But local groupds will be able to link together to form "pools of pools" and so on...
Conventional "microcredit" Grameen Bank style relies upon small groups of guarantors.
And when you think about it, all that credit derivatives are is a form of time limited guarantee, but not exactly a transparent one... "Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky
We are talking "bottom up" community based groups here, probably both geographical and functional. ie any group of individuals with a "common bond". But local groupds will be able to link together to form "pools of pools" and so on...
Sounds like the credit union movement to me.... Index of Frank's Diaries
Existing credit unions would manage the process and the default "pool", and handle accounting and defaults etc as "service providers". "Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky
