A New Local Currency: The Brixton Pound

The London neighborhood of Brixton launched its own local currency, The Brixton Pound, last month. The idea is that if people have a currency that can only be used locally, that will keep money in the local economy and encourage local production. Tim Nichols, the Brixton Pound project manager, explains:[youtube]http://www.youtube.com/watch?v=Brq1NY2tiWAIn Brixton, lots of local businesses were skeptical of the idea, and that partly explains this YouTube promo video (and this other one). Brixton isn't the first place to try this. The U.K. already has alternative currencies in two more rural towns, and we have them here in the U.S. as well. Ithaca, New York has Ithaca Hours; Butte, Colorado has Butte Bucks; and there's an effort to launch a currency called The Brooklyn Torch.There doesn't seem to be much data on the effect these local currencies have, but I'd be happy to give it a try if there were a local currency in my neighborhood. An organization called the E.F. Schumacher Society is all about local currencies. If you want to read up on the idea, check their site.