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Make sure you have signed up as a seller for eBay first. Once you do that step everything should look right. This link will take you to the eBay page where you can activate your seller account.
When you offer PayPal as a payment method on your eBay listings, your buyers can pay quickly and conveniently using a credit card or checking account. You can also use PayPal to sell internationally.
Click here for details: http://pages.ebay.com/help/pay