ABSTRACT
This chapter argues that numerous periods and areas of monetary plurality across the world, in developed as well as developing countries, from the distant past to present days. It offers some policy reflections on monetary plurality and addresses various aspects of monetary plurality, its characteristics, the ways in which it works in theory and in practice, and the variety of forms it adopts. Thomas Gresham's postulation is often invoked to explain why 'good' currency disappears through exporting or hoarding while 'bad' currency is used in exchange, hence prevailing over the 'good' currency. The chapter aims to better understand how the claim that 'bad money drives out good money' still dominates the current thinking against monetary plurality among economists. It discusses a few principles of complementary currency systems and the first design principle has to do with legal tender laws and institutional framework. Another design principle relates to the conditions of public commitment at the time of introducing the complementary currency.
