Central Banking

Pricing of interbank payment services

RESEARCH - John A Weinberg, Vice President and Economist at the Federal Reserve Bank of Richmond has written a discussion paper titled 'The Pricing of Interbank Payment Services in a Changing Competitive Environment'. The paper was completed while he was a visiting scholar at the Institute for Monetary and Economic Studies, Bank of Japan.

Abstract

Interbank payment arrangements create a tension between competition and cooperation among participating banks. By providing payment services to rival's

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