Terra (currency)

Terra (The Trade Reference Currency, TRC) is the name of a possible "world currency". The concept was proposed by Belgian economist and expert on monetary systems Bernard A. Lietaer in 2001, based on a similar proposal from the 1930s.

The currency is meant to be based on a basket of the 9 to 12 most important commodities (according to their importance in worldwide trade). Lietaer opines this would provide a currency that wouldn't suffer from inflation:

Terra = reference unit defined as standardized basket of key internationally traded commodities & services.

Example: 100 Terra =
  1 barrel of oil
  + 10 bushels of wheat
  + 20 kg of copper
  ...
  + 1/10 of ounce of gold

NB: any standardizable good or service can be included.
Similar stability to gold standard, but with basket instead of single commodity (more stable than any one component)...

Terra is Inflation-resistant by definition.[1]

The basic principle emerged from early concepts presented in an article in the French newspaper "Le Fédériste" on 1 January 1933. The idea to establish a "L'Europa – monnaie de la paix", in English "Europe - Money of peace", was given birth. The idea was enthusiastically picked up by Lietaer during an educational journey.

See also

References
  1. Bernard Lietaer. The Future of Money New Ways to Create Wealth, Work and a Wiser World
  • Lietaer, Bernard (2001). The Future of Money. London: Century. ISBN 0-7126-8399-2. OCLC 43633316.
  • Lietaer, Bernard (2002). Das Geld der Zukunft. Sonderausgabe. München: Riemann Verlag. ISBN 3-570-50035-7. OCLC 76371515.

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