Вестник Российского экономического университета имени Г. В. Плеханова (Feb 2018)

LOCAL CURRENCY AS A METHOD OF ECONOMY INTENSIFICATION

  • Oleg E. Kalenov,
  • Sergey N. Kukushkin

DOI
https://doi.org/10.21686/2413-2829-2018-1-100-106
Journal volume & issue
Vol. 0, no. 1
pp. 100 – 106

Abstract

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The article describes local currency as an additional means of payment functioning along with the national currency on a certain limited territory or within a certain community. The authors characterize this type of currencies, identify their aims and forms and analyze foreign and home experience of using them. The article puts forward a mechanism of local currency circulation by describing its key elements. In this case the combination of three main factors is necessary: participation of those who deal with production and consumption, support of local authorities and interaction with local banks and other finance and credit organizations. The authors advance a hypothesis about the beginning of the stage of transforming currency interactions, when horizontal ties between currencies give rise to vertical structure of these relations.

Keywords