I have become involved in our local Chamber of Commerce and we have been brain storming new ideas on how to promote business in our community. I had the idea of developing a local currency / trade token type of program that would encourage local money to be spent locally. Anyone have any ideas how such a program would be put together and managed? How would the currency be distributed to the consumer and then redeemed for cash by merchants. I have a few ideas, but I am just looking for some more. Thanks.
There have been some articles in The Numismatist and Coin World. One of the people that helped to design a program in MI posts here pretty regularly so perhaps he'll have some advice for you. I believe there's a thread here about local currencies as well. Good luck and have fun with it.
Look at http://www.schumachersociety.org and http://www.communitycurrency.org and http://www.baybucks.org Bay Bucks is the project I have been involved in. Sample notes look like these below. How they are inserted into the economy depends on your models. In our case, one proposal is to pay people for "community work" such as cleaning up the banks of the local river. Collateral efforts include store signs "We accept Bay Bucks" and having merchants offer Bay Bucks in change. Our local Downtown Development Agency created their own "Gift Certificates" but that program lags for several reasons. A strong community involvement is important. In our case -- as in many others -- it comes from the so-called "alternative community." Other involvement come from local merchants who are squeezed by "big box" stores. I feel that the most important factor ist to think small. You need to define your community and get their support. To help that along, a newletter or website lets people know where they can spend local currency. Also, in our case, we have a closed loop. Our area is heavily agricultural and in addition we have a strong local food co-op ($3 million annual retail sales) that buys local and local organic produce. The farmers then can spend the local currency at the local hardware store and the people there can use it at the natural healthcare providers, bookstores, etc., who then can take it to the co-op to buy groceries. It seems to me that your model is more in line with a coupon. You are closing the loop with outside money. Your merchants will redeem the local currency for "cash." That can be an aspect of the currency, that a board will exchange at some rate. (They do that in Toronto: only merchants can redeem and then only for 90 cents on the dollar.) However, exchange of local money for federal money runs counter to the basic intent of a local currency. The idea is to keep your wealth local instead of exporting it. (At least, that's our model in Traverse City, Michigan.)
Thanks for the info Mike. Does the TACCC hold public meetings, I would be interested in attending and obtaining additional info. I really like the design of the Bay Bucks, very fitting for the area.
Or you could use these http://www.libertydollar.org/ Trust placed in "community" is misplaced trust indeed.
Not a bad gimmick. Anyone that wants to give me $10 for one ounce of silver, is OK by me. Then if silver ever reaches $10 +, they will have to pay $20 for an ounce. You gotta love the American Spirit !!
These notes were defaulted. When silver spiked about six months ago, the notes were retariffed two for one. That was a disappointment for me, as well, placing a lot trust, as a I do, in people who call themselves "patriots." Also a disappointment were the silver rounds of the Liberty Lobby. Most silver art bars are at least 31.1 grams. The extra .1 grams or so is not a profit factor and serves to make the bars more acceptable. However, I weighed a couple of half-ounce LL rounds they were 0.1 grams shy.
I am not in charge of this. I just offer my expertise as a numismatist to help make the project successful. There are actually four mottos: In Community We Trust Community Currency Traverse Area Community Currency Bread for Your Watershed (See my comment on the Liberty Lobby and on these Silver Notes of NORFED.)
I think that the website lets you get on the mailing list somehow. TACCI holds few public meetings these days. The meeting phase ran about 15 months. Once the ground work was laid, the next phase is to get the notes out. There may be one meeting before that and there will be meetings at that time. Again, I am not in charge of anything. I am just one member who happens to know something about the forms and uses of money.
