Kill-the-penny bill introduced

http://money.cnn.com/2006/07/18/news/penny/index.htm?cnn=yes

H.R. 5818. No info available yet on the congressional sites but the opposition is already screaming. The bill includes elimination of the $1 bill.

 

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People might be ble to make a case for the cent, but there's NO WAY that the $1 bill is going anywhere. All people would have is $5, so what would you do if you wanted a $1 bottle of pop?, get back $4 in SBAs or Sacs?

 

The point of eliminating the dollar bill is to force use of the dollar coin. A dollar bill lasts an average of eighteen months in commerce and a coin lasts thirty years. That equates to an immense savings in revenue for the govt in printing costs. I don't know if it will happen but the economics are there. I think Canada has already done something similar. People hate change. No pun intended!

 

Yes, in Canada, we're on 1$ coins since ... well as far as I can remember, and 2$ coins since 1996. I already heard some years ago they were maybe planning to do the same with 5$... Nothing happened yet.

Max

 

What would you think of plastic coins to replace all of our current metals & the $1 bill? Would you collect them?

 

You mean other than all those plastic coins entombed in TPG slabs...

 

I beleive it was some years ago when the U S stopped using the gold standard and just started printing money basically for the sake of printing money, I would agree very much that that in making 1.00 coins would save $$ but the U S is definately not in to saving money, when they run low " fire up the presses" generate more cash somebody in the federal gov. needs a raise

 

It will never go anywhere. It is being spearheaded by Kolbe (AZ-R) the only openly gay Republican in congress. He is leaving the House in a few months and this is his last big Hurrah. What a joke.

 

Gold currency stopped in 1933, silver after 1964; Nixon closed the international trade "gold window" in 1971.

What about the question of using plastic coins? Would, or could, they be considered collectible.

 

Collectible?.. yeah, almost anything is collectible.. but would there be any interrest in collecting them... not sure

God keeps the pennies!

 

dollar coins

I just wondered how Canadians get along with the Loonies and the Two-nies? I know people would probably get used to it, but I wondered what an insider thought.
On a side note that reminded me of a day last sommer some friends from Canada were down for the races, and I asked if they brought any two-nies I could get for my daughter. The husband brought me one and said "here you are, and my wife pollished it up really good for you"!! I didn't have the heart to tell him about the cleaning thing, I just thanked him and gave it to Shelby.

 

Although it is unlikely that the bill will pass I think I'll be holding onto some Arizona copper mining stocks for a little bit longer.

 

Sorry.. everytime I pass over this thread I hear Elmer Fudd singing "Kill da wabbit, kill da wabbit", and you know what? I think there are the same odds of either happening..

 

Or a couple of $2 bills.

Here in NY you would get a $2 bill and a Sac plus change because your $1 pop costs $1.14 after tax and deposit.

 

The peculiar nature of the US government, wherein the chief executive is not also the head of the legislature, creates pressure points that special interests can utilize in ways not possible in parlimentary states.

That's why the government can't eliminate the $1 bill. It's also why the metric system is only haphazardly used.

 

That statement goes both ways. Having a parliamentary system also allows for special interests to buy influence. One stop shopping, as it were.

As for when Canada demonetized the dollar note, I believe it was in the late '80s ('87, I think). I can still remember spending Canadian $1 notes.

 

$2 Canadian note and coin and $1 note and coin recent history

Hey folks:

Yes the loonie (Canada's $1 coin) came out on July 1, 2007 (Canada Day), but we still had dollar bills at the same time.

It was decided by the government to make it easier for the public to accept the coin, by gradually phasing out the dollar bill supplies, while increasing the dollar coin supplies.

I seem to remember in 1990 that the dollar bill was pretty much gone, and we were having mostly dollar coins in circulation.

When the toonie (Canada's $2 coin) came out in 1996, the Government didn't do any phase out plan. They just started to take the two dollar bills out of circulation, and bring in $2 coins.

Talk to you all later!

 

Opps!

Sorry folks! I meant to say that the dollar coin for Canada came out on July 1, 1987. Everything else is ok.

I think I just woke up.

 

What exactly was the international trade 'gold window'?

Aidan.

 

Up until that time (well since the 40's or something), foreign banks could trade $35 for an ounce of gold. In theory, the US was supposed to have a fixed amount of currency in circulation (no inflation). In actuality, the US had been printing extra money and if they didn't close the gold window, we'd have run out of gold. Now there is no gold (or silver) backing for the dollar.