This paper reviews the nature of the Year 2000 computer problem. First, the general causes and immediate outcomes of the bug are described. Next, the potential impact of and readiness for the Year 2000 by various levels of government are described. A number of federal government agencies are discussed. Overall results of a survey of state government efforts and readiness are reviewed. A survey of 500 county governments is assessed. Finally, conclusions based on a thorough literature review are drawn and key dates in the Year 2000 timeline are noted.
When businesses and governments began putting their records into computer databases and files in the 1950's, storage space was far more limited than it is today. In order to save space, dates were typically recorded in the month/day/year format, with two spaces available for each. Thus, the date May 27, 1963 was recorded as 052763. Combined over millions of records, this saved much space, but there was a problem lurking. When the century turns on New Year's Day, 2000, many computer programs will be unable to distinguish the year 2000 from the year 1900. According to many computer experts, this seemingly innocuous glitch has the potential to foul many computer dependent systems. In some cases, consumers may find themselves stuck with a bill for a 99-year-long phone call. In other situations, computers confused by the date discrepancy may become trapped in a feedback loop as they continuously try to reload the date. Called variously the "Millennium Bug," "Millie," the "Date Change Problem," the "Year 2000 Problem," or simply "Year 2000," the problem has become a recent topic of much debate (Yardeni, 1998d). The purpose of this paper is to assess the potential problems that Year 2000 poses to government operations and the state of readiness in various government agencies.
In conducting this assessment, the focus will be on the United States. There are two reasons for...