Antitrust Activity in Card-Based Payment Systems: Causes and Consequences
September 15 and 16, 2005
A conference jointly sponsored by the Federal Reserve Bank of New York and the Review of Network Economics

Papers and Presentations

Thursday, September 15

9:15 a.m. Efficiency and Competition between Payment Instruments
Joseph Farrell, University of California at Berkeley
Discussant: Steve Salop, Georgetown University

10:00 a.m. The Welfare Impact of Interchange Fees
Jean-Charles Rochet, IDEI-GREMAQ, University of Toulouse; and Jean Tirole, IDEI-GREMAQ and Massachusetts Institute of Technology
Discussant: Luis Cabral, New York University

11:00 a.m. An Assessment of the Reserve Bank of Australia's Interchange Fee Regulation
Howard H. Chang, LECG; David S. Evans, LECG and University College of London; and Daniel D. Garcia Swartz, LECG
Discussant: Joseph Farrell, University of California at Berkeley

1:30 p.m. Panel of Country Studies

The Regulation of Payment Cards: The Mexican Experience
José Luis Negrín, Banco de México

The Credit Card Industry in Israel
David Gilo and Yossi Spiegel, Tel Aviv University

Interchange Fees in Various Countries: Developments and Determinants
Stuart Weiner, Federal Reserve Bank of Kansas City; and Julian Wright, National University of Singapore

Commentator: Robin Prager, Board of Governors of the Federal Reserve System

3:45 p.m. Market Definition and Market Power in Payment Card Networks
Scott Thompson and Eric Emch, U. S. Department of Justice
Discussant: Larry White, New York University

4:30 p.m. Social Welfare and Cost Recovery in Two-Sided Markets
Wilko Bolt, De Nederlandsche Bank; and Alexander F. Tieman, International Monetary Fund
Discussant: Jean Charles Rochet, IDEI-GREMAQ, University of Toulouse

Thursday, September 15

9:15 a.m. Platform Competition in Two-Sided Markets: The Case of Payment Networks
Sujit Chakravorti, Federal Reserve Bank of Chicago; and Roberto Rosen, University Ca’ Foscari of Venice
Discussant: Michael Katz, University of California at Berkeley

10:00 a.m. The No Surcharge Rule and Card User Rebates: Vertical Control by a Payment Network
Marius Schwartz, Georgetown University; and Daniel R. Vincent, University of Maryland
Discussant: Martin Perry, Rutgers University

11:00 a.m. A Puzzle of Card Payment Pricing: Why Are Merchants Still Accepting Card Payments?
Fumiko Hayashi, Federal Reserve Bank of Kansas City
Discussant: Glenn Woroch, University of California at Berkeley

1:00 p.m. Panel on Competition Policy in Card-Based Payment Systems

Payment Systems are Different: Shouldn’t Their Regulation Be Too?
John Simon, Reserve Bank of Australia

Public Policy Approaches to Interchange Fees: An Economic Assessment
Margaret Guerin-Calvert, Competition Policy Associates; and Janusz A. Ordover, New York University and Competition Policy Associates

House of Cards: The Economics of Interchange Fees
Alan Frankel and Allan Shampine, Lexecon

Commentator: Henry Ergas, CRA International

More Information
Please contact James McAndrews at if you have any questions or need assistance registering.