Costs and benefits to phasing out paper currency

[fourandsixpants]

"This paper explores the costs and benefits to phasing out paper currency beginning with large-denomination notes, later extending to all but small coins and bills, and eventually those as well........

........given the role of paper currency (especially large-denomination notes) in facilitating tax evasion and illegal activity, and given the persistent and perhaps recurring problem of the zero bound on nominal interest rates, it is appropriate to consider the costs and benefits to a more proactive strategy for phasing out the use of paper currency."

http://scholar.harvard.edu/files/rogoff/files/c13431.pdf

.....maybe same will be applied to Australia in not too distant future?

what do you think?

[fourandsixpants]

NWO ?

[icyfroth]

So no more cash transactions more locking in transactions to electronic surviellance?

Goodbye freedom.

[wilk1149]

What freedom. The only freedom we have is freedom from choice

[***super_nova***]

I have to admit I do not carry cash, well not much, I pay with my card for almost everything and do lots of internt transfers.  Although, I would not like not to have the option to have cash, and I do not like the idea that I am leaving a trail of my activity.  I do not particularly like that it would be possible to find out what I buy.  I buy my fruit and veggies at the market, and Woolworth keeps sending me special offers to get more fruit and veg from them.  That irritates me to the point that I stopped using the "reward" card or go to Coles.

[aps1080]

No, do not get rid of cash.

Ever been to a service station, especially in the country when the credit card system is down, the queues at petrol stations stretch out the door of people who don't have ANY cash on them.

[fourandsixpants]

Country and Regional folk and their ways are not important!!!!  * PPpppffftttt!

[aps1080]

Er, It is more often than not city folk travelling in the country that are the one's who get stuck.

Those who live in the country often have cash on them.

I remember one farmer where I was staying relaying exactly my story to me, same as I have seen.

If the shyte hits the fan, cash will talk, credit cards won't.

[serendipityricho]

Get rid of the 5-10-and 20 cents coins first--keep the notes.

[myoclon1cjerk · Accepted solution]

Yep.They'll be able to track every transaction you make and tax you accordingly.Meanwhile the big end of town will still be ripping off the system.