The conditions and strategies for success of local currency movements

Abstract

This study investigates the successful conditions and implementation strategies of local currency movements. Data for this study were collected using semi-structured interviews with six presidents or managers from five separate local currency agencies in the US, Canada, and the UK. Applying a grounded theory approach, this study finds that conditions associated with successful local currency movements include being located in less populated areas, in a small community with comparatively lower levels of household income, and in a community with prior experience with alternative economic movements. Successful implementation strategies include organizational strategies for seeking seed funding and merchant engagement, operational logistics, and communication and marketing skills. Additional leadership strategies comprise leaders’ previous experiences with community projects and their commitment to the community, employing a full-time coordinator, and engaging a group of leaders. Conclusions suggest practical implications to groups that may want to initiate local currency movements in their own communities.

Keywords

alternative currency community currency community development local currency local economy

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