-Caveat Lector- From: http://www.coopamerica.org/individual/Marketplace/IMMMbart.htm Barter, the direct exchange of goods for goods, was how early economies operated. As trade became more complex, barter proved inefficient. Money was invented as a medium of exchange. For thousands of years that medium was itself a real commodity or backed by valuable commodities. The first Latin coins were stamped with the image of a cow and backed by cattle. Romans paid their soldiers in salt, hence the word "salary" and the phrase "he’s not worth his salt." Adam Smith in Wealth of Nations describes many kinds of money: iron nails in Scotland, dried cod in Newfoundland, sugar in several West Indies islands. Every North American school kid learns that Native Americans used "wampum," money consisting of black and white beads. Colonists also had their own form of wampum: corn was legal tender in Massachusetts in the 1600s. In the 18th century, paper money was invented. These I.O.U.s were backed by gold and silver. In 1933 Franklin D. Roosevelt abandoned the gold standard for U.S. citizens. Paper money is now backed by nothing at all but our faith that someone will accept it at face value. Is it any wonder that every dollar bill is inscribed with the words "In God We Trust?" Today, central banks decide how much money to circulate. But for more than 1,000 years cities issued their own currency. Communities have often resorted to issuing their own currencies to energize their economies. John Kenneth Galbraith describes how the Virginia legislature made tobacco legal tender. An economic boom resulted. That system lasted for 200 years, ending only when the 1789 U.S. Constitution stripped state governments of the right to issue their own currencies. Irish economist Richard Douthwaite describes Austria’s fascinating experiment with local currencies during the Great Depression of the 1930s. The mayor of Worgi printed notes called "tickets for services rendered," which he used to pay people working on a bridge and a drainage scheme. The scheme was so successful that other towns joined, and whole areas were transformed out of poverty within three months and into prosperity within a year. But when 200 mayors announced they were going to do the same thing, the Austrian central bank appealed to the Supreme Court, which promptly declared the local currencies unconstitutional. In the 1990s the issue of money has become central for several reasons. First, as Belgium economist Bernard Lietaer argues, the exchange of money in the form of currency speculation now threatens the real economy. When governments abandoned fixed exchange rates and electronic forms of money appeared around 1970, the financial economy and the real economy disconnected. In 1970 virtually all currency exchange supported real economic transactions — foreign investment, tourism, aid. By 1997 the volume of currency speculation in just one day is greater than the total volume of world trade in one year. Trillions of dollars or yen or marks slosh across the planet in instantaneous fashion, engendering an instability which benefits only financial brokers. Currency speculation changes the comparative prices of goods and services overnight. Today CEOs spend more of their time dealing with currency fluctuations than any other single factor. A global financial collapse is predicted by Lietaer. Others worry that the monetary policies of central bankers undermine the vitality of local economies. Some argue that poorer communities, which lack money, should develop mediums of exchange that can take advantage of their unused labor. And finally, there are those who believe that money itself may be a problem. By converting all transactions into cash, we have weakened the webs of social exchange and undermined a sense of community. Even as the continent of Europe moves toward adopting a single currency, hundreds of communities within Europe and thousands across the globe are experimenting with homegrown mediums of exchange like Ithaca Dollars, Time Dollars and P.E.N. Shares. We have always known that the amount of money mattered. What we are now learning is that the form of money may be equally important. DECLARATION & DISCLAIMER ========== CTRL is a discussion and informational exchange list. Proselyzting propagandic screeds are not allowed. Substance—not soapboxing! These are sordid matters and 'conspiracy theory', with its many half-truths, misdirections and outright frauds is used politically by different groups with major and minor effects spread throughout the spectrum of time and thought. That being said, CTRL gives no endorsement to the validity of posts, and always suggests to readers; be wary of what you read. CTRL gives no credeence to Holocaust denial and nazi's need not apply. Let us please be civil and as always, Caveat Lector. ======================================================================== Archives Available at: http://home.ease.lsoft.com/archives/CTRL.html http:[EMAIL PROTECTED]/ ======================================================================== To subscribe to Conspiracy Theory Research List[CTRL] send email: SUBSCRIBE CTRL [to:] [EMAIL PROTECTED] To UNsubscribe to Conspiracy Theory Research List[CTRL] send email: SIGNOFF CTRL [to:] [EMAIL PROTECTED] Om
