Close window
 Research Projects at the MPIfG

Why Use a Complementary Currency? Economic and Social Effects of Sardex

Giacomo Bazzani


 
To understand the effects of monetary policies, it is necessary to map the flows of money at the macro level and describe the social mechanisms of money at the micro level. Complementary currencies are often a laboratory for new forms, uses, aims, and effects of money. Sardex complementary currency was born in Sardinia in 2010 and within a few years reached 4,000 members among Sardinian companies, with transactions worth 80 million per year. Interest-free credit is given to companies to buy products from other companies in the network. Neither credit nor debt produces interest in Sardex. The currency has been replicated in eleven other Italian regions and there are similar in France, the Netherlands, Spain, Switzerland, and the UK. The research aims to understand the economic and social effects of Sardex. Initial findings suggest that a complementary currency may support: i) demand for goods, a competitive market, and local development; ii) trust in economic and social relations; iii) an ethic of economic behaviors and the emergence of a collective political interest in economic actors. Project duration at the MPIfG: October 2017 to February 2018.
 

 
Close window