Late in his career, F.A. Hayek argued for monetary competition. He put forth his case (see here) for competing monies based on the simple notion that a monopoly supply of money leads to the usual problems associated with state-sponsored monopolies. Today I read this
It looks like Monopoly money, but the colorful currency created by collaborators in the western Massachusetts town of Great Barrington is legal tender.
In order to stimulate the local economy, they have chosen to create their own money. It apparently has credibility and is tied to the US dollar. I doubt it will last once the recession ends but it is nice to see that his ideas do have some real world applicability.
