ISH conference platform, International Conference on Community and Complementary Currencies 2011

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Why "demurrage"?

Hugo Godschalk

Last modified: 2011-02-15

Abstract


Headlines:
  • Original concept of Silvio Gesell for a state-issued monopolistic national currency
  • Overview of the historical development of Complementary Currencies (CC) based on demurrage until today (cash-based initiatives during the Great Depression in Germany, Austria, Switzerland, USA and Canada; premature prohibition in Europe; renaissance of demurrage in Europe, especially Regiogeld in Germany)
  • Reasons behind the demurrage-concept for local money (past and present)
  • Different kind of performance of demurrage (level & ways of charging)
  • Case study: WIR-Franken in Switzerland as most successful and longstanding CC without demurrage
  • Effects of Gresham´s law on the velocity of local money; case studies of stamp scrip during the Great Depression in the USA
  • Preventing hoarding and improvement of velocity without demurrage
  • Implementation of demurrage within cashless CC: Constraints to demurrage by regulation?

Full Text: Godschalk paper