & travel agencies; department stores and boutiques; and entertainment.
I also see the potential for credit card obsolescence by 2020 and – hold onto your hats – the slow reduction of cash usage by 2025-2030.
Consumer spending may be down but Visa still charged ahead of expectations, due to its Q3 expansion of its global business and shoppers' increasing usage of debit cards over cash.
Additionally, a fourth specification controls for the intensity of cash (or alternative, cards) usage across sectors.
Short of cash?
PL: A canoe of cash.
Schools are starved of cash.
In terms of cash, certainly.
And lots of cash.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com