The broad-band X-ray spectra of active galactic nuclei (AGNs) contains information about the nuclear environment from Schwarzschild radii scales (where the primary power law is generated in a corona) to distances of similar to 1 pc (where the distant reflector may be located). In addition, the average shape of the X-ray spectrum is an important input into X-ray background synthesis models. Here, local (z approximate to 0) AGN luminosity functions (LFs) in five energy bands are used as a low-resolution, luminosity-dependent X-ray spectrometer in order to constrain the average AGN X-ray spectrum between 0.5 and 200 keV. The 15-55 keV LF measured by Swift-BAT is assumed to be the best determination of the local LF, and then a spectral model is varied to determine the best fit to the 0.5-2 keV, 2-10 keV, 3-20 keV and 14-195 keV LFs. The spectral model consists of a Gaussian distribution of power laws with a mean photon-index <Gamma > and cutoff energy E-cut, as well as contributions from distant and disc reflection. The reflection strength is parametrized by varying the Fe abundance relative to solar, A(Fe), and requiring a specific Fe K alpha equivalent width (EW). In this way, the presence of the X-ray Baldwin effect can be tested. The spectral model that best fits the four LFs has <Gamma > = 1.85 +/- 0.15, E-cut = 270(-80)(+170) keV, A(Fe) = 0.3(-0.15)(+0.3). The sub-solar A(Fe) is unlikely to be a true measure of the gas-phase metallicity, but indicates the presence of strong reflection given the assumed Fe K alpha EW. Indeed, parametrizing the reflection strength with the R parameter gives R=1.7(-0.85)(+1.7). There is moderate evidence for no X-ray Baldwin effect. Accretion disc reflection is included in the best-fitting model, but it is relatively weak (broad iron K alpha EW < 100 eV) and does not significantly affect any of the conclusions. A critical result of our procedure is that the shape of the local 2-10 keV LF measured by HEAO-1 and MAXI is incompatible with the LFs measured in the hard X-rays by Swift-BAT and RXTE. We therefore present a new determination of the local 2-10 keV LF that is consistent with all other energy bands, as well as the de-evolved 2-10 keV LF estimated from the XMM-Newton Hard Bright Survey. This new LF should be used to revise current measurements of the evolving AGN LF in the 2-10 keV band. Finally, the suggested absence of the X-ray Baldwin effect points to a possible origin for the distant reflector in dusty gas not associated with the AGN obscuring medium. This may be the same material that produces the compact 12 mu m source in local AGNs.