Economy of communities
The local economy seeks to break the strong connection between globalized manufacturing, transportation of goods around the world, and local consumers, who may not be interested in buying Coca-Cola and jeans. The local economy is focused on returning production, consumption and relations between the producer and its client to the level of local communities (districts, villages, communes) and to include in the system of economic relations not only the interests of a small group of global corporations' owners , but also the well-being of a large number of people and recovery of nature. The fundamental values of the economy in the interest of communities include human dignity, lack of exploitation, prevalence of human rights and environmental responsibility on a daily basis.
The full implementation of this approach requires participation of large structures (on the level of the national government , city or district). However, it is possible to support this economy on a private level, for example, by participating in the adoption of grassroots political decisions or by supporting local producers with aruble.
The full implementation of this approach requires participation of large structures (on the level of the national government , city or district). However, it is possible to support this economy on a private level, for example, by participating in the adoption of grassroots political decisions or by supporting local producers with aruble.
Universal Problem
The capitalist economy is focused on growth of the profits of individual producers and capital owners , and not on meeting the people's needs
Solution
The economy is "grounded" in local communities. Local communities can exit from more global (national or global) economic relations that are disadvantageous to them, supply chains of products and goods, labor relations, monetary relations that do not meet the needs and requirements of people, marginalize them. There is an exchange of goods and services, employment, economic and political decision-making at the local level.
Target Image
In the future local communities will make autonomous decisions and will have access to resources to implement them. People's needs are being met through greater local process control and local production.
Experiment Framework
- Self-organization on the level of community (district, village, city). On their own, they mainly solve the problems of employment / unemployment, exchange of services and goods (production and preparation of food, repairs, babysitting, medical and legal services, transportation).
- Introduction of local currency for solving local problems. It should not be approved by national authorities, as local currency may not circulate outside the community
- Local generation of energy, methods of waste processing, etc. However, similar systems do not imply complete isolation from national processes.
- Support for the community economy mainly depends on political will and government decisions, but grassroots initiatives of the communities themselves are very important.
Tools and Technologies
- Local Exchange Trading System (LETS) is a system to order exchange of goods and services between members of community, which provides its members with information about supply / demand and a settlement mechanism based on the local issued currency of the community
- A database which contains information about capabilities of all the actors involved in the exchange process ("money" / community credits, accounting for mutual obligations, etc.)
- Local currency (the issuer is not obliged to convert it to national currency and vice versa) controlled by community members. Monetary volume does not increase.
- Mutual credit system (up to blockchain)
- Organization of local production and distribution infrastructure (for example, tools for communication between local farmers and consumers of their products)
Scaling Plans
Plans include support of local initiatives, increase in number of local communities, sharing of methods and experience. It is assumed that within 20-50 years' infrastructure will become more distributed, access to labor, goods and services will be localized and will begin to meet the needs of people "on the ground". The problems of such communities are associated primarily with unequal enthusiasm of the inhabitants of one region / village / city and unequal desire to participate in economic processes on the local level.
Standards and Values
- Cooperation among economic relations actors instead of rivalry
- Priority of creating meaning for people, rather than making profit
- Voluntary involvement: no one is forced to trade and exchange
- Communication with local community, biology and geography of the region, its history and culture
- Reduction the impact of the economy on the environment, protection of local biodiversity
Communities
- CES is a South African local exchange system
- LETS communities (such as LETS Vlaanderen)
- LetsLinkUk is a site connecting UK LETS communities
- Community Exchange
- Solidarity Economy
- CLES is the UK national center for support of local economies
- RIPESS is a global center for promoting the solidarity economy
Allies
- Community Forge is a non-profit organization that develops and distributes tools for complementary currencies
- P2P-management is an open production process and exchange of knowledge among people
- Cooperatives such as BCCM.coop (Australia)
- Local food movements that seek to connect food producers and consumers in the same region
- Slow Movement that advocates abandoning the idea of productivity and slowing down the pace of life
What you could do in the Kruzhok for joining the approach:
- Buy locally made equipment, tools and materials, supporting local like-minded manufacturers.
- Organize a system of mutual support with Kruzhoks of the same profile , exchange unused materials, tools and equipment.
- Introduce a local "currency" or its equivalent for mutual support and development of association members.
