Micro-Debts

Feb 3rd 2022, formally renamed Microgifts.

For years I have searched for a method to allow for fair trade to occur without any outside influence. Most people understand this as the barter system; I’ll give you this for that. But what if each item is not of the same value? It’s hard to tell someone you owe half of a couch or you can only get the second shoe in the pair when you pay for it.

What if there was a way we could eliminate that problem, while also eliminating outside influence and extortion percentages, and even go as far as eliminating the greed and lust for riches? Thus the concept of Micro-Debts is born.

Micro-Debts are an exchange of value that occur between two parties and are traced as desired. They only relate to 3rd parties when debts are outstanding; however there is no direct penalty for borrowing too much micro-debt. In fact, the person you owe cannot even directly ask for them.

So you may be asking, how does it work? Here are some examples for you.

Since we are all here at Joe Company Consulting, I will use myself in the first example.

Let’s say I start working for a restaurant doing general consulting and marketing help, but I don’t want to be paid in money. I want to be paid in something more stable, less criminal. So each week I do my services and each week I and the owner decide how much micro-debt is owed. Both parties agree 50 micro-debts a week. Now 3 weeks has gone by, and my girlfriend and I are hungry, so we stop in to eat at this restaurant. After the meal I talk to the owner and I say I want to pay in micro-debts. For this meal 50 seems fair. So now I just traded time and energy in a traceable manner for food. The restaurant would still owe 100 micro debts and we’d be on our merry way.

Second example

In this example the first person is a farmer, he needs farm hands, and he sells a large variety of goods to the local community. The farmer could say to one of his helpers, if you go milk all the cows I’ll give you 40 micro-debts and each dozen eggs costs 12. So his ledger for the local farm hands could be paid out per hour or per task in eggs, other food or other services. The farmer is also a beer lover, so when he goes to his local pub instead of bringing cash or eggs, he simply arranges to owe the bar micro-debts and then evens the score with a weekly delivery.

This new exchange of valuation is based on the individuals who actively engage in it. Micro-debts can only occur when both parties actively acknowledge the debt. Value is determined per relationship, and micro debits are advised public. By a rule people would likely not advertise debits too often or in minor matters. Micro-debits can never be directly requested to be repaid, but through each community the idea would be to encourage those who try to take advantage of the generosity of many to give back. This is an easy way to offer future considerations in a traceable manner.

One can assume items would start to form standard valuations in individual communities, and in groups of traders. In a bigger market like Toronto, traders by profession would attend markets where goods could have different prices. For instance, 4 farmers could be selling eggs on any given day, and each for a different quantity of micro-debts. This likely would not occur, but if it did, it would not be an issue because each second in a deal can compensate for the first.

Third example

Farmer 1 is selling each egg for 2 micro-debts

Farmer 2 for 3 micro-debts

Farmer 3 for 1 micro-debt

And Farmer 4 for 100 micro-debts

Which one do you buy? You will probably think since farmer 3 is only charging 1 micro-debt for each egg, that is clearly the best price. But this is not automatically the case. Farmer 3 only likes to trade his accounts receivable debts for a few select items, whereas farmer 4 wants spices and trades his micro debts in a higher description. This is because he also buys and sells spices in different quantities. By allowing for each egg to be 100, 10 grams of oregano and 5 grams of dandelion roots could be worth 2 eggs or 150 and 50.

What about for charity, do micro-debts cover that too?

Let’s say we are talking about a community of only 300 people, and someone’s house burns down. In modern times the community would organize cash and items to help get the family back on their feet. In a micro-debt aware community each person could say here is 100 micro-debts, if you need something let me know and it’s yours. Or a builder says I will build you a new home for 150,000 micro debts. But I need you to pay back at least 15,000 micro debts per year. The local community could contribute to work down that, or the receiver could go to work as a builder with the company.

A food bank could work in the same way. Here is food and shelter for a set amount of micro-debts a day. Eventually the guy would help them work down his debt, or find another way to contribute.

What about the few dead-beats we assume currently sit on welfare and do nothing? After someone has asked for help all over town, the people would start to notice and help encourage the individual to find a way to give back. This is why outstanding or stale debts would be published in a public manner.

This currency offers freedom, generosity, goodwill, and love to flow freely to those in need. It also eliminates many if not all modern money related problems. There is no reason to steal, since someone will give you what you want for free, there is no need for war because we are simply helping each other, there is no need for slavery, etc etc. Need a favour? I will extend micro-debt to anyone. Here’s to a better future.