This essay describes the benefit of complementary currencies for the global economy. Especially in times of a deflationary crisis, as we can experience it actual with the EURO crisis, are …
This essay describes the benefit of complementary currencies for the global economy. Especially in times of a deflationary crisis, as we can experience it actual with the EURO crisis, are complementary currencies valuable to ease the economical disaster. The idea of superneutralisation of monetary systems leads to the option to think about alternative monetary systems not only in local extension, as we know them from community currencies, but also in a global scale.
The content of this essay does not argue for and against local or global approaches. It wants to show, that the experiences with local and community currencies are very valuable and important in an also global scale, not only as emergency monetary systems in times of deflationary crisis. The essay wants incorporate the dynamical growth of local initiatives with new economical approaches to domesticate the big business in advance.
Following up the EURO crisis is it possible to transform parts of the mechanism of superneutralisation to the common currency area of the EURO zone. In this sense a superneutralised European currency incorporates the advantages of a common currency with the advantages of national currencies. The problems with inner European trading imbalances could be minimized due to the flexible exchange rates of this system. To reach the balance of trading is one of the main challenges to keep Europe political and economical stable. And the described measure would be that tool to reach this goal. It could help to stabilize the European economies.
Alternative monetary thinking is important. One of the great achievements of community currencies is the use of low interest currencies. The essay describes the effect of reconciliation, which is based on superneutralisation and low interest currencies, as the most reasonable tool to solve the problems of public debts. As the superneutralised EURO zone would allow the implementation of low interest national currencies, it opens a opportunity for another tool to solve the EURO debt crisis.
The subchapter “Compatibleness of low interest and interest free money in a superneutralised currency area” will deal with the orthodox tenets of the quantity theory of money and neutrality of money.