Thursday, April 9, 2009

Struggling US towns print their own currency

http://www.telegraph.co.uk/news/worldnews/northamerica/usa/5126185/Struggling-US-towns-print-their-own-currency.html

Communities across America are bypassing the dollar and creating their own currencies in an attempt to help both consumers and businesses struggling in the recession.

The idea, borrowed from the Depression era when the currencies were known as "scrip", is designed to boost local spending and keep money circulating within the community.

Dollar rattled by Fed's plans and US jobs woeTypically, a group of businesses print a new currency which shoppers can then buy at a discount – typically one dollar will cost 90 to 95 cents – and spend at full value with participating companies.

Some of the currencies have been around for years but the recent economic downturn has encouraged others to follow suit. According to some estimates, there are now more than 75 local currency systems across the country.