 Examining the impact of a central bank digital currency on the access to bankingKwamie Dunbar and Daniel N. Treku International Review of Financial Analysis, 2024, vol. 93, issue C Abstract: This study examines the potential social change associated with technological innovations such as a central bank digital currency (CBDC), via the CBDC's ability to reduce the level of a nation's unbanked and underbanked households. We use data on the United States' unbanked and underbanked populations from the Federal Deposit and Insurance Agency. Our results reveal that an increased public awareness in CBDCs is linked to a statistically significant and economically meaningful decrease in the number of unbanked individuals in the society. However, this reduction is not evenly distributed across age groups, with a more notable impact observed among individuals aged 34–64 years old. Furthermore, our findings demonstrate that an increased awareness of CBDCs correlates with reduced levels of unbanked and underbanked individuals across different levels of college education and income. It is noteworthy that awareness of CBDCs has a particularly significant impact on unbanked and underbanked populations among society's most vulnerable individuals. Keywords: Central bank digital currency; Unbanked; Underbanked; Seemingly unrelated regression (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:finana:v:93:y:2024:i:c:s1057521924001522 DOI: 10.1016/j.irfa.2024.103220 Access Statistics for this article International Review of Financial Analysis is currently edited by B.M. Lucey More articles in International Review of Financial Analysis from Elsevier |
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