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Sunday, April 30, 2017

Posted by steve on February 3, 2006

Just to make a point about economic growth. bear with me, for this point we will need a group of people with a shared resource (say a biodiesel plant or a garden .. or both). Say they are on average employed to 60% percent of them. if these 60 percent get paid more at their work and spend more they contribute to economic growth. But that is not going to happen as energy prices rise. we are all going to get squeezed.
Now the group does have a resource to back up complementary currency: their time. If the employed give a little of their time and the unemployed all to the shared resource, there is a growth in activity (but not economic as we define it).
If their hours work are logged, then each will accumulate (wealth) which they can use to trade with each other. (every trade= growth in economic activity). If they run the garden really well it will bring productivity improvements for every worked hour .. more (economic) growth.

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