Spend Cash, But Don’t Forget Opportunity Costs

Over the last couple years I have written many posts extolling the virtues of paying for things with cash. Shopping with cash causes transactional pain - that little twinge you feel when Uncle Benjamin leaves your wallet to be replaced by a few George Washingtons in change. That hurts.

When you swipe plastic, especially plastic representing money that doesn’t belong to you (credit cards), it hurts much less. This is why spending with credit cards is so dangerous. But spending cash can be dangerous, too, for an entirely different reason. ... Read the entire article.