Economists examine U.S. legal cannabis sector to gauge the value of banking services
Friday, December 2, 2016 - 06:21
in Mathematics & Economics
Despite the many innovative services in the digital age, conventional banking remains important to newly-established businesses; banking cannot yet be replaced by online financial services such as crowdfunding or PayPal, say Professor Jan Riepe and Markus Merz from the University of Tübingen in a recent study. The economic researchers investigated what role the traditional banks play for newly-founded companies within a highly-developed economy based on the unique example of the US cannabis industry. They found that both the credit and transaction services traditionally provided by banks are key.