Might Sustainable Energy Cost Carrying Money Have a Future?
13 Pages Posted: 23 Nov 2012 Last revised: 5 Mar 2013
Date Written: November 20, 2012
Money becomes sustainable when its value is defined by electricity produced from local benign renewable energy sources. As energy consumption is related to living standards, Sustainable Money introduces a global unit of account with its value determined by the capacity of each bioregion to sustain humanity on the planet. Sustainable Money is created locally by mutually owned credit insurance agency that guarantees purchase contracts entered into by those who produce wealth by producing, trading, investing and/or consuming. The cost of the credit insurance is attached to the contracts to create a cost carrying form of money that denies money being a store of value or source of wealth inequality. Sustainable Money: (a) reduces the cost of the financial system; (b) facilitates prosperity without growth; (c) insulates communities from external financial turmoil; and (d) changes the relative prices of local resources to reduce the need for carbon taxing and/or trading.
Keywords: Cost carrying money, Financial-system, Local currency, Resource-allocation, Sustainable Money
JEL Classification: E42, E50, G20
Suggested Citation: Suggested Citation