Calendrier du 03 mai 2017
Development Economics Seminar
Du 03/05/2017 de 16:30 à 18:00
Salle R2-01, Campus Jourdan, 48 boulevard Jourdan, 75014 Paris
BACHAS Pierre (ESSEC, EU Tax Observatory )
Banking on Trust: How Debit Cards Enable the Poor to Save More
écrit avec Paul Gertler, Sean Higgins & Enrique Seira
Abstract
Trust is an essential element of economic transactions, but trust in financial institutions is
especially low among the poor. Debit cards provide not only easier access to savings, but also
a mechanism to monitor bank account balances and thereby build trust. We study a natural
experiment in which debit cards are rolled out to beneficiaries of a Mexican conditional cash
transfer program whose benefits are directly deposited into a savings account. Using adminis-
trative data on over 340,000 bank accounts over four years, we find that prior to receiving a
debit card, beneficiaries do not save in these accounts. After receiving a debit card, beneficiaries do not increase their savings for the first 9_12 months, but after this their savings increase over time. During this initial period, however, they use the card to check their balances frequently; the number of checks decreases over time as their reported trust in the bank increases. Using household survey panel data, we find the observed effect represents an increase in overall savings. After 1_2 years, the debit card causes the savings rate to increase by 3_5 percent of income.
Economic History Seminar
Du 03/05/2017 de 12:30 à 14:00
Salle R2-01, Campus Jourdan, 48 boulevard Jourdan, 75014 Paris
RAFF Dan (Wharton)
The Book Trade in America: Some Business and Economic History of Twentieth-Century American Culture I. Preliminary Matters and Culture, Reading, and Books as a Business