IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i13p7337-d585978.html
   My bibliography  Save this article

The Relationship between Decision and Payment Habits and Its Relation with Wasting—Evidence from Hungary

Author

Listed:
  • Zsófia Pintér

    (Institute of Economics, Hungarian University of Agriculture and Life Sciences, H-7400 Kaposvar, Hungary)

  • Katalin Tóth

    (Institute of Economics, Hungarian University of Agriculture and Life Sciences, H-7400 Kaposvar, Hungary)

  • Tibor Bareith

    (Institute for Business Regulation and Information Management, Hungarian University of Agriculture and Life Sciences, H-7400 Kaposvar, Hungary)

  • József Varga

    (Institute for Business Regulation and Information Management, Hungarian University of Agriculture and Life Sciences, H-7400 Kaposvar, Hungary
    Department of Finance, Corvinus University of Budapest, H-1093 Budapest, Hungary)

Abstract

The aim of the study is to explore the relationship between overspending and the method of payment, to highlight its causes. The non-representative survey was conducted between 2020 and 2021 in Hungary (n = 499) using the snowball sampling of data collection. They examined the relationship between age, education, place of residence, and payment methods, and analyzed the impact of internal and external factors on cash consumption and sustainability. The results showed that the use of cash as a method of payment is characteristic with advancing age, and higher education has a higher willingness to pay electronically according to the examined sample, and the existence of electronic access is not related to the size of the settlement. It can be stated that the majority of respondents have no choice when choosing a payment method. The answers reflect confidence in electronic payment solutions (a value of 2.21 on a six-point scale). Each group believes that they can consciously plan their budget (alternative budget). With proper communication and awareness of these influencing factors, financial awareness can be strengthened.

Suggested Citation

  • Zsófia Pintér & Katalin Tóth & Tibor Bareith & József Varga, 2021. "The Relationship between Decision and Payment Habits and Its Relation with Wasting—Evidence from Hungary," Sustainability, MDPI, vol. 13(13), pages 1-13, June.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:13:p:7337-:d:585978
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/13/7337/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/13/13/7337/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Krivosheya, Egor, 2020. "The role of financial innovations in consumer behavior in the Russian retail payments market," Technological Forecasting and Social Change, Elsevier, vol. 161(C).
    2. Neulinger, Ágnes & Radó, Márta, 2015. "Családi életciklusok szerint eltérő fogyasztási minták elemzése [Analysis of differing consumption patterns according to household life cycles]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(4), pages 415-437.
    3. Mark N. Harris & Joanne Loundes & Elizabeth Webster, 2002. "Determinants of Household Saving in Australia," The Economic Record, The Economic Society of Australia, vol. 78(241), pages 207-223, June.
    4. repec:bla:ecorec:v:78:y:2002:i:241:p:207-23 is not listed on IDEAS
    5. Greenacre, Luke & Akbar, Skye, 2019. "The impact of payment method on shopping behaviour among low income consumers," Journal of Retailing and Consumer Services, Elsevier, vol. 47(C), pages 87-93.
    6. Drazen Prelec & George Loewenstein, 1998. "The Red and the Black: Mental Accounting of Savings and Debt," Marketing Science, INFORMS, vol. 17(1), pages 4-28.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Boden, Joe & Maier, Erik & Wilken, Robert, 2020. "The effect of credit card versus mobile payment on convenience and consumers’ willingness to pay," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    2. Jain, Nikunj Kumar & Gajjar, Hasmukh & Shah, Bhavin J., 2021. "Electronic logistics service quality and repurchase intention in e-tailing: Catalytic role of shopping satisfaction, payment options, gender and returning experience," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    3. Liu, Yunxin & Dewitte, Siegfried, 2021. "A replication study of the credit card effect on spending behavior and an extension to mobile payments," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    4. Johannes Abeler & Felix Marklein, 2017. "Fungibility, Labels, and Consumption," Journal of the European Economic Association, European Economic Association, vol. 15(1), pages 99-127.
    5. Shinhye Kim & Alberto Sa Vinhas & U.N. Umesh, 2022. "Prepayment and future cross-buying: an exploratory analysis," Marketing Letters, Springer, vol. 33(3), pages 415-439, September.
    6. Yizhao Jiang, 2022. "The Influence of Payment Method: Do Consumers Pay More with Mobile Payment?," Papers 2210.14631, arXiv.org.
    7. Felici, Marco & Kenny, Geoff & Friz, Roberta, 2023. "Consumer savings behaviour at low and negative interest rates," European Economic Review, Elsevier, vol. 157(C).
    8. Mette, Frederike Monika Budiner & de Matos, Celso Augusto & Rohden, Simoni F. & Ponchio, Mateus Canniatti, 2019. "Explanatory mechanisms of the decision to buy on credit: The role of materialism, impulsivity and financial knowledge," Journal of Behavioral and Experimental Finance, Elsevier, vol. 21(C), pages 15-21.
    9. White, Tiffany Barnett & Novak, Thomas P. & Hoffman, Donna L., 2014. "No Strings Attached: When Giving It Away Versus Making Them Pay Reduces Consumer Information Disclosure," Journal of Interactive Marketing, Elsevier, vol. 28(3), pages 184-195.
    10. Jae‐Do Song, 2023. "Excessive banking preference in emissions trading," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(1), pages 448-458, January.
    11. Goswami, Indranil & Urminsky, Oleg, 2021. "Don’t fear the meter: How longer time limits bias managers to prefer hiring with flat fee compensation," Organizational Behavior and Human Decision Processes, Elsevier, vol. 162(C), pages 42-58.
    12. He, Haonan & Wang, Shanyong, 2019. "Cost-benefit associations in consumer inventory problem with uncertain benefit," Journal of Retailing and Consumer Services, Elsevier, vol. 51(C), pages 271-284.
    13. Erica Field, 2002. "Educational Debt Burden and Career Choice: Evidence from a Financial Aid Experiment at NYU Law School," Working Papers 848, Princeton University, Department of Economics, Industrial Relations Section..
    14. Minnema, Alec & Bijmolt, Tammo H.A. & Gensler, Sonja & Wiesel, Thorsten, 2016. "To Keep or Not to Keep: Effects of Online Customer Reviews on Product Returns," Journal of Retailing, Elsevier, vol. 92(3), pages 253-267.
    15. Ma, Qingguo & He, Yijin & Tan, Yulin & Cheng, Lu & Wang, Manlin, 2024. "Unveiling the Impact of Payment Methods on Consumer Behavior: Insights and Future Directions," OSF Preprints 3fphk, Center for Open Science.
    16. Lola Hernandez & Nicole Jonker & Anneke Kosse, 2017. "Cash versus Debit Card: The Role of Budget Control," Journal of Consumer Affairs, Wiley Blackwell, vol. 51(1), pages 91-112, March.
    17. Malmendier, Ulrike M. & Della Vigna, Stefano, 2002. "Overestimating Self-Control: Evidence from the Health Club Industry," Research Papers 1880, Stanford University, Graduate School of Business.
    18. Clovis Kerdrain & Isabell Koske & Isabelle Wanner, 2011. "Current Account Imbalances: can Structural Reforms Help to Reduce Them?," OECD Journal: Economic Studies, OECD Publishing, vol. 2011(1), pages 1-44.
    19. Sutan, Angela & Grolleau, Gilles & Mateu, Guillermo & Vranceanu, Radu, 2018. "“Facta non verba”: An experiment on pledging and giving," Journal of Economic Psychology, Elsevier, vol. 65(C), pages 1-15.
    20. Olafsson, Arna & Gathergood, John, 2020. "The Co-holding Puzzle: New Evidence from Transaction-Level Data," CEPR Discussion Papers 14799, C.E.P.R. Discussion Papers.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:13:p:7337-:d:585978. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.