Categories

Personal Finance Spending & Saving

Tools

  • Economy & Politics
  • Investing
  • Personal Finance
  • Related Posts


    TurboTax’s Database Knows Your Secrets
    8 Habits To Be A Better Freelancer
    New Mortgage Rules Help Millennial Home Buyers
    Small Business Revving Up In 2015
    Reshop Your Car Insurance In 2015
    Obama Flip-flop Spares 529 College Savings Plans
    Q & A: Social Security Changes In 2014
    Will Retirees Finally Get A Mortgage Break?
    The Cost-Cutting Power Of Medicare
    China’s Air Pollution Is Driving Away International Tourists
    The Cruise Industry Is Trying To Attract Millennials Looking For Romance
    Debunking The Top 10 Myths About Social Security
    State Plans For Low-income Retirement Saving Gain Momentum
    Why Pension Plan Lump Sums Are A Trap For The Unwary
    Social Security To The Max: Strategies For Affluent Households


    Dirty Money Spends Faster

    If you’re looking for a creative way to save a couple of bucks each day, perhaps you should consider separating the crisp, new bills in your wallet from the older, more weathered ones. A recent study indicates that people spend bills that appear to be old and dirty more quickly than new money.

    The research, published in the Journal of Consumer Research, indicates that consumers spend more worn bills than they do crisp, new bills. The research also found that people are more willing to break large bills when they appeared to be worn out.

    From the study:

    People want to rid themselves of worn currency because they are disgusted by the contamination from others… [but they] put a premium on crisp currency because they take pride in owning bills that can be spent around others.

    The researchers suggest that the phenomenon is driven by consumers’ desire to pass along clean bills, which they subconsciously value more because of pristine appearance as well as disgust associated with money that has been handled by many people.

    They conclude, “This is important because researchers tend to regard currency as the means to consumption, not as a consumable itself. The results of this work suggest that money is subject to the same inferences and biases as the goods it procures.”

    According to the Journal, the Federal Reserve tries to take dollar bills out of circulation after about 18 months of use because of the amount of bacterial contamination the bills accrue. A $100 bill, which passes through fewer hands, can remain in circulation for about nine years.

    Discuss this Story:

    Comment Policy: We encourage open discussion. Comments including racist statements, profanity, name calling or spam will be removed at our discretion. We use filters for spam protection. If your comment does not appear it is likely because it violates the policy.

    Own Or Rent In Retirement? Let’s Run The Numbers
    Would More Psychiatric Asylums Solve The Mental Health Crisis In America?
    The World’s In-flight Wi-Fi Offerings, Ranked
    10 Crazy Sounding Tax Deductions IRS Says Are Legit
    Selling Ads Based On Engagement, Not Clicks
    Long-term Car Loans Popular But Pricey
    Three Smart Reasons To Transfer Credit Card Debt
    Credit Cards Can Be Stolen Right Under Your Nose
    Protect Your Money From The QE Delusion
    10 Surprising Items IRS Says To Report On Your Taxes
    Work From Home: The Top 100 Companies Offering Telecommuting Jobs In 2015
    How To Build A ‘Lifetime’ Portfolio (Step 2)
    Housing’s Feeble Recovery Is Here To Stay
    Obama’s Disdain Kills Tax Reform
    Insurance: $7 Trillion Goliath
    The Quiet Shift In Housing Policy
    Why IRS Form 1099 Is So Dangerous To Your Tax Bill
    The Dollar’s Days Are Numbered
    Building Permits Slide For 2nd Month, Miss Expectations; Starts Near Cycle Highs
    The Obama Tax Proposals: Tailored Cuts And Hikes
    Malware In Ads Turn Computers Into Zombies
    U.S. Single-family Starts Hit 6-1/2-year High In December
    U.S. Mortgage Applications Rise In Latest Week
    Beat The Data Thieves With These Privacy Measures
    Why Filing Your Taxes May Be A Nightmare This Year
    The Next Big Health Care Shift Is Coming
    How To Save On Prescriptions
    How Obamacare Affects Your 2014 Tax Return
    Most Overlooked Tax Breaks For The Self Employed
    Why Many TurboTax Users Will Have To Pay More To Prepare Their 2014 Tax Returns
    Read more from Personal Finance...

    Liberty Investor Digest

    Get today's most important
    financial headlines all in
    one place by email!



    Sources


    close[X]

    Sign Up For Liberty Investor Digest™!

    Get Liberty Investor Digest FREE By Email!

    Input your name and email address in the fields below and get today's most important financial headlines sent straight to you inbox!

    Privacy PolicyYou can opt-out at any time. We protect your information like a mother hen. We will not sell or rent your email address to anyone for any reason.