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Explain the concept of “Electronic economic system”.

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This is a factor of economic globalization. It is the revolution in communication that made this development possible. As computer and the internet chains became widespread, it was possible for banks, corporations, fund managers and depositors to send money to any part of the world within seconds. Of course, there is the possibility of loss of ‘electronic money’ as the transaction happens with a click of the mouse. The rise of fall of share market is an example. We often see heavy losses in the share market. As changing money from one person to another or from one source to another has become very easy, the probability of losses also has increased.

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