Vol. 20 (Summer) pp. 24-40

Classifying non-bank currency systems using web data

Ariane Tichit*, Clément Mathonnat*, Diego Landivar**

* Clermont University, Auvergne University, CNRS, UMR 6587, CERDI, F-63009 Clermont Fd. Email: ariane.tichit@udamail.f; Clement.MATHONNAT@udamail.fr; ** ESC Clermont, 63000 Clermont-Fd. Email: diego.landivar@france-bs.com.

Abstract

This paper develops a new classification of non-bank currency systems based on a lexical analysis from French-language web data in order to derive an endogenous typology of monetary projects, based on how these currencies are depicted on the internet. The advantage of this method is that it by-passes problematic issues currently found in the literature to uncover a clear classification of non-bank currency systems from exogenous elements. Our textual corpus consists of 320 web pages, corresponding to 1,210 text pages. We first apply a downward hierarchical clustering method to our data, which enables us to endogenously derive five different classes and make distinctions among non-bank currency system and between these and the standard monetary system. Next, we perform a similarity analysis. Our results show that all non-bank currency systems define themselves in relation to the standard monetary system, with the exception of Local Exchange Trading Systems.

Keywords

non-bank money, text mining, web data, downward hierarchical clustering, similarity analysis

Article Tichit pdf

To cite this article: Tichit, A.; Mathonnat, C.; Landivar, D. (2016) ‘Classifying non-bank currency systems using web data’ International Journal of Community Currency Research 20 (Summer) 24-40 <www.ijccr.net> ISSN 1325-9547 http://dx.doi.org/10.15133/j.ijccr.2016.002

First Micro-Simulation Model of a LEDDA Community Currency-Dollar Economy

Results are presented for a first-in-class microsimulation model of a local-national currency system. The agent-based, stock-flow consistent model uses US Census income data as a starting point to project the evolution of local currency (community currency) and dollar flows within a simplified county-level economy over a period of 28 years. Changes in the distribution of family income are tracked. The community currency system under investigation is the Token Exchange System (TES), a component of the larger Local Economic Direct Democracy Association (LEDDA) framework under development by the Principled Societies Project. The model captures key design features of a TES, and results suggest parameter ranges under which the simulated TES is capable of achieving stated aims. Median and mean take-home family income more than double during the simulation period, income inequality is nearly eliminated, and the un- employment rate drops to a 1 percent structural level. The need for more sophisticated modeling of a TES, and avenues of future research, are discussed.

John Boik

To cite this article: Boik, J. (2014) ‘First Micro-Simulation Model of a LEDDA Community Currency-Dollar Economy’ International Journal of Community Currency Research 18 (A) 11-29 <www.ijccr.net> ISSN 1325-9547 http://dx.doi.org/10.15133/j.ijccr.2014.002

IJCCR 2014 Boik

Appendix

Is A Global Virtual Currency With 
Universal Acceptance Feasible?

As digital goods and services become an integral part of modern day society, the demand for a standardized and ubiquitous form of digital currency increases. And it is not just about digital goods; the adoption of electronic and mobile commerce has not reached its expected level at all parts of the globe as expected. One of the main reasons behind that is the lack of a universal digital as well as virtual currency. Many countries in the world have failed to realize the potential of e-commerce, let alone m-commerce, because of rigid financial regulations and apparent disorientation & gap between monetary stakeholders across borders and continents. Digital currency which is internet-based, non-banks issued and circulated within a certain range of networks has brought a significant impact on the development of e-commerce. The research and analysis of this paper would focus on the feasibility of the operation of a digital currency and its economic implications.

Sowmyan Jegatheesan, Sabbir Ahmed, Austin Chamney and Nour El-kadri

To cite this article: Jegatheesan, S., Ahmed, S., Chamney, A. and El-kadri, N. (2013) ‘Is A Global Virtual Currency With Universal Acceptance Feasible?’ International Journal of Community Currency Research 17 (A) 26-44  <www.ijccr.net>  ISSN  1325-9547 http://dx.doi.org/10.15133/j.ijccr.2013.004

IJCCR 2013 Jegatheesan

Bitcoin: The Political ‘Virtual’ Of An Intangible Material Currency

This paper concerns the open source software project Bitcoin, which is often described as virtual cash. The paper investigates what ‘virtual’ signifies when applied to ‘cash’ and in turn what ‘virtual cash’ says about Bitcoin. Bitcoin is the latest cryptographic effort to create digital cash-like tokens, where Bitcoin’s designer Nakamoto argues that users now no longer have to trust a third party, traditionally the bank. Paradoxically, for Bitcoin it is key that nodes in the network agree on the status of the shared block chain database. Trust remains to be established, albeit in a different manner. Power is not destroyed, but transferred from banks to Bitcoin’s protocol. The paper concludes that ‘virtual’ refers to Bitcoin’s model of how cash appears to function in everyday exchange, allowing user privacy. Bitcoin does not model another aspect of cash, its function as a credential referring to debt. Bitcoin discontinues the concept of debt.

Mark Jansen

To cite this article: Jansen, M. (2013) ‘Bitcoin: The Political ‘Virtual’ of an Intangible Material Currency’ International Journal of Community Currency Research 17 (A) 8-18  <www.ijccr.net>  ISSN  1325-9547 http://dx.doi.org/10.15133/j.ijccr.2013.002

IJCCR 2013 Jansen