Karen, good stuff as usual. One comment and one question

The question: Does PayPal pass savings from ACH on to the Merchant? Their (PayPal's) model is based on arbitrage between what they charge merchants and what consumes use to fund their wallets. Do they, in some cases, share this benefit with merchants? If so please confirm, as I wasn't aware of it

The comment: This all the results of a duopoly. If merchants could shop payment methods like they can shop acquirers (whose margin is being squeezed), we wouldn't have this problem. Point is, unlike what some whinged after Durbin, their is not well functioning market when it comes to the costs of payment acceptance.