In 1932, during the Great Depression, Wörgl, a small Austrian town, introduced a local currency inspired by Silvio Gesell’s theory of “Schwundgeld” (demurrage). This innovative currency was designed to lose value over time, encouraging spending and economic activity. The experiment funded critical infrastructure projects, dramatically reduced unemployment, and revitalized the town’s economy. Its success inspired over 200 similar initiatives across Austria, but it was ultimately shut down by the Austrian central bank, leading to a resurgence of economic hardship.

Wörgl’s story highlights how complementary currencies can address systemic flaws in traditional monetary systems, demonstrating their potential to empower communities while challenging entrenched financial powers.

Full article and sources here: https://yesnotes.info/the-miracle-of-worgl/