Status : Verified
| Personal Name | De Leon, Janina Mae P.; Manlapaz, Jose Karlo C. |
|---|---|
| Resource Title | Investigating the denomination effect in coin usage of consumers from San Simon, Pampanga |
| Date Issued | May 2026 |
| Abstract | This study investigated the phenomenon of the denomination effect and its presence in the coin usage of consumers from San Simon, Pampanga. Specifically, it aimed to validate whether the denomination effect manifests in the spending behavior and to identify the demographic characteristics that influence the occurrence of the denomination effect. Guided by the Consumer Choice Theory and the Sidrauski Model, and supplemented by behavioral insights on the pain of holding money, the study examined deviations from standard economic rationale through an observational quasi-experimental design conducted in two barangays in San Simon. Data were collected from 96 participants and analyzed using chi- square test, independent samples t-test, and binomial test to assess the relationship among spending behavior, denomination composition, and consumer characteristics. Results indicated clear evidence of the denomination effect: participants were more inclined to spend when holding lower denominations, and coin‑heavy spending patterns were consistently observed. Additionally, participants tended to spend coins before notes, reflecting the pain‑of‑holding mechanism. In general, lower denominations increased the likelihood of spending in small-scale, real-world transactions. Age also showed that younger participants were more likely to demonstrate the denomination effect. Gender results indicated that women tended to spend more in total than men when given a fixed budget, while men tended to spend a greater number of coins. The study benefits behavioral economists, consumers, retailers, financial institutions, the central bank, and future researchers by showing how denomination structures influence spending behavior. The findings also support responsible consumption under SDG 12, indicating that greater circulation of lower denominations may increase consumption of goods and services. |
| Degree Course | Bachelor of Arts in Business Economics |
| Language | English |
| Keyword | Denomination Effect; Pain of Holding; Budget Composition; Coin Usage; Philippine Peso Denominations |
| Material Type | Thesis/Dissertation |
Preliminary Pages
441.98 Kb
Category : F - Regular work, i.e., it has no patentable invention or creation, the author does not wish for personal publication, there is no confidential information.
Access Permission : Open Access