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Post by begood2 on Feb 15, 2010 22:25:58 GMT -5
I have been reading where some regions of the country have been using a local currency to stimulate the local economy. In some cases they use an exchange rate of 95 Federal dollars to equal 100 local dollars! It is an interesting concept, but I'm not sure how easy it would be to detect counterfeit bills and how the IRS would respond to someone being paid wages in local currency! BerkShares: Local Currency for the Berkshire Region www.berkshares.org/Video/CBS09.htm
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Post by Jayda on Feb 15, 2010 22:32:58 GMT -5
Automatically, in my opinion, it sounds like a bad idea. I'll have to do more research, though, because I've heard nothing of this until just now! Thanks for the info!
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Post by shadow on Feb 24, 2010 15:35:45 GMT -5
Yeah I havent heard about that either but didnt they have a problem with that with the articals of confederation? All the states had different mints and it led to an unstable national enconmy because no one could keep track of it. And what if some areas dont accept the currancy of another? its a real pain having to keep track of the exchange rate and while the currancy my be fine it could also be less than the national currancy and that would makes things worse
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Post by Andrew the Penguin on Mar 3, 2010 0:22:38 GMT -5
It's happened before. In Ithaca, somewhere on the East Coast (I think in Maine...?) they started using Ithica Hours, each hour worth about 10 dollars, because that was the average wage per hour there.
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Post by Jayda on Mar 3, 2010 15:48:31 GMT -5
I really don't think it's a great idea. I agree with Shadow - that would make things extremely difficult. It would break up the states even more than they already are. I still need to look into all of this, but as far as I know right now, it really doesn't seem smart at all.
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Post by Jayda on Mar 15, 2010 15:25:54 GMT -5
Okay, so I asked my mom a little while ago about this (finally) and she said that it's illegal to create an actual local currency within the USA. It would ruin our national economy and would lower the value of the US dollar even more, I think. And my mom and I are pretty sure that it would be difficult especially when you travel to different states because you wouldn't be able to use your own currency.
So, basically she did affirm that based on laws and the constitution (I think?) and such that it is illegal. Well... I mean, you could petition to the federal government and ask but they'd have to agree, which they most likely wouldn't do, that sort of thing.
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Post by begood2 on Mar 16, 2010 4:29:42 GMT -5
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Post by begood2 on Mar 16, 2010 22:06:01 GMT -5
It's happened before. In Ithaca, somewhere on the East Coast (I think in Maine...?) they started using Ithica Hours, each hour worth about 10 dollars, because that was the average wage per hour there. The Ithaca Hours is in New York. You can trade in 9 Federal dollars for ten Ithaca Hours. Let's say you want to buy a computer for $700.00 at a store that accepts this local currency. If you convert your federal dollars into Ithaca Hours at the exchange rate of 9 for 10........you would only need to convert $630.00 federal dollars to equal $700.00 Ithaca Hours. So you would have saved $70.00 by shopping locally with that local currency! The North Carolina Plenty is another local currency:
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