Sunday, October 12, 2008

Out of money? Make your own.

The Oil Drum explores an old idea - one that our communities can use, too. This is a rather longish article about the history and current use of the relocalization tool that many communities have utilized now and in the past for helping to keep the local economy flowing when the overall national economy was in the dumps due to lack of credit and/or cash available to ordinary people.

Locabucks: Are local currencies a way to escape the liquidity trap?
Posted by Big Gav on October 11, 2008 - 10:55am in TOD: Australia/New Zealand

The comments are just as interesting as the article, as posters from various states tell about their community's local currencies and which businesses and industries participate, and some of the methods and shortfalls of figuring out how to "back" the currencies and "value" them. On the web, there is a great deal of information about local currencies being used in various towns and boroughs in Europe, but not a lot about US local currencies that substantially fleshes out the concept. I would imagine such details would be very individual - community by community, that is.

As the purchasing power of the US dollar continues to decline, and more and more people are finding themselves out of work, a "Jewish" currency could be a medium of exchange developed for use within our own communities. There are models out there that can be emulated - not that I expect anyone to jump on this idea, but it's something to keep in the back of your mind.

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