Monday, January 5, 2009

A small town in Austria

Found a great local solution, at one time, to the problem of a major deflationary depression: Freigeld. It was tried in Wörgl Austria during the Great Depression to huge success- until of course their version of the FED jumped on them for actually doing something that worked.

As the American Monetary Institute argues, money isn't supposed to be a commodity or a store of value, but rather an object of law to regulate trade. If so, then there is good argument for removing the banks from the system and replacing it with the US Treasury Department- thus allowing the government to engineer against both inflation and deflation with public infrastructure projects, paid for by printing money.
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Oustside The Asylum by Ted Seeber is licensed under a Creative Commons Attribution-ShareAlike 3.0 United States License.
Based on a work at