Trump "fixed" the penny probem but now we have a nickel problem

That is the "official" proposal.

 

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Citation? I mean, I'm all for it, I just haven't seen any "official" suggestion.

 

Could always move the coinage to paper. A paper half dollar, quarter, dime, nickel ... penny. Ahh, the billfold size then becomes a problem.

 

That would cost them even more. Paper needs replaced too often.
Its why they wanted to switch from the paper dollar back to a coin.

 

2020 Biennial Report To Congress.

THE CR is your friend.

 

Let’s just keep making the coin, modify the design a little and call it the 15 cent piece. We need new stuff to collect. Who’s with me?

Rick L.

 

We need the 1.2-bit piece!

 

In this day and age we'd need it to be the 1.2 terabyte piece.

 

Now I want to create an 8x BTC derivative and call it "ByteCoin".

 

Wouldn't be that much weirder than a 20 cent piece I guess. But the math on how to figure out how to give change with the thing...

Maybe we should just get rid of nickels too and round all cash transactions to the nearest dime. But then you'd have weird combinations with the quarters...

OK, get rid of the penny, get rid of the nickel, get rid of the quarter, and bring back the 20 cent piece.

Well maybe not. I like my original idea, get rid of the penny, make the nickel out of something cheaper, then just round cash transactions to the nearest nickel.

I should point out something I mentioned before that we're only going to stop minting pennies; the pennies that already exist aren't being recalled, and aren't losing their legal tender status. People can still take them to banks, or give them to retailers still willing to accept them; that's the way Canada did it too when they did the same thing 12 years ago. And it's worked out just fine for them; all the things people feared getting rid of the penny would do, did not come to pass. It didn't result in a significant loss to either side of retail transactions, and didn't cause inflation or a significant difference in consumer behavior. And it didn't cause the Canadian Mint to have to make a bunch more nickels.

I don't know, it's easy to say we should get rid of the coins that cost more than their face value to mint but then you have to deal with a system that's gotten used to them being around, and hoping consumer and retail behavior catches up.

But you have to rip off the band-aid sometime. Start with the penny and we'll figure it out from there.

All this while cash is being used less and less anyway lol. I think it will all work out fine in the long run.

And I'm not worried we'll run out of coins to collect. There's still plenty out there and they're making more all the time.

 

FTFY.
YW.

 

I'm not sure that community is quite that big on truth in advertising.

 

Can't, the manufacturing cost is already higher than the face value, and they wanted any replacement to be "seamless" with the existing coin. Able to be handled by the same equipment, usable in vending machines with little or no adjustment so basically the same size, weight and electromagnetic signature. Can't be magnetic. The only thing the group that has been studying the options for the past 14 years really came up with was a copper nickel alloy of 80% copper and 20% nickel which at the time cost 4.98 cents each. But that was years ago and it no longer satisfies the requirements.

 

We might be following the Canadian experiment path.
I’ll add this article from 2014 for historical reference
https://canadiancoinnews.com/alloy-recovery-program-keeps-canadians-pocket-change-fresh/

 

Canada may have followed the US example. Once the clad coins began they made both clad and silver coins (dated 1964) into 1966, telling us the whole time that there was no reason to hoard the silver coins because both compositions would co-circulate for many years to come. And just about as soon as they stopped making the silver coins, the Federal Reserve installed two large machines designed to separate the clad and silver coins. Then they routed all coins returned as excess from the banks through them. The silver coins were retained for melting and the clad coins recycled back to the banks. They shut the program down sometime around 1970 when the amount of silver coins being recovered didn't justify the programs continuance.

 

I'll trade the cent for more @Mountain Man posts all day long.

 

thanks

 

Let's look at New Zealand. They removed their 1 and 2 cents piece back in 1990. 5c is no longer legal tender since 2006.

Just to make things more interesting - Royal Canadian Mint has been striking coins for New Zealand since 2006.

Cash rounding is not a new concept and has been around since 1970s.

https://en.m.wikipedia.org/wiki/Cash_rounding