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Do Cashless Payments Stimulate Spending? Evidence from QR Code Payment Campaigns and Bank Transaction Data in Japan

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  • Kozo UEDA
  • Hinata Sasaki

Abstract

This study examines whether cashless spending stimulates spending through subdued salience. We use bank transaction data and leverage events related to Quick Response (QR) code campaign as an instrumental variable. Our estimation offers supporting evidence for subdued salience, demonstrating that an increase in QR code payments prompted by campaigns leads to an approximately samesized increase in other spending. However, this e ect is transitory. Nevertheless, the e ect of QR code campaigns on QR usage exerts a lasting impact over time, increasing the fraction of QR code users by a minimum of 1%.

Suggested Citation

  • Kozo UEDA & Hinata Sasaki, 2024. "Do Cashless Payments Stimulate Spending? Evidence from QR Code Payment Campaigns and Bank Transaction Data in Japan," CIGS Working Paper Series 24-008E, The Canon Institute for Global Studies.
    • Handle: RePEc:cnn:wpaper:24-008e
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    References listed on IDEAS

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    5. Gopalkrishnan R. Iyer & Markus Blut & Sarah Hong Xiao & Dhruv Grewal, 2020. "Impulse buying: a meta-analytic review," Journal of the Academy of Marketing Science, Springer, vol. 48(3), pages 384-404, May.
    6. Òscar Jordà, 2005. "Estimation and Inference of Impulse Responses by Local Projections," American Economic Review, American Economic Association, vol. 95(1), pages 161-182, March.
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