The previous post was in response to a post on money, and the confusion engendered by the abstract nature of money. This appeared as a “comment” in the original post:

Resting In Awareness said

May 31, 2012 at 7:14 pm
The LETSystem is an improvement on straight bartering. In bartering between two people, each must have something the other wants. LETS is a like a pool of barterers, with credit given to someone providing goods or services, which they can then use to purchase their requirements from anyone in the pool. I was involved in the very early stages of a LETS group in Kingston-upon-Thames which has been operating over twenty years: http://www.kutlets.org.uk/

Barter is direct exchange. You must have a confluence of wants for barter to succeed. I produce bread, you shoes: you must demand bread, and I must demand shoes for a direct exchange to take place.

The second issue of course is value or in money terms, price. How many loaves of bread for this particular style, make, function of shoe? What you end up with are endless exchange ratios that require negotiation on every potential exchange.

Third is proximity. You tend to barter face-to-face. Save all the explanations of how this can be done online, yes it can, but this was made possible by the use of money those thousands of years ago.

Money was developed to solve these problems.

The “LETS” system grants credit. So all they have done is create a free market money. Essentially, they are just waffling. They seem oblivious to the contradiction. They are not undertaking barter…they are exchanging using a “money system.”

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