Abstract
In an earlier article, Ingene and Levy outlined the optimal discount that retailers should offer to induce cash rather than credit card payment. Here it is shown that, on the basis of more careful estimates of the cost differentials of cash and credit card sales, and more likely estimates of the proportions of cash and card payments, retailers generally will not find it profitable to offer cash discounts.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.