Why the cent is still being produced.....

[Saabman]

Thought you all would find this of interest.......from Zero Hedge.....


Refusing to Acknowledge the Truth

It costs 1.7 cents to make a penny and 8 cents to make a nickel, according to the U.S. Government Accountability Office. The U.S. government loses tens of millions of dollars every year putting these coins into circulation.

Why is it wasting money and time making coins almost no one uses? Because phasing out the penny and nickel would mean acknowledging currency debasement. And governments never like to do that. It would reveal their incompetence and theft from savers.

http://www.zerohedge.com/news/2016-02-1 ... omes-trash

[Recyclersteve]

Interesting perspective. Never thought of that before. Thanks for sharing.

[TXSTARFIRE]

Don't feel too sorry for the US government, they more than make up for the loss on the cent and nickel with the dime and quarter. The role of the government in the issuing of coins and currency is not to make money.

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[everything]

It is a burden, when I pick up boxes at the bank the tellers have to hike over to the vault and bring someone with them as they have a policy that two have to visit the vault at a time for security purposes. I don't know what kind of chaos would ensue if retailers couldn't make exact change.

[wolvesdad]

Easy peasy! All Credit card, employment and direct deposit transactions continue to carry their cents down to the penny.

All cash/coin transactions round up or down to the dime. If would take Wal-mart less than a week to have everything priced accordingly.....at least in their groceries. Tax is an issue. And then what about the tax exempt farmera and non-for profits.


But basically, 5 gets you 10, and 4 gets you 0.
I bet Wal-Mart alone would save 5-100 million nationwide on not having to handle cents and nickels in their coin orders. Faster lines? Not till the old grannys get used to it.

I'm all for it!!!

[mtalbot_ca]

It is now more than 4 years after the cent..so 4 AC... and here in Canada, we do not miss it at all. The nickel might be a different thing.