Non-cash payments have been increas

Non-cash payments have been increasing significantly, followed by its substitution and efficiency effects. Cash payment is substituted, inducing decrease of cash holding by economic agents, while on the other hand more money enters the banking system. The increase of non-cash payments also cuts transaction costs, and the economy runs more efficiently.
Using Structural Cointegrating VAR, its impacts on the economy are investigated. The result shows that cash holding decrease, while money stock M1 and M2 increase. The increase of non-cash payments also induces GDP growth and slight price decrease. Its implication to monetary policy is also analyzed, showing decrease of BI rate and monetary policy cost

Results (Indonesian) 2:

Pembayaran non tunai telah meningkat secara signifikan, diikuti oleh substitusi dan efisiensi dampaknya. Pembayaran tunai diganti, mendorong penurunan kas holding oleh agen-agen ekonomi, sementara di sisi lain lebih banyak uang masuk sistem perbankan. Peningkatan pembayaran non tunai juga memotong biaya transaksi, dan ekonomi berjalan lebih efisien.
Menggunakan Struktural kointegrasi VAR, dampaknya terhadap perekonomian diselidiki. Hasil penelitian menunjukkan bahwa kas memegang penurunan, sementara persediaan uang M1 dan M2 meningkat. Peningkatan pembayaran non tunai juga menginduksi pertumbuhan PDB dan sedikit penurunan harga. Its implikasi kebijakan moneter juga dianalisis, menunjukkan penurunan BI rate dan biaya kebijakan moneter