00000nam 2200000zi 4500 9.909445 CaOODSP 20221107181914 m o d f cr mn||||||||| 220324t20222022onca ob f000 0 eng d CaOODSP eng rda CaOODSP eng eng fre FB3-5/2022-15E-PDF Huynh, Kim P., 1974- author. Equilibrium in two-sided markets for payments : consumer awareness and the welfare cost of the interchange fee / by Kim P. Huynh, Gradon Nicholls and Oleksandr Shcherbakov. [Ottawa] : Bank of Canada = Banque du Canada, 2022. ©2022 1 online resource (ii, 52 pages) : illustrations (some colour). text txt rdacontent computer c rdamedia online resource cr rdacarrier Staff working paper = Document de travail du personnel, 1701-9397 ; 2022-15 "Last updated: March 22, 2022." Includes bibliographical references. "The market for payments is an important two-sided one, where consumers benefit from increased merchant acceptance of payment cards and vice versa. The dependence between the decisions that are made on each side of the market results in various network externalities that are often discussed but rarely quantified. We construct and estimate a structural two-stage model of equilibrium in a market for payments in order to quantify the network externalities and identify the main determinants of consumer and merchant decisions. The estimation results suggest significant heterogeneity in consumer adoption costs and benefits. We discuss the critical characteristics that determine which payment instrument is used at the point of sale. Our counterfactual simulation measures the degree of excessive intermediation by credit card providers"--Abstract, page ii. Includes abstracts in English and French. Payment Econometric models. Credit card fees Econometric models. Consumer behavior Econometric models. Paiement Modèles économétriques. Cartes de crédit Frais Modèles économétriques. Consommateurs Comportement Modèles économétriques. Bank of Canada, issuing body. Staff working paper (Bank of Canada) 2022-15. (CaOODSP)9.806221 PDF 967 KB https://publications.gc.ca/collections/collection_2022/banque-bank-canada/FB3-5-2022-15-eng.pdf