This summer I visited the New Economics Inst in South Egremont, Massachutess and learned about the successful local currency Berkshares. The Berkshares were launched in 2006 and over two million are in circulation today. They can only be spent at the small local businesses in Great Barrington, MA. The people who choose to use the currency make a conscious commitment to buy local first. Each Berkshare is 95 cents to the dollar. So residents who spend with Berkshares instead of federal dollars save five percent. Six different local banks have partnered with Berkshares, with a total of thirteen branch offices now serving as exchange stations. Four hundred businesses accept Berkshares including grocery stores, restaurants, bed and breakfasts and wellness centers. We spent some of our Berkshares at Guidos, the locally owned grocery store. We bought delicious, locally grown produce and were please to see that Guidos was bustling while the commercial grocery was empty.
Berkshares envisions a diverse and resilient regional economy that supports and prioritizes responsible production and consumption, wherein community members rely on the land and each other to fulfill the basic needs of food, culture, clothing, shelter, and energy.
Berkshares principals are Community, Economy, Ecology and Sustainability.
Berkshares principals are Community, Economy, Ecology and Sustainability.
The Berkshares were spawned from the New Economics Institute (formerly the E.F. Schumacher Society). They experiment with local currencies, community land trusts and micro-loans. They host lectures and other educational events, publish papers and maintain a library to engage scholars and inspire citizen-activists.
It was founded in 1980 by Bob Swan comrade of E.F.Schumacher who wrote the book “Small is Beautiful: Economics as if People and the Planet Mattered”, written 1973.
It was founded in 1980 by Bob Swan comrade of E.F.Schumacher who wrote the book “Small is Beautiful: Economics as if People and the Planet Mattered”, written 1973.
During our visit we met with Susan Witt, executive director of the New Economics Institute and co-founder the E.F. Schumacher Society with Bob Swan. She schooled us on the rich history of the Institute and the many inspiring experiments with micro loans (SHARE), Community Supported Agriculture (Indian Line Farms) and various currencies. http://www.berkshares.org/about/witt.htm
The Cordwood note was not backed by federal dollars but a cord of wood. A cord of wood is locally used and produced and the locals know the value. What could we back our currency with here in L.A.? A sack of oranges?
“Infinite growth of material consumption in a finite world is an impossibility.”
E. F. Schumacher
Check out this PBS documentary about Berkshares
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