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Plastic Money Diffusion and Usage: An Empirical Analysis on Italian Households

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  • Daniele Di Giulio
  • Carlo Milani

Abstract

type="main" xml:lang="en"> This paper tries to contribute to the empirical literature on the European consumers’ plastic money payment habits, using the Bank of Italy data over the 1993–2008 period. In line with other evidence on this topic, mainly focused on the US economy, we find that age, education, non-durable consumptions, regional variation and income are strong predictors of plastic money possession and use in Italy. We also find that households with a higher indebtedness level have a higher propensity to hold credit cards. Furthermore, we find that technological improvements, observed in the last 15 years, do not significantly affect the marginal probabilities to hold and use plastic money conditioned to the main socio-demographic factors.

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  • Daniele Di Giulio & Carlo Milani, 2013. "Plastic Money Diffusion and Usage: An Empirical Analysis on Italian Households," Economic Notes, Banca Monte dei Paschi di Siena SpA, vol. 42(1), pages 47-74, February.
    • Handle: RePEc:bla:ecnote:v:42:y:2013:i:1:p:47-74
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    1. Marcello Pagnini & Paola Rossi & Valerio Vacca & Carlo Milani, 2017. "Lending Technologies and Community Banks: What Are the Effects on Italian Households’ Default Risk During Financial Turmoil?," Economic Notes, Banca Monte dei Paschi di Siena SpA, vol. 46(3), pages 459-490, November.
    2. Costanza Torricelli & Maria Cesira Urzì Brancati & Marco Santantonio, 2016. "Does Homeownership Partly Explain Low Participation in Supplementary Pension Schemes?," Economic Notes, Banca Monte dei Paschi di Siena SpA, vol. 45(2), pages 179-203, July.
    3. Cesar Leandro, Julio & Botelho, Delane, 2022. "Consumer over-indebtedness: A review and future research agenda," Journal of Business Research, Elsevier, vol. 145(C), pages 535-551.

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