Panel Paper:
Making Connections: Adoption of Mobile Phones and P2P Payments and Financial Inclusion
*Names in bold indicate Presenter
Adoption of mobile phones is widespread in the U.S., while the use of mobile P2P payments is less common, but growing. Social factors can be an important driver of technology adoption in general. Relationships with friends and family may be particularly important in the early adoption of mobile P2P services, as these services have become popular as a way to split bills among friends and connect with social networks. Adopting technology also involves costs, including paying for a mobile phone and data plan and understanding and managing privacy or security risks associated with use. Data from the SHED allow for exploration of how social connections, preferences, and demographic characteristics correlate with adoption of mobile phones and mobile P2P services among U.S. adults.
The benefits and costs of technology use may be perceived or experienced differently by people with fewer financial resources, less comfort with technology, or less supportive personal networks. Some P2P services provide almost immediate transfers of funds, which may be of particular benefit for financially vulnerable adults to receive money in an emergency. Focusing on a subset of adults who report more financial fragility, I explore whether these adults are any more or less likely to use mobile phones and mobile P2P payments. Understanding more about subpopulations who adopt these technologies can inform policy discussions around faster payments and financial inclusion more broadly.
