Estimating the volume of payments-driven revenues
Tara N. Rice and
Kristin D. Stanton
Emerging Issues, 2003
Abstract:
This paper estimates the volume of payments-driven revenues at the top 40 domestic BHCs and builds on the statistical summaries that Radecki (1999) compiles from the top 25 BHCs in 1996. We replicate Radecki's 1996 results, but find that they overstate payments-driven revenues by including entire revenue sources that are not entirely payments-driven. We offer a modified definition of payments-driven revenue and re-estimate BHC payments-driven revenue for the top 40 BHCs. Our modified estimation method suggests that on average 16 percent of the operating revenue of the top 40 BHCs is derived from payments-related activities.
Keywords: Bank holding companies; Payment systems (search for similar items in EconPapers)
Date: 2003
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Citations: View citations in EconPapers (11)
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Persistent link: https://EconPapers.repec.org/RePEc:fip:fedhei:y:2003:n:eps-2003-1c
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