View this post on the web at [link removed]

From time to time, we create “issue tool kits” that lay out the key arguments for or against a piece of public policy, so you can be smarter when you debate ideas with your friends and foes! There is additional content below this column for our paid subscribers, below the paywall.
🕒 5 min
Conservative Newport Beach and Liberal Berkeley… Agree on Something?
What do Newport Beach, known for its upscale coastal vibe, and Berkeley, famous for its progressive culture, have in common? At first glance, not much. They represent opposite sides of California’s cultural and political landscape. Newport Beach is known for yachts and luxury shops, while Berkeley is known for protests and co-ops. Still, both cities have reached the same surprising conclusion on an issue that doesn’t often make the news but impacts daily life: whether people should always have the option to pay with cash.
As more governments and businesses move toward cashless systems, many people assume digital payments are just the next step—faster, cleaner, and more modern. Cash, on the other hand, is often seen as outdated or inconvenient. But this view hides a vital policy question. Moving away from cash isn’t just about technology; it changes who can participate in the economy, how much privacy people have, and how well everyday business operates when technology fails. Cash isn’t just a thing of the past. It’s a key part of our economic system.
Here’s a practical look at why accepting cash still matters, and why California should recognize its importance.
Top 10 Reasons Americans Should Be Able to Pay With Cash
1. Cash Is Legal Tender Backed by the Full Faith and Credit of the United States
U.S. paper currency explicitly states, “This note is legal tender for all debts, public and private.” Cash is not a private platform or a conditional service; it is government-issued legal tender backed by the full faith and credit of the United States. When cash is refused for in-person transactions, the practical meaning of legal tender is diminished, and a core function of national currency is undermined.
2. Millions of Americans Still Rely on Cash
Tens of millions of Americans don’t have bank accounts or have limited access to banking. Some can’t open accounts due to credit issues, lack of ID, or unstable income. Others choose not to use banks to avoid fees, protect their privacy, or stay financially independent. For these people, cash isn’t just a preference; it’s how they take part in the economy. Cashless systems exclude them from everyday transactions.
3. Cash Protects Privacy and Limits Surveillance
Cash transactions don’t leave behind permanent digital records. Digital payments, however, create detailed data about where people go, what they buy, and how often. This information can be stored indefinitely, shared across companies, and used for purposes beyond the original purchase. If we eliminate cash, we make it the norm for everyday spending to be tracked automatically rather than by choice.
4. Cash Works When Systems Fail
Power outages, cyberattacks, network issues, and payment processor failures often disrupt digital payments. When this happens, business doesn’t just slow down—it comes to a halt. Cash works without electricity, internet, or any special systems, so people can still make basic purchases when technology fails or goes offline.
5. Cash Preserves Consumer Choice
Protecting cash doesn’t stop digital payments or block new ideas. It ensures people can choose how they want to pay. Public policy should provide people with more options, not fewer, especially when alternatives require specific technologies or bank access.
6. Cash Prevents De Facto Discrimination
Cashless policies hit seniors, people with disabilities, rural residents, and anyone without steady access to smartphones or the internet the hardest. If cash isn’t accepted, people need digital access to take part in daily life. Accepting cash helps prevent a divided economy where some people are left out.
7. Cash Limits, Fees, and Financial Penalties
Digital payments often come with hidden costs, including overdraft fees, reload fees, transaction fees, account maintenance charges, and penalties for not maintaining a minimum balance. Cash payments are instant and final. There are no extra fees, no surprise charges, and no strings attached.
8. Cash Reduces Dependence on Financial Gatekeepers
Digital payments need approval from banks, payment processors, and tech companies. Accounts can be frozen, transactions delayed, or access blocked, sometimes with no warning. Cash enables people to buy and sell directly, without requiring permission from anyone else.
9. Cash Supports Economic Independence
Some people choose to keep their digital footprint small for privacy, security, or independence. Others prefer a system they understand and control. Cash lets people participate in the economy without always sharing their data or relying on third-party companies.
10. Cash Acceptance Is a Narrow, Reasonable Public Policy
Laws that protect cash don’t require businesses to go cash-only. They ensure money is accepted for in-person payments. This is a focused policy that keeps access open while enabling digital payment options to evolve.
So, Does It Matter?
Cash isn’t just a relic of the past; it’s a safeguard for today. It helps millions of Californians access goods and services, keeps daily life more private, and ensures people can still buy items when systems break down. Still, California has let cash acceptance slowly fade away.
This isn’t because lawmakers haven’t noticed the problem. In 2020, a bill was introduced in the State Senate to require businesses to accept cash for in-person payments. The bill made some progress but eventually stalled and didn’t become law. The issue hasn’t gone away—it’s only gotten bigger.
As more cities, agencies, and businesses move toward digital-only payments, the lack of a statewide standard leaves Californians vulnerable to default. Participation in the economy should not require enrollment in the banking system, a smartphone, or approval from a third-party payment platform. The ability to pay in cash is a basic form of economic freedom—one that deserves explicit protection in state law.
Moving forward shouldn’t mean giving up access, choice, or fairness. Cash still works, and Californians should have the freedom to use it.
Below the paywall, you'll find additional video commentary from me on this topic, reserved for paid subscribers. I actually criticize an organization that I love! Try the free trial now (it’s the red button below)!...

Unsubscribe [link removed]?