In this thesis the model of a payment card network is constructed to explore the impact of downstream market characteristics (i.e., the market where merchants and consumers interact) on the merchant and the interchange fee, thereby extending the literature’s observations of payment systems. To...

This thesis strives to offer new insights in two main areas. First, in the well-researched domain of payment cards chapters 2 and 3 investigate an aspect that has hitherto been scantly examined, namely, the fact that merchant usage fees differ substantially among merchant sectors. Additionally,...