Memorandum

To:           Jake Cook

From:     Liying Wu

Date:      2/1/2005

Re:          Article Review 3

Source Citation:

Solomon, E.H. (1997). Virtual money: Understanding the power and risks of money’s high-speed journey into electronic space. New York: Oxford University Press.

 

Summary:

             The amount of virtual money that circles the globe every day is staggering. The author provides a wide-ranging introduction to electronic monies and describes how each system works.  The major forms of e-monies such as Smart cards, e-cash, electronic wallets and cybermoney are discussed in detail in this book. The author also traces the money history from gold to the future of the cashless society. Our research focuses on the development and the future direction of electronic monies.  

Research Questions:

1.         How did electronic monies develop?

2.        What are the benefits and consequences of electronic monies?

 

Outline Ideas:

1.        The money history

2.        Introduction of virtual money

3.        The major components that make virtual money a reality

4.        The consequences and benefits of electronic monies

 

Direct Quotes & Paraphrases:

1.        “Money has value because, given our society, something about it is much prized.  Whenever times change, the money form moves on.” (Solomon, 1997, p. 15)

 

2.        “The old refrain recurs: one cannot predict.  The Internet may prove to be just as powerful a decade hence in shaping society as the technologies that precede it, the telephone, radio TV. Or it may be even more powerful.  The e-cash, computer cybermoney, and the electronic commerce possibilities are particularly riveting. Which one of these will win consumer favor in the manner of credit card is far from certain.” (Solomon, 1997, p. 244)