Wednesday, February 14, 2007

Le SEL

My previous post reminded me of one thing:
One is a parallel network in France called "le SEL" (Systeme d'echanges locaux, in English LETS, that is, local exchange trading system) where people trade things and services instead of buying. The system was first created by a Scottish man living in Vancouver, Canada, in the 80's, Michael Linton, who had this idea because he was struck by the number of talented people who couldn't afford many things.
I here quote the shortest definition I found online:
"LETSystems are local, non-profit exchange networks in which goods and services can be traded without the need for printed currency.
LETS networks use interest-free local credit so direct swaps do not need to be made. For instance, a member may earn credit by doing childcare for one person and spend it later on carpentry with another person in the same network. In LETS, unlike other local currencies, no scrip is issued, but rather transactions are recorded in a central location open to all members. As credit is issued by the network members, for the benefit of the members themselves, LETS are considered mutual credit systems.
Michael Linton originated the term "Local Exchange Trading System" in 1982 and, with his wife Shirley, for a time ran the Comox Valley LETSystems in Courtenay, British Columbia. The system he designed was intended as an adjunct to the national currency, rather than a replacement for it, although there are examples of individuals who have managed to replace their use of national currency through inventive usage of LETS [citation needed]."
LETS systems were introduced in France in the 90's, after Great Britain, Australia, the Netherlands. In 2004 France counted more than 350 such local trade networks. In GB at the same time they had 300 groups, with more than 20.000 people.
Think about it.

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1 comment:

Anonymous said...

roberto says: I was real interested in this subject some time ago. I think that if things get tighter, economically, these kinds of systems spring up easily, without much effort. Right now, it is difficult to pull off. Thanks for reminding me.