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Questions in Behavioural Economics - Credit Cards and Spending
Why do people often spend more when they swipe a credit card than when they use cash? Arjun Bali offers a view.
It’s 2015 and there are two queues of people waiting to buy tickets for an FA Cup final. The longer queue is for those who can pay by cash only, the other is for those who have gained the right to hold a credit card through steady saving and responsible consumption.
