As an avid road fan, I've been in 47 out of 50 states (no Hawaii, Alaska or Vermont) and roadtriped around 50.000 miles, in the course of 7 years.
I've stayed in hundrends of small cities, from Ogalala, NE to Ozona, TX and Oatman, AZ, and used my credit cards for all kinds of purchases, from Kroger and CVS, to outlet stores, gas, local shops, small eateries, fast food places, restaurants etc.
It still happens. I had it happen at a gas station in the middle of nowhere Nebraska or South Dakota (where he probably didn't have internet) as well as at a gas station in a bigger town where their internet was out.
Older ones did. Newer ones tend to run over the internet. They don't tie up a phone line at either end of the connection, and the information transfer is much quicker, so in most circumstances it works better for everyone.
Yeah, it's a low-end version of a pre-authorization. If the room is already paid for in advance, and you have no extra charges, they can just shred that imprint.
Had my own car for the trips, but have used cabs for convenience in Chicago and NY. I usually pay cabs in cash though (probably because I never think of cabs as accepting cards, thinking by my country's norms).
Better to ask, have you been _outside_ America. For I presume, in most countries who adopted CCs fairly recently, the concept of 'offline transaction' is entirely foreign.
How can you prove the pictures is the card and not just 'shopped though. With an imprint there's a larger barrier, creating an embossed card, doable but a barrier nonetheless.
With credit cards, unless there was a unique image on it then you'd often be able to guess from the number what the other card details should look like.
I'd argue that shopping a believable picture of a credit card that stands up to scrutiny is a higher barrier than the imprint - which really just involves some movable letters and carbon paper...