Sucessfully Eliminating the ONE DOLLAR note

Discussion in 'Paper Money' started by Fifty, Jun 29, 2010.

  1. Fifty

    Fifty Master Roll Searcher

    It has become a well established fact that the public will not widely use the One Dollar Coin as long as the One Dollar Note is widely available.

    I have a simple solution, Congress can just pass a law stating that no One Dollar Notes shall be sold to the Federal Reserve sytem for a period of two years. The BEP can keep printing them they just can't sell them. As significant number will wear out according to the Federal Reserve's own statistics. http://www.federalreserve.gov/generalinfo/faq/faqcur.htm#13

    At the end of this time the President shall direct the Secretary of the Treasury to report to Congress as to the status of the need for a One Dollar Note.

    The result I would hope for is that the need for the One Dollar Bill would go way down and people would learn to get by without it.

    People need to feel like "If I don't like this situation it will change in short period of time". The only way this will work is with a phase in period, just demanding that people give up the One Dollar note won't work. There are millions of One Dollar coins sitting in bank vaults taking up space.
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  3. Dave L

    Dave L Junior Member

    Unfortunately, the public seems to want it the other way 'round, wating to get rid of the blasted coins and keep the paper dollar. Most people I know (non collectors, of course) wouldn't care if the one cent, 50 cent adn the dollar coin -and the two dollar bill- disappeared.

    I've heard that the dollar coins enjoy a rather robust use in countries that have abandoned their currency and adopted the US currency, like Ecuador, El Salvador and Panama. The dollar evidently is rather poplar in places of high humidity, where it can buy much more than it can stateside. I went through a phase where i tried to use the Presidential dollars as they were issued. People took them, though most were visibly perturbed. In an effort to not become "That Guy Again" when the clerks in stores saw me, I stopped.

    But honestly, I would hate to see the one dollar bill go. It's been around for so long and I've used them so much, it's like an old friend.
  4. bobbeth87

    bobbeth87 Coin Collector

    I was in Vancouver on monday and made a $6+ purchase. I got 3 dollar coins along with some other change. It seemed so easy and so natural. You're right, Fifty, it will not happen here until the $1 note is fazed out.
  5. proofartoncircs

    proofartoncircs Junior Member

    <<I was in Vancouver on monday and made a $6+ purchase. I got 3 dollar coins along with some other change. It seemed so easy and so natural. You're right, Fifty, it will not happen here until the $1 note is fazed out. >>

    I aam surprised that you didn't receive a $2 coin and a $1 coin in change. I know in the old days $2 bills were scarce in Western Canada and very common in the East.
  6. RickieB

    RickieB Expert Plunger Sniper

    Now let me ask you a logical question;

    Why on Earth would you come into a Paper Money Fourm and suggest we ditch the $1 Note? There are many $1 notes out there with values significantly higher than the $1 coins..

    My reply to you would not be too nice..and I would say something that may not reflect who I really am as a person.
    This Country has always rejected the use of dollar coins since their new size inception starting with the SBA coins...the only $1 coins ever really accepted for use by the public was the Morgan and Peace Dollars..bring those back and you will see a difference.
    Long live the $1 Notes!!

    RB
  7. Fifty

    Fifty Master Roll Searcher

    Nice Post.

    Most countries have eliminated notes in denomonations of 1 unit. There is no one Euro note for example. It has been proven to save money.

    Value is in what someone is willing to exchange to aquire something they want. Value of coins, bills, ect is all a matter of oppinion. That's another debate in it's entirety.

    Good day to you
  8. acheron

    acheron umop apsidn

    I'm with Fifty on this -- stop printing dollar bills, people will whine about it for a little bit and then suck it up. Canada and the UK, for two examples with comparable currencies, managed this very well. The government would save a bunch of money.

    I wouldn't be opposed to a $2 coin either; again compare with Canada and the UK (and the Euro).

    (Of course, I also think the Sac. and Pres. dollar coins are rather ugly, so it would be nice if the Mint could design a good-looking dollar coin.)
  9. hontonai

    hontonai Registered Contrarian

    Funny, funny, funny.

    Especially the thought that majorities of both houses would pass a law that is clearly and demonstrably contrary to the desires of the vast majority of taxpayers, and not mandated by some crushing urgent need.
  10. Fifty

    Fifty Master Roll Searcher


    Congress is real good at passing laws on things that the majority of people don't need or want.
  11. krispy

    krispy krispy

    :hatch:

    Fifty:
    I'm curious if you even collect paper currency, US or otherwise? Also, please take half a moment to do a CT search on this topic and you'll find so many threads and pages worth reading we won't hear from you again in a month... maybe longer! Point is, it's an old debate and you haven't found the magic answer to solving it either. Next contestant please... ;)
  12. 900fine

    900fine doggone it people like me

    Receiving a $1 coin in change is easy and natural ... just like a note is easy and natural.

    99% of folks don't care because the status quo is working fine. There is no compelling reason to go all one way or the other. The American way works fine, and the Canadian way works fine.

    It will be almost impossible for this issue to get any traction with the public.
  13. bobbeth87

    bobbeth87 Coin Collector

    I wasn't trying to say I favor one way or the other, because I love collecting my $1 notes. My comment was meant to say that it didn't seem out of the ordinary to me, or overly strange. And, to agree that it will never happen in the US until the note is eliminated.
  14. Dave M

    Dave M Francophiliac

    I swear, my tombstone is going to say "He spent half his life trying to spend the %$&# change". My wife refuses to spend change, so it ends up in jars and cups that I'm supposed to try to spend, the local shops must think I'm nuts when I give them over a dollar's worth of misc change to pay for stuff.

    I say eliminate the $1 and $0.50 coins and start printing some fractional currency. Round everything off to the nearest $0.25 or $0.50 at the store, and I'll be a happy camper.

    Oh, and print them so they look like French notes too :D

    Dave
  15. RickieB

    RickieB Expert Plunger Sniper

    In order to maintain good cheer...I will use a phrase from one of my favorite cartoon chracters from the past..

    "Snagle-puss" The coin forums are to the ("Exit stage left") :) :)

    Afterall all of us here are just plain paper crazy!! :goofer: :rolleyes:

    Good luck with your coins guy's. :hug:


    RB
  16. acheron

    acheron umop apsidn

    Haha, I love paper money too. :) That's what got me back into the collecting hobby, coins came second. Nonetheless, I think paper only makes sense once you get to a certain denomination, and nowadays I think that level is "$5".

    I'd be in favor of adding onto the high end -- a $200 and/or $500 -- though that seems even less likely than getting rid of the $1.
  17. jallengomez

    jallengomez Cessna 152 Jockey

    Don't send them over there! I don't want any more Dollar coins either.:hammer:
  18. Numbers

    Numbers Senior Member

    Sure, but we'd need tens of billions of $1 coins in order to replace all the $1 notes. The Mint would have to work overtime for several years to produce enough $1 coins to allow the Fed to stop ordering $1 notes for even the limited period you suggest. And, needless to say, that massive coin production would be hugely expensive--Congress isn't about to order all those coins to be produced and then later reconsider the question of whether we should go back to $1 notes.

    It's also not feasible to gradually reduce the number of $1 notes the Fed ships out, slowing replacing them by $1 coins, as your no-new-$1-bills plan appears to anticipate. That's because the Fed provides notes and coins to banks based on the banks' demand--and we've already seen that, if $1 coins and $1 notes are both available, the banks demand far more notes than coins. If we try to force just a few extra $1 coins into circulation, then the Fed is put in the position of deciding who'll get the $1 notes they want and who'll be stuck with the $1 coins; that's a sure-fire way to upset practically everybody in one way or another. Either give me notes or give me coins, but don't leave me uncertain from one week to the next as to which I'll be able to get this time! The only way the Fed can smoothly reduce the availability of $1 notes is by reducing it directly to zero.

    If we ever make the switch from $1 notes to $1 coins, we'll make it once, abruptly, for good and all, not on some kind of trial/temporary/gradual basis. It's just the only way such a fundamental change to the currency system can possibly be implemented.
  19. andrew289

    andrew289 Senior Analyst


    Not really that funny under the current administration.

    They passed healthcare reform and that was contrary to the desires of the vast majority of taxpayers (and most state governments), and not mandated by some crushing urgent need ...why not the dollar next?

    Unfortunately, the majorities of both house realize now the error of their ways as those that voted for the healthcare bill will soon be voted out of office for the sin they committed against this great nation.

    They wouldn't dare consider eliminating the dollar bill, that would be politcal suicide for those who remain.

    (not a political statement just stating the facts as reported by the media)

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