Digital Economy, E-money and Developing Countries

4. Conclusion:

Acceleration in the new economy necessitates more vigilance from all economic and social forces to ensure a peaceful and benefic entry to the new economy, especially when reminding different expiry and maturity dates encountering our nation (Mediterranean economic cooperation, WTO, regional agreements…).

Keynesianism was adopted during three decades in the postwar period. Now Liberalism is the fashion since Thatcher and Reagan campaign in the 70s. But, is this scenario acceptable to the DC? Is it compatible with their specificity?

Some authors pretend that e?money and Private currencies threaten not only to overturn the rules for managing the economy, but also to transform the face of government. Once payments go digital, it becomes more and more difficult for states to trace them and extract taxes from individuals.

As the tax base shrinks, it will be harder for governments to pay for the services we take for granted, from health care to defence. To persuade people to pay their taxes, governments may have to make the connections more obvious between what we pay the state and what we receive in return.

However, we think that liberalization leads to limit and to restrain fiscal policy. E-money and e-commerce risk governments to withdraw their abilities to lead independent monetary policy. Consequently, it could be understood as an invitation to restrain completely governmental margin of liberty. In other word, we would be directed by market forces. However, a lot of experts, even from international Bank as J.Stiglitz (K) ,assess that market is myopic, and not to leave economic development to its internal forces.

We tried to mention principal factors affecting the usefulness of e-commerce in the present circumstances. When adopting e-commerce, we underline the risk of diminishing tax revenues, and the withdrawal of state capacity to lead autonomous monetary policy.

---

Previous  Index