Tuesday, May 19, 2015

Denmark moves closer to a cashless society

The progression to electronic money, a natural progression that has the potential to expand the global economy, is being expedited as a countermeasure to 'bank runs' common to economic and financial panics. World leaders must be expecting one heck of panic to be acting so proactively.

All nations must abandon cash for this strategy to work. If not, the flight of capital will simply move to the nation that supports the freedom of choice.

The elimination of choice is a dangerous path for capitalism. Investment from the private sector will collapse if choice is eliminated. Few will invest if choice is scrutinize by central planning. A sharp contraction in the velocity of money since 2007 suggests choice has already been compromised. The eliminate of cash will only make a bad situation, flowing from Europe, worse.

The elimination of cash will not be easy for the larger western nations. Desperation may force them to try unless counterbalanced by common sense.

Headline: Denmark moves closer to a cashless society

Denmark has moved one step closer to becoming the world's first cashless society, as the government proposes scrapping the obligation for retailers to accept cash as payment.

The Danish government has said that as of next year, business such as clothing retailers, restaurants and petrol stations should no longer be legally bound to accept cash payments.



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