county currency: a currency issued by a county government that it accepts in payment of taxes.
The county currency plank currently before the Iowa GOP Platform Committee:
Transactions conducted in county currencies shall not be subject to Federal or State taxes.
Preliminary legislative statement of resolve:
WHEREAS freedom is founded on independence, and
WHEREAS independence is founded on self-sufficiency, and
WHEREAS self-sufficiency is vital to security, and
WHEREAS global interdependence has proven to be a threat to national security,
"Main street" is facing a crisis in underutilization of local assets, including human labor. The price of these assets is being propped up from the top, while financial resources to purchase them remains unavailable to "main street".
The Federal Reserve is making low interest rates unavailable to "main street" while allowing an inflated money supply to "trickle down" from global financial elites who enjoy those low interest rates. With this borrowed money the global financial elites enjoy uninflated prices as they buy up inflation-resistant assets that are underutilized due to economic malaise. This hoarding of inflation-resistant assets with an inflated money supply, happens as that inflated money supply then trickles down to "main street" by which time price inflation has rendered those assets out of reach. Moreover, this is a global phenomena affecting global supply chains, including supplies of capital ultimately producing sovereign debt crises such as that emerging in Europe and is likely to emerge in the United States -- particularly if Ron Paul is not elected President and, on his coat-tails, a Congress that honors their oaths to the Constitution.
It is, therefore only prudent to prepare for disruption of global supply chains in the not-too-distant future. This can be thought of as buying insurance against such disruption. Moreover, there is an immediate need to address local economic distress -- particularly as it pertains to underutilization of human capital and provision of basic human needs as is evidenced, for example, by the explosion in dependence on federally funded food assistance programs.
Local production of basic human needs by underutilized local human capital is an obvious remedy to such dependence on federal programs.
Barter is one obvious option, eg: volunteering labor to food producers in exchange for food. However, housing costs are less amenable to such barter, and those costs exceed the cost of food for a typical person. Then there are utility bills, etc. Clearly mortgage lenders dependent on the Federal Reserve for "liquidity" cannot engage in barter for housing -- nor can land lords who live outside the locale. Even local land lords would have difficulty properly utilizing the labor of their tenants, so bartering labor for housing is not practical, even for land lords living in the community.
What is needed is local money that local land lords will value. If local land lords value it, local food producers will value it. If local land lords and food producers value it, the economic foundation for local utilization of underutilized assets will exist.
What do local land lords value? Money that can pay property taxes. That means the county government must accept the local money (as well as federal money) in payment of county taxes. Moreover, this means the county government will tend to demand control over the issuance of the local money. Hence, "county currency".
Strategically, this is far more than a mere palliative to a crisis:
As described in the statement of resolve, increasing localization of critical dependencies also increases liberty.
If even one State passes this legislation and unburdens its county governments of only State taxes on sales and income in county currencies, it will revolutionize political economics by example.