Introducing a new local currency after an event

[grumpy old man]

the book would be just like a credit card you sell your stuff to the shop keeper he gives you credit fo an agreed amount. if you see some think in his shop he takes the price off your credit book.
you dont hold onto things so the more you make the more you can sell it could be use for a labour market as well. the kights templer had a simular system for traders moving around france and europe to keep their gold safe

[Skvez]

I've thought of a 'coin' that can be used after TEOTWAWKI.
It's small, light, has intrinsic value (is universally useful across all surviving groups) and everyone already has some or will recognise the value of having more of them.

It's .... a match.

Problems are that they'll dwindle in numbers (after an event, making more will be difficult and they'll get used up)
and it's prone to too many jokes about "burning money".

[Skean Dhude]

(8 September 2011, 10:46)Skvez Wrote: It's .... a match.

It meets all the criteria. The only thing is would it be too easy to counterfeit?

I like the thought process though. Let me think about it.

[Skvez]

(8 September 2011, 12:09)Skean Dhude Wrote: would it be too easy to counterfeit?

For a small transaction you could take the risk, for a big transaction you could afford to select one at random and "test" it.

[grumpy old man]

how about bullets the numbers will go down aswell, hard for anyone just to make and you cant just use flint

[Skvez]

(8 September 2011, 17:26)grumpy old man Wrote: how about bullets

Those probably would work well in the US but not as well over here.
There will be too few of them to start with and a bullet has no *use* if I don't have a weapon in the proper caliber.
I still prefer bullets to writing my 'bank balance' in a book somewhere.

[grumpy old man]

the hard thing is finding something every one values and nobody can copy?
socialisim or capitalism good and bad on both sides?
sometimes it's better to stick with the devil you know!

[Skean Dhude]

Grumpy,

That is not such a bad idea. Again it is having enough to actually use as a currency.

Gold, SIlver, etc. are tried and trusted methods but the problem in the UK is that hardly anyone has an amount of any size, plus we don't really now how to validate and value it. We could learn as the value would be different after an event.

One thought is to use ordinary currency but mark them up in a unique way first. So that they cannot easily be replaced. Perhaps something like Libyan currency that is worthless in real terms. Even monopoly money would be valid.

Another area I was looking at was promissory notes. IOUs in reality but again they come down to honesty and integrity.

I think we need an economist.

[grumpy old man]

all money is just a promissory not. the "bank of england promises to pay the bearer on demand the sum of" ?
but what would they pay? it,s just a promises.
the reason gold has a value is it's hard to get but in an after event there will be a lot of gold kicking about. you would need to agree something with the people you are with then sell the idea to the next town and so on.

[Skvez]

(9 September 2011, 09:55)grumpy old man Wrote: All money is just a promissory note. The "bank of england promises to pay the bearer on demand the sum of"

But it's not. Before we changed to fiat currency the bank of England promised to turn your note into Gold, yes it was a promise but it was a promise backed by Gold. These days (since we changed to fiat) it's an empty promise.
A precious metal coin has intrinsic value, it's not just a promise.
Until there is an authority that we all trust (such as the bank of England (is supposed to be)) we need money that has intrinsic value. (Promissory notes only work if both parties trust the authority that issued it).

The problem with using precious metals for coins is that people faked them and filed pieces off them (the milled coin invented by Sir Isiac Newton was a breakthrough in anti coin-fraud) but all transactions have the risk that what you get is not all you thought it would be (the pig is sterile, the cow is dry etc, the bow doesn't shoot straight).