The Reserve Bank Australia reports cash in circulation increased during a time when cash use reported decreases.
Whilst some of this is simply large scale de-risking e.g. people removing money from accounts and other instruments to hold in cash.
We suspect that a thriving marketplace culture could account for some of those extra $50 notes in the hands of the Australian public.
Whilst everybody’s lifestyle changed suddenly, every home needed a office and every office had an oversupply of desks.
Countless Australians turned to online marketplaces to deck out their new home work set-up, with computers, monitors and desks with task chairs.
Additionally all this time at home meant more time for a pet. Another large cash purchase which would have driven prices even higher.
We suggest the data might be out there, but nobody has tracked the movements and price changes of common online marketplace purchases.
University research has described the ‘war on cash’ and issued a dire warning.
Retailers must provide a surcharge-free option for consumer payments
Are we being herded into a cashless society? Australia lost 643 bank branches and a massive 4,194 bank-owned ATMs in the four years to June 2020 according to the Australian Prudential Regulatory Authority and the trend has accelerated since then.