An Economic Analysis of the Determination of Interchange Fees in Payment Card Systems
The paper investigates, in a non-technical fashion, the economic determinants of interchange fees in payment card systems and the potential need for their regulation. Among other things, it demonstrates that the proposal for a cost-based regulation of interchange fees relies on an erroneous, vertically organized, model of the payment card industry.
Volume (Year): 2 (2003)
Issue (Month): 2 (June)
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