A debut economic textbook breaks down the world of electronic payments.
A payment system is one in which funds are easily transferred between lenders and borrowers, or payers and payees. The two largest international payment systems are Visa and MasterCard, both of which are built around branded credit cards. These systems have become increasingly important in the internet age, where card members are able to buy, sell, lend, and borrow around the world. With this book, Artimovich seeks to offer an explanation of the ever more complex workings of these payment systems, which, despite their ubiquity, are not clearly understood by most people. “Strangely enough, too many professionals in the e-commerce market don’t have a clear idea as to how the card payment systems work,” writes the author at the beginning of the volume. “Perhaps my foremost task in this textbook is to encourage young minds to create new technologies in the field of card payments.” Though Artimovich’s focus is on the way these systems exist online—and particularly the experience of using them in Europe—he offers a fairly wide-ranging introduction to payment systems in general, from the origins of credit cards in the early 20th century to the ways Visa and MasterCard continue to evolve in the present day. Particular areas of interest include the rules that govern payment systems and issues of fraud and security. By the last page, the author hopes readers will understand all the forces at work behind their next online purchase. Artimovich proves to be well-acquainted with his topic, and the book succeeds in showing readers just how much they didn’t know about international payment systems. But the author’s prose is often clunky and he rarely provides basic term definitions that would greatly aid readers in following his argument. Large sections of the text are quoted verbatim from a (better written) book by Visa’s founder, Dee Hock, while later sections adopt the legalese of regulations (“A Chargeback must be processed no later than 120 calendar days from the last date that the Cardholder expected to receive the merchandise or services”). There is certainly much useful information to be gleaned here—especially by those already familiar with the industry—but the volume is a bit too opaque and inconsistent to function as a practical textbook.
A detailed explanation of how Visa and MasterCard work and are regulated.