The document outlines a study on the development of the Single Euro Payments Area (SEPA) for cards and its role in European integration from 1992 to 2010. It examines how payment cards contributed to making Europe through the lens of hidden integration. Key actors involved included the European Central Bank, national central banks, the European Payments Council and Cards Stakeholder Group. Tensions arose between banks, service providers and regulators during establishment of the European card infrastructure and standards. The influence of the American payment system on Europe is also analyzed.

1. THE MAKING OF EUROPE BY PAYMENT CARDS
HIDDEN INTEGRATION IN THE ERA OF NEOLIBERALISM
POLITICS, FINANCE AND TECHNOLOGY FROM 1992 TO 2010

2.  Introduction
 Research Questions
 Methodology
 Approach – Misa & Schot
 Context – Neoliberalism
 Analysis of the SEPA for Cards
 Conclusion
 Questions?
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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OUTLINE

3.  Aim: European integration through the lens of technology
 Technology as ‘hidden integration’ and as agent of change
 Reconstruction Single Euro Payments Area for Cards (SEPA
for Cards)
 SEPA is harmonization of the payments market in EU Member
States
 EU vs. Europe
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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INTRODUCTION

4.  How did the development of payment cards in the
SEPA contribute to the Making of Europe?
 Which actors were involved in the process of making a European
payment card structure, and what Europe visions did the actors have?
 What tensions arose during the process of establishing an European
card infrastructure between the banks, service providers and the
European Union?
 How did the American payment card system influence the European
payment card system in its infrastructure?
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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RESEARCH QUESTIONS

5.  Extensive literature research primary sources and secondary sources
 Scientific articles and book
 Governmental Reports
 Documentaries
 Online sources
 Newspaper articles
 Inductive approach
 Research between European Public Administration and History of Technology
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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METHODOLOGY

6.  European integration as ongoing process in which different actors interact
with each other and make Europe.
 Emphasis on the role of technology
 History of Europe as open-ended process
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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AGENCY APPROACH (1)
MISA & SCHOT (2005)

7.  Research strategies for the integration of technology in economic and
political formation:
 Europe as actor category
 Europe as emergent outcome
 Europe in global perspective
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Hidden integration in the era of Neoliberalism
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AGENCY APPROACH (2)
MISA & SCHOT (2005)

8.  Neoliberalism:
“the ideological expression of the reassertion of the power of finance. The
term itself, ‘finance’, refers to a framework of institutions, interlocked in a
complex network; behind these institutions, stand individuals” (Duménil &
Levi, 2001)
 Governance  market actors influence policy and regulations
 Global ideology
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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CONTEXT
NEOLIBERALISM

9.  1992  Finalization of the Single Market and start of European Monetary
Union
 1997  First idea to create a Single Euro Payments Area
 1999  Establishment of the European Central Bank and implementation
of the Euro. Start of SEPA.
 2003  Start of development of SEPA with market actors, Establishment
of the European Payments Council.
 2009  Establishment of the Card Stakeholders Group
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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SEPA FOR CARDS

10. The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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ANALYSIS SEPA FOR CARDS (1)
ACTORS
Actor Collaboration of Representation Vision
Eurosystem National Central Banks
and European Central
Bank.
Member States who have
implemented the Euro.
Abolish monetary boundaries
which obstruct competition
and free trade associated
with cross-border payments.
European Payments Council 74 Banks, Banking
Communities and Payment
institutions.
Elitist from the banks. Harmonized, interoperable
and free standards, which are
openly available to all parties
within the card payment value
chain.
Cards Stakeholder Group The Banking, Retail,
Vendor, Processor and
Schemes sector.
Five representatives of each sector. Create the SEPA for Cards
framework. They share the
vision of the European
Payments Council but aimed
at the Cards sector. expert
committee of the EPC

11.  Service Provider Tensions
 European Card Framework
 Multilateral Interchange Fees
 Timeframe Tensions
 Implementation tensions
The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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ANALYSIS SEPA FOR CARDS (2)
TENSIONS

12.  EMV – standard
 Exclusion of US
 Battle of US vs. Europe
 Contactless vs. Cashless
 Governance
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ANALYSIS SEPA FOR CARDS (3)
GLOBALISATION AND THE US

13.  Battle of market vs. regulators:
 Clash of European visions
 Tensions
 Global integration of Europe
 Technology as integrative force:
 Infrastructure connects
 Tensions due to technology make Europe
 Unification of different actors
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CONCLUSION

14. The Making of Europe by Payment Cards.
Hidden integration in the era of Neoliberalism
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QUESTIONS?

15. The Making of Europe by Payment Cards.
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BORREL 15:30
ZILVERLING MBASEMENT