Fraud, Investments and Liability Regimes in Payment Platforms
42 Pages Posted: 28 Feb 2011 Last revised: 6 Nov 2012
Date Written: May 22, 2011
In this paper, we discuss how fraud liability regimes impact the price structure that is chosen by a monopolistic payment platform, in a setting where merchants can invest in fraud detection technologies.
Keywords: Payment Card Systems, Interchange Fees, Two-Sided Markets, Fraud, Liability
JEL Classification: G21, L31, L42
Suggested Citation: Suggested Citation