tives. On the one hand, voices are being raised in support of enhanced government control of a medium that will some day affect most aspects of Americans' daily lives. Those who reject government involvement and regard the Internet as something to be nurtured or left unfettered, take the position that regulation could inhibit Internet growth and result in a consumer backlash. Bettelheim and Ota (2000) state that in general, Republicans tend to present an antiregulatory posture while Democrats appear willing to proceed cautiously on a series of relatively narrow consumer privacy and protection issues.
Among the issues that are being considered are the potential of e-commerce practices to create violations of existing interstate commerce regulations, Internet tax policy, online voting, banking, and other financial activities, the growth of the so-called digital divide, and questions related to the privacy, security, and safety of Internet activities (Samuelson, 2000). This report will consider these issues, drawing upon the literature to demonstrate that while a great deal of uncertainty as to the proper and optimum role of government vis-a-vis the Internet does exist, it is highly likely that government will find itself faced with the necessity of making its presence felt in the new world of e-commerce and communications.
How extensive - and how lucrative - is e-commerce? Forrester Research Group, in 1997, reported that U.S. Internet commerce amounted to $8 billion for goods and services and projected that by 2002, this figure is expected to rise to $327 billion (Penbera, 1999). The following table, produced by Penbera (1999) and based on results of the Forrester report, depicts current and anticipated
U.S. Internet Commerce Revenues (Billions), 1997 & 2002
All Sectors Total 1997 $10,547 $8/0.1%
2002 $2,682 $99/3.7%
(Non-durable) 1997 $1,829 unknown
Retail 1997 $4,216 $2/un...