Friday, January 13, 2017

Swiss Cash Kings

"I'll pay with cash."
--Darby Shaw (The Pelican Brief)

Last summer we discussed German preferences for cash. However, the cash kings of Europe and perhaps the world are the Swiss.

The value of bank notes and coins in circulation per resident in Switzerland is more than double the US. The Swiss like to use that cash for their purchases, paying for everything from monthly utility bills to cars using Swiss francs.

Many countries around the world cap how much cash can be used to purchase something before the transaction must be reported to the government. In the US, that limit is $10,000. In Switzerland, the limit is about ten times that amount.

While Swiss preferences seem out of step with 'progress' today, there are benefits to cash-only transactions such as anonymity. People who value liberty are likely to have a proclivity for physical cash.

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