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Merchant acceptance of cash and credit cards at the point of sale / by Ben Fung ... [et al.].FB3-7/2018-1E-PDF

"Recent data show that the use of credit cards in Canada has been increasing, while the use of cash has been declining. At the same time, only two-thirds of small or medium-sized businesses accept credit cards. To better understand future development of this trend, it is important to study whether a change in merchant fees will increase credit card acceptance and will thus further reduce cash use. In this note, we calculate the level of the merchant fee where a merchant would be indifferent to accepting a credit card or cash payment, using the merchant indifference test. We find that the results are sensitive to the underlying assumptions. Furthermore, we discuss several main issues of applying such a methodology to Canada"--Abstract, p. ii.

Permanent link to this Catalogue record:
publications.gc.ca/pub?id=9.851090&sl=0

Publication information
Department/Agency
  • Bank of Canada.
TitleMerchant acceptance of cash and credit cards at the point of sale / by Ben Fung ... [et al.].
Series title
  • Staff analytical note = Note analytique du personnel, 2369-9639 ; 2018-1
Publication typeMonograph - View Master Record
Language[English]
FormatDigital text
Electronic document
Note(s)
  • Title from cover.
  • Includes bibliographical references.
  • Text in English, abstract in English and French.
Publishing information
  • Ottawa : Bank of Canada, 2018.
Author / Contributor
  • Fung, Ben S. C.
Descriptionii, 20 p. : graphs
Catalogue number
  • FB3-7/2018-1E-PDF
Subject terms
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