Digital
With technology advancing as every day goes by, there is no telling where the economy will be in the near future. With all these forms of technology available and in development stages, it is hard to see the outcome of the future and the effect it will have on the way business is conducted. Technology has come to play such a significant role in accounting and business that, in many ways, it now seems part of the professional landscape. What will become of the business is done and the form of currency we use to conduct it. Will cash be around forever, or will other forms of money eventually replace it? This is a question that has been puzzling analysts for years. The results are unpredictable; however, many analysts feel that in the near future, means of making payments will be permanently altered by e-money, therefore, completely replacing all currency in the United States. The other analysts feel that e-money is just another financial innovation in a payments system th!at is constantly evolving but will come to an end. As historians say, by studying the past, you may be able to predict the future. In the 1960's, credit cards became available as an alternative means of payment. In the 1970'
market test of the smart card in a section of New York City feel the smart card still has a long way to go. They were able to use the smart card for dry cleaning, buying groceries, and eating at certain restaurants, however, they say they were disappointed in the amount of time the transactions took. There were also several things that the smart card couldn't purchase like newspapers and retail stores such as Gap or Barnes & Noble. It is obvious though that the reason they could not use it is because it is just a trial and new idea. The main issue with electronic money is considering whether it will be more convenient than cash. According to Don Sheely who publishes several articles in CA magazine, he believes that the speed of using a smart card is basically equal to using cash and quicker than that of a credit card or checks. Unlike credit cards, smart cards do not require approvals from the issuing institution or a signature from the cardholder. They also do not require the transaction of change taking place since the exact amount is debited from the card. It is possible to conclude them, that e-money could eliminate the use of coins in our society. A transaction using a smart card requires that the consumer confirm the amount of the transaction and the amount are automatically deducted from their account (Sheely27). On the other hand, there are people who feel that the smart cards need to be improved by providing faster service directly conflicting with Sheely. Several people taking part in a ! Sheely, Don. "First Things First" CA Magazine. August 1999. pp26-28 In some parts of the world, forms of electronic money have already been widely accepted into the society. In Hong Kong and Singapore for instance, smart cards are being used for a variety of things. In Hong Kong, a company called Creative Star has a card called Octopus. Creative Star is a joint venture between various transport companies. The Octopus card is mainly used on trains and buses. The card is simple for the millions of people living in Hong Kong to use. It doesn't require any swiping or processing unlike conventional credit cards. It requires only that the card is held near a small yellow Octopus sensor for a fraction of a second and the amount is deducted from the person's account. However, individuals at this point of time are unable to use the card outside of the transportation functions. The Mass Transit Railway systems have already begun to accept the card in shops, deli's and newsstands to offer convenience to their customers since they are part of the! ------------------------------------------------------------------------ These are just a few of the new electronic payments that have been tested across the globe and there are many tests taking place daily. It is a race for card companies to try to develop the perfect card for the consumers to use. In order for these cards
Some common words found in the essay are:
Abbot E-, Cash-Funny Money, Visa Cash, Quick29 Banks, Don Sheely, MasterCard Visa, Microsoft Visa, Hong Kong, United Internet, York City, electronic money, smart card, smart cards, card companies, august 1999, credit cards, street journal august, journal august, hong kong, street journal, security issues, wall street journal, journal august 1999, using smart card, forms electronic money,
Approximate Word count = 1959
Approximate Pages = 8 (250 words per page double spaced)
|
