The reason
there is no need for the government to mandate it. When enough businesses dont take cash, then we will be defacto cashless.
http://kxan.com/2016/04/01/austin-restaurant-chilantro-going-cashless-in-april/
I'm glad that you've pointed out that society is moving toward greater use of electronic transactions of its own will and without the government dictating it like some people think they are. Of course, some people don't like this because they like cash, but there are some good reasons why people aren't using as much cash now as they used to.
1. Cash or checks were your only realistic options for payments until around 30-40 years ago, and credit cards have not been in vogue for more than about 25 years.
2. Cash is physical, which means that your physical presence is usually necessary in order to complete the transaction. This can be inconvenient or downright impossible in many instances, particularly with the advent of online retailing. When I was a kid, my mother would go to town monthly to physically pay many bills (i.e. water, electricity, insurance, etc.), and it took her the better part of a day. Also, sizable quantities cash can be fairly bulky to carry around on your person.
3. Cash can be lost or stolen, but if a credit card is used by someone else fraudulently, cardholders are by law not responsible for more than $50 of such purchases, and most banks don't even levy that.
4. Electronic records are far easier to maintain than paper ones. Ask an accountant.
5. Electronic transactions are far easier to trace than cash transactions. Businesses have been having problems with employees stealing their cash for a long, long time. That's why prices for small items started ending in 99 cent increments; employees had to make change and were less likely to stick bills in their pocket.
But cash has some distinct advantages.
1. When the lights go out, cash is still there. Many businesses, though certainly not all, will still take your cash even if they have no electricity.
2. Cash offers much more anonymity than electronic transactions. It cannot be easily traced from person to person, which is why virtually all illegal transactions use it.
3. To be seized, cash must be physically removed from someone's possession. It cannot be frozen like a bank account or a credit card.
Despite its disadvantages, cash is still 'king' when it comes to small transactions (<$25). And here's an interesting point: "
Consumers of all age groups list cash as their preferred payment instrument, yet 18 – 24 year olds actually prefer cash at a higher percentage (40 percent) than any age group."
http://thefinancialbrand.com/39408/consumer-cash-usage-banking-payment-research/
And considering that there are still $3.8 trillion in FRN out there, cash isn't going away any time soon.
Sigh...
