MMT and a Community Currency

Interesting to  see that MMT has been discovered by the alternative currency movement and has been pressed into service.  The acronyms makes this piece in Re-Imagining Economics by Tadit Anderson very hard reading but worth it.

The Community Reserve Exchange: a Community Exchange: Based Upon Modern Monetary Economics
Submitted by admin on Sun, 04/10/2011 – 11:06

The CRX model is a Local Exchange Trading System and is an advancement over the common model applied as a LETS system. The most common LETS model is a debt based exchange system, and thereby reproduces the private and debt based monetary process at a community level. The CRX reflects the current best proposal for the reforms analyzed as necessary to reform the current default of a privatized monetary system. It thereby complies with the principles that are crucial to the American Monetary Institute proposal for national monetary reform. The details of the AMI proposal can be found at their website.

The CRX also applies the principles of modern monetary theory, as detailed by post Keynesian economists such as L. Randal Wray and others. It also includes many of the principles of functional fiscal policies as advocated by Abba Lerner, Hyman Minsky, and others. It defines the value of basic labor upon the principle of a “living wage.” It also applies limitations to prevent usury, organizes to share risk, and supports the development of community. The CRX is intended as a practical process to facilitate exchanges, retain community wealth, and serve as an educational tool to advance economic literacy and the advocacy of economic reform. (link to article)

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