Why do we need new currencies?
The Money and Sustainability report of the Club of Rome outlines five elements which make the current monetary system unsustainable:
- Banking loan practice amplifies boom and bust cycles
- Discounted cash flow practice in investment leads to short-term thinking
- Compound interest imposes compulsory growth in a finite world
- Positive interest rates concentrate wealth at the top and impoverish more people. This threatens democracy with more support for anti-democratic parties, as occurred in recent European elections.
- Current measurements show social capital is being eroded, particularly in industrialised countries. Recent scientific studies show that money tends to promotes selfish and non- collaborative behaviour.
We need to move from the monoculture of one currency (centralized, efficient) to a permaculture of many different currencies (decentralized, resilient). We cannot measure all the different ways citizens contribute to their community with only one unit of account. We need a way to differentiate money earned by participating in the old global degenerative economy, with money earned by participating in the economy of your community.
A currency as a tool in our economy
We need to move from the monoculture of one currency to a permaculture of many different currencies.
We cannot measure all the different ways citizens contribute to their community with only one unit of account. We need a way to differentiate money earned by participating in the old global degenerative economy, with money earned by participating in the economy of your community.
From monoculture economy
- 1 currency
- Centralised
- Efficient
- Fragile and instable
- Only 1 way to contribute (increse gdp)
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To permaculture economy
- Many currencies
- Decentralised
- Resilient
- Many ways to contribute (wellbeing, knowledge, art, regeneration)
The power of community currencies
Communities are full of underused resources: individuals with time and talents; businesses, voluntary associations and local authorities with spare capacity (hire cars, restaurant tables, printing services, theatre seats, underused buildings).
Regional Currencies mobilize these resources without burdening taxpayers at the national or regional level. Regional Currencies:
- value talents and skills
- rebuild communities and strengthen local economies
- help protect local environments
- share inventory, labour and skills within the community
- harness volunteers more effectively
- support learning, training and skills-sharing
- sustain local businesses with spare capacity
- meet the demand for the care and support of the elderly.
Finally, they are not at risk from a meltdown in the financial sector.
Discover our inspiration
Want to learn more about community currencies. Explore what inspired us.
