First Microsimulation Model of a LEDDA Community Currency-Dollar Economy
Results are presented for a first-in-class microsimulation model of a community currency (local currency) system. The agent-based, stock-flow consistent model uses US Census income data as a starting point to project the evolution of community currency and dollar flows within a simplified county-level economy over a period of 28 years. Changes in the distribution of family income are tracked. The community currency system under investigation is the Token Exchange System (TES), a component of the larger Local Economic Direct Democracy Association (LEDDA) framework under development by the Principled Societies Project. The model captures key design features of a TES, and results suggest parameter ranges under which the simulated TES is capable of achieving stated aims. Median and mean take-home family incomes more than double during the simulation period, income inequality is nearly eliminated, and the unemployment rate drops to a 1 percent structural level. The need for more sophisticated modeling of a TES, and avenues for future research, are discussed.
|Date of creation:||May 2014|
|Date of revision:||Oct 2014|
|Publication status:||Published in International Journal of Community Currency Research, 2014, vol. 18(A), pp. 11-29. http://ijccr.net/2014/10/14/first-micro-simulation-model-of-a-ledda-community-currency-dollar-economy/|
|Contact details of provider:|| Web page: http://www.PrincipledSocietiesProject.org|
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