It takes the average reader and 35 minutes to read Pricing Debit Card Payment Services by Wilko Bolt
Assuming a reading speed of 250 words per minute. Learn more
This paper presents a theoretical framework for analyzing pricing structures in debit card schemes featuring cardholders, retailers, their respective banks, and a network routing switch. The network routing switch controls the electronic debit card network and is jointly owned by the banks. In setting its prices, it needs to consider getting both consumers and retailers to participate in the market. In this two-sided market for debit cards, we show that the "double-monopolistic" network routing switch may want to supply consumers with cheap debit cards, deriving profits from charging a high retailer fee per transaction. This theoretic result resembles the current practice in the Netherlands where consumers pay no transaction fee, but retailers do. This corner solution carries over when we analyze socially optimal pricing.
Pricing Debit Card Payment Services by Wilko Bolt is 35 pages long, and a total of 8,925 words.
This makes it 12% the length of the average book. It also has 11% more words than the average book.
The average oral reading speed is 183 words per minute. This means it takes and 48 minutes to read Pricing Debit Card Payment Services aloud.
Pricing Debit Card Payment Services is suitable for students ages 8 and up.
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