Fortunately, we have moved into an age where it will be incredibly easy to develop easy to use exchange or system of exchanges that can operate or be restricted to geographically defined areas.
Every member of a community will be able to exchange the goods they have, or the labour, skills and experience they can offer whoever needs them directly for goods, or a common online unit of exchange that can be added if there is a shortfall or received as change if what provided or offered into the exchange is agreed as being worth more than what the other party has to exchange in return.
Yes, I can hear you thinking ‘well that’s why we need the pound we’ve already got!’ – and I agree that on the face of it, that’s what most people would think too.
The problem is that the Pound IS ONLY A UNIT OF EXCHANGE – no matter what anyone tells us or what anyone thinks.
The only reason the Pound works as it has done until now is because of the belief that people like you and I have placed in it. Our currency and financial system is basically a money system built on trust.
That trust has already been broken. But the break and the lie is only now being fully revealed so that all of us can see.
To make any currency work again when there is change of the kind we are facing, its foundations must be based within a system of a size and type where people can actually trust what money is, and what it actually does.
The point has regrettably long since been missed that the real function of money was to make bartering or the exchange of goods or labour much easier.
For instance, when there was no money: if a fisherman had fish spare but wanted his horses saddle repaired, he might have to exchange the fish for bread with the baker, the bread with the butcher for meat, and then the meat with the saddler for the time and materials from the Saddler – who might have gone through a similarly convoluted route to secure whatever he needed to live, but also to work.
Like the goods used in this example, labour, skills and the experience that each of us has are also a commodity which have value for others.
It is only because our experience tells us that it’s the money that we receive for providing our labour, skills and experience to others that holds the real value, that we have accepted the way that prices escalate at rates that others decide.
In a period of massive change, when everything that we know or take for granted has stopped, and the great correction is underway, one of the key areas of change will be our relationship with money and the way we pay for the things that we need – and if we are able, that we want.
The refocusing on local production and localism in its truest sense that we will have to embrace will enable a much healthier relationship with money to exist. One where money will be seen again as the unit of exchange that it is, rather than the must-have or endgame in everything that it has sadly become.
Money is a unit of exchange that doesn’t hold any value of its own.
However, we have been conditioned to think that it is the money itself and not the goods or services that we use money to exchange with that have no value until such time as they are bought or sold.
This way of thinking only serves the rich, powerful and governments that have an unhealthy desire for control.
In the period of change or transition – or the process of correction that lies ahead, the financial system and the way that money and our currencies are valued today will inevitably change.
The process of that change itself is likely to involve and be driven by inflation of a kind that will at least temporarily make money worthless in every practical sense.
It follows that during a period of turmoil such as the one that we face, the joined-up thinking and continuity of the way that money and finance works that we have been used to and taken for granted will break down.
Whilst a transition to a new financial system that works fairly and appropriately, and at the right way that it should for everyone, it must not become an aim that can be in any way compromised.
Like politics and the system of government structures around it, it is because of the role that money plays – as it will continue to do so, even in its correct form, it is absolutely necessary that the monetary system and the way that financial systems work are dictated and governed from the grassroots up.
To do otherwise, puts all of the power and utility that money and its use as a medium of exchange provides into a third parties hands.