Local Exchange Trading Systems

Copyright Sidonie Seron 1995.

Memoire presente par Sidonie Seron en vue de l obtention de la Maitrise de Langues Etrangeres Appliquees
Octobre 1995

Faculte de Langues et Communication
Departement des Langues Etrangeres Appliquees
Universite de Bourgogne - Dijon

Table of Contents

ACKNOWLEDGEMENT

INTRODUCTION

1 - CREATION AND GROWTH OF LETS

1.1 LETS' background

1.1.1 Michael Linton's reflection on conventional economy

1.1.2 Problems with conventional money

1.1.3 Alternatives to money

Barter

Commercial barter networks

Countertrade

Local currencies

1.2 Principles of LETS

1.2.1 A community with personal currency

Community

Personal money

1.2.2 Fundamentals

Cost of service

Consent

Disclosure

Equivalence

No interest

1.2.3 LETS organisation

Role of Landsman Community Services

System administration

Directory

1.3 LETS development

1.3.1 Variations on LETS

EthicaLETS

LETSupport

LETShare

CapitaLETS

MultiLETS

1.3.2 LETS development strategy

Aims and principles

Contribution to Community

Regional development groups

1.4 World-wide growth of LETS

1.4.1 First experiences in Canada and the USA

1.4.2 New start in Australia and New Zealand

1.4.3 Arrival in the UK

Development in the UK

Letslink UK

1.4.4 Situation in the rest of the world

2 - SITUATION IN MANCHESTER

2.1 Manchester LETS

2.1.1 Presentation

Creation and growth

Promotion

Organisation

2.1.2 The small business network

Originality

Advantages

Results

2.2 LETSgo Manchester

2.2.1 Aims

Demonstration of the viability of LETS

Accelerated growth in the number of LETS

Test of a new concept

Confirmation of the leading role of Landsman

2.2.2 Principles

Large scale

Community support cycle

LETShare

Choice of Manchester

2.2.3 Design

Programme budget

Financing

Trainees

Further revenue

2.2.4 Implementation

Introduction across Greater Manchester

Practical course

3 - ASSESSMENT OF CONVENTIONAL ECONOMY

3.1 General context

3.1.1 Creation of money

3.1.2 Current situation

3.1.3 Nature of money

3.2 Positive aspects of money and global economy

3.2.1 Strengths of money

Medium of exchange

Store of value

Unit of account

Standard of deferred payment

3.2.2 Advantages of a global economy

Economic growth

Increased choice

Lower prices

3.3 Problems with our global economy

3.3.1 Weaknesses of conventional money

Inadequacy to real wealth

Interest rates

3.3.2 Drawbacks of our global economy

Interdependence

Unfair competition

Social and environmental problems

Crisis in developed countries

3.4 Strengths and weaknesses of existing alternatives

3.4.1 Barter

Simplicity and adequacy to wealth

Low level of economic activity

3.4.2 Commercial barter networks

Efficiency

Restrictive character

4 - ANALYSIS OF LETS

4.1 LETS' main characteristics

4.1.1 Community orientation

Money stays local

Boost for the local economy

Friendly atmosphere

Help for local charities

Less pollution

4.1.2 Personal money

Availability

Notional money

Positive psychological effects

4.1.3 Economic analysis of personal money

4.2 LETS' fundamentals

4.2.1 Cost of service

4.2.2 Consent

4.2.3 Disclosure

4.2.4 Equivalence

4.2.5 No interest

4.3 Weaknesses of LETS

4.3.1 Limited impact

Limited means

Low awareness

4.3.2 Low credibility

Unusual logic

Strong alternative image

Arguable assumptions

4.3.3 Vulnerability

Potential abuses

Possible take-over by commercial networks

4.4 Legal situation in the United Kingdom

4.4.1 Taxation issues

Users' responsibility

Distinction between commercial and social trade

Tax assessment

4.4.2 Social Security issues

Conditions

Remunerative work rule

CONCLUSION

LETS' strengths and weaknesses

Problems identified by LETSgo Manchester

Actions

Results and future projects

Conclusion

Afterword

NOTES

APPENDICES

BIBLIOGRAPHY

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