Hello,
I am new to this forum. My GMAT is in 2 weeks. Please review my first essay. Analysis of an Issue: (Thanks a lot in advance!) Any suggestion would be really helpful.
For hundreds of years, the monetary system of most countries has been based on the exchange of metal coins and printed pieces of paper. However because of recent developments in technology the international community
should consider replacing the entire system of coins and paper with a system of electronic accounts of credits and debits.
Ever-increasing use of electronic technology by many people in their day-to-day life makes it a compelling case for replacing coins and notes by electronic accounts of credit and debits. On the surface, this sounds logical but the challenges are immense the discussion is in the international perspective. I disagree with conclusion in the abovementioned argument and I will provide my reasons below.
The financial and economic system of any country is strongly dependent on its banks which are controlled by one supreme bank. For example, it's the Federal Reserve in the US. Fed or its counterparts in other countries controls the money supply in the economy. This method is strongly dependent on the notes or bills with the people or other financial institutions that will buy or sell the treasury bills issued by the Federal Reserve. It will be very cumbersome for individuals to participate in the national economic activities without notes and coins.
Today's is a globalized marketplace. The currency of one country doesn't have a value of its own. It is weighed against the currencies of other countries. The value of the currency can increase or go down based on the economic and political situations in that country. This impacts imports and exports of that country and subsequently, affects its Gross Domestic Product and its economic growth. A system of electronic accounts of credits and debits will not be able to do that and hence, it would be difficult to keep pace with the globalization.
The proponent of the system of credit accounts will argue that since the technology is so pervasive we should make use of it as much as possible. However, it should be noted that majority of the population in the world, especially in the developing countries, still doesn't have either the access to reliable computers or the skills needed to use it, in order to check the accounts daily to keep track of income, expenditures and balances. Additionally, there are so many activities such as toll on the highways, parking in a mall for which notes and coins is the best way of transaction.
In summary, the technology is a part of everybody's life in the world. However, I disagree that the time has come to use the technology to set up credit accounts and replace coins and notes. It's a global change and it needs to asses the economic, educational, technological situations from each of the countries.
I am new to this forum. My GMAT is in 2 weeks. Please review my first essay. Analysis of an Issue: (Thanks a lot in advance!) Any suggestion would be really helpful.
For hundreds of years, the monetary system of most countries has been based on the exchange of metal coins and printed pieces of paper. However because of recent developments in technology the international community
should consider replacing the entire system of coins and paper with a system of electronic accounts of credits and debits.
Ever-increasing use of electronic technology by many people in their day-to-day life makes it a compelling case for replacing coins and notes by electronic accounts of credit and debits. On the surface, this sounds logical but the challenges are immense the discussion is in the international perspective. I disagree with conclusion in the abovementioned argument and I will provide my reasons below.
The financial and economic system of any country is strongly dependent on its banks which are controlled by one supreme bank. For example, it's the Federal Reserve in the US. Fed or its counterparts in other countries controls the money supply in the economy. This method is strongly dependent on the notes or bills with the people or other financial institutions that will buy or sell the treasury bills issued by the Federal Reserve. It will be very cumbersome for individuals to participate in the national economic activities without notes and coins.
Today's is a globalized marketplace. The currency of one country doesn't have a value of its own. It is weighed against the currencies of other countries. The value of the currency can increase or go down based on the economic and political situations in that country. This impacts imports and exports of that country and subsequently, affects its Gross Domestic Product and its economic growth. A system of electronic accounts of credits and debits will not be able to do that and hence, it would be difficult to keep pace with the globalization.
The proponent of the system of credit accounts will argue that since the technology is so pervasive we should make use of it as much as possible. However, it should be noted that majority of the population in the world, especially in the developing countries, still doesn't have either the access to reliable computers or the skills needed to use it, in order to check the accounts daily to keep track of income, expenditures and balances. Additionally, there are so many activities such as toll on the highways, parking in a mall for which notes and coins is the best way of transaction.
In summary, the technology is a part of everybody's life in the world. However, I disagree that the time has come to use the technology to set up credit accounts and replace coins and notes. It's a global change and it needs to asses the economic, educational, technological situations from each of the countries.
