Did you know Detroit is printing its own money? Karen in our office sent me an article today that made me think about our economy. Apparently some small business owners in Detroit, a city which has been devastated more than most by the current economy, have taken things into their own hands. They are printing their own currency. Read the story HERE.
I guess it would work in my neighborhood also. If I print some cash from my study to pay my neighbor to mow my lawn, he might accept it if the market down the street would accept the homemade dough to pay for his groceries. The grocer could then use this money to shop a neighborhood yard sale. Our neighborhood economy would be instantly improved, all with a good computer and some high quality ink.
Please don’t misunderstand, I’m not making light of a serious situation. I know firsthand people who are looking for work and struggling to meet their obligations. My poor attempt at humor is to illustrate a point. The basic key to a capitalistic economy is perception. The dollar is worth what people perceive it to be worth. When working people begin to feel better about their current situation they will spend money again. The economy will improve when people’s perception of the economy improves.