Early 2009 Article Suggests New $1 Coin has a Chance at Replacing $1 Bill??

Check this out:

http://www.thestar.com/News/World/article/584483

I know some people here may have seen this article. Seems the U.S. Mint seems to think "change is coing" while the Treasury and BEP seem to think that the paper and metal dollars will both be around forever. So its a bit conflicting, however, after reading this article, how many here, think that the $1 coin actually has a chance of replacing the $1 bill?

I still believe that the dollar coin replacing the $1 bill is a bit far fetched, however, if it does happen, I really hope that the Treasury tries to get the $2 bill circulating for about 5 years, and like in Canada, 5 years after the $1 bill goes, they eliminate the $2 bill in favor of a bimetallic U.S. counterpart to Canada's $2 coin. I'd like the U.S. and Canadian $2 coins to be at least as similar as the U.S. and Canadian $1 coins are, and not much different.

 

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I would like to see the coin take place of the dollar bill. We have the 12 years worth of dollar coims sitting in vault. The only way i see it happening is to stop printing the paper and release all surplus coins. When the public is given the option they want the bills. It will save our country alot of money every year if we did this. Saving money is most important in this case.

 

I dont remember ever getting a 1 euro note when I was in Italy 3 months ago. I dont even know if there is a 1 euro note but I didnt mind carrying the 1 and 2 euro coins.

I really think it is about time the US switched over and got rid of the $1 bill. The problem is the coin industry (not us) often rallies against this. It will increase their costs overall.

 

Actually coins are much easier for machines to handle than paper money.

Btw, the smallest euro note is €5.

 

I think the $1 coin replacing the bill would be great. As long as they fix our vending machines at work to accept them that is. Otherwise I'll never be able to eat at work again.
Guy~

 

WOW, think of the hoarding of 1 dollar bills. Billions of them on e-bay for $10 a piece. Dumping the dollar bill is a great idea. I've been in favor of that for a long time and would enjoy it to watch it fade out...

 

I think dollar coins would be more widely accepted by the general public if they could be used for transportation (subway, buses), parking meters, vending machines, etc. on a more consistent basis. I do not see them ever replacing dollar bills though. TC

 

I think the following coins are useless as well:

1 cent and 50 cent coins.

Heck why not get rid of it all and embed a plastic chip beneath our skin and scan us for everything we do.
I am afraid that this is also on the horizon of mankind...so much for progress huh?

RickieB

 

I really hope the $1 note is retired. But sadly, the people in control of making it happen, as well as the American public are too set in their ways to let it happen without a fight. We could solve two problems with that move,by the way. First we could use up the huge stockpile of dollar coins taking up room in the reserve. Secondly, the dollar coin has a much longer service life, so it would actually save the taxpayers a whole lot of money in the long run.

 

As far as the arguement between paper and coin, The thing about paper is
Its much lighter to carry where as coinage is alot heavier...LOL

 

Sure would make it tough for the strippers in vegas. LOL

 

Actually the strippers would make out well, since if the dollar note was discontinued the two dollar note would become the lowest note in circulation and the strippers would get their G strings stuffed with twos instead of ones, a nice raise.

Frankly I don't think much of the Treasury saying the bills and notes will co-circulate. They also made the claim that silver and clad coins would co-circulate for decades so there was no reason to pull the silver coins out of circulation. And at the same time the Fed was pulling the silver out as fast as it came back through from the banks.

Also I like that part about the five month pilot program. I remember that but themy impression was that it was a flop. I can believe a 1000 shops contacting the mint but to try and stay out, not join in.

I will admit that the Fed is managing to move out more dollar coins, but I'm not impressed. Back in the 80's and 90's they had a draw down rate of roughly 60 million coins a year. Now after another 10 years and all of their promotions, new designs, the pilot program etc they are now up to 70 million coins a year. An improvement of about a million coins a month.

No, it is obvious to everyone except the government that the only way to really get the dollar coins into circulation is to discontinue the dollar note. Everywhere else in the world they've stopped the note and the coin has succeeded, here in the US, the only place that has tried to force co-circulation, the coin is still a failure after thirty one years of trying.

 

Neither the one dollar coin nor the one dollar bill has any real value anyway. They represent value but have no actual value themselves. Plastic/credits will replace both very soon and the issue of paper vs. metal will no longer exist. Why are they trying so hard to keep this dinosaur alive? I just don't get it. :headbang:

 

Guys, you're in completely the wrong order of magnitude. The "huge" stockpile of dollar coins is barely a drop in the bucket compared to the number that would be needed if there were no $1 bills.

There are currently upwards of nine billion $1 notes in circulation. Judging by Canada's experience, when a paper denomination is replaced by a coin, it takes roughly three times as many coins as bills to meet the same demand (since the coins spend a lot more time sitting in coin-machine hoppers, people's change jars, &c.). So the U.S. would need roughly 25 to 30 billion dollar coins in circulation, in the absence of paper $1's.

That "huge" stockpile? About 0.8 billion coins. Not gonna go very far.

Seriously, if the $1 FRN were going to be discontinued, the Mint would first have to spend *years* churning out dollar coins at full speed. The $1 coin would have to have a higher mintage than any other denomination, for several years running, before we could even *think* about ending the printing of paper $1's. These piddly little tens-of-millions mintages, that allow the collector market to absorb a significant fraction of the total, just won't cut it.... One quick glance at the Mint's production figures is enough to see that discontinuing the $1 note is not an idea that's on anybody's planning horizon.

 

Its another subject, but to hell with plastic. Never had one, never will. Take a look around at some of the idiots who've got themselves so far in debt and now their crying the blues and asking for help. My own daughter had a great time this past summer traveling and having a good time
( ON CREDIT ), now she wants dear ole dad to pay for it. NO I WON'T. Plastic got her into a financial situation where she's having difficulty paying. Live and Learn. I've done fairly well w/o plastic in my life...

 

There's more to plastic than credit cards, Abe. I for one don't believe in credit cards myself, for the very reasons you've pointed out. There is no advantage, as the credit companies do no favors are are there to make money. But, I do use a debit card. But, it works the same as cash...if I don't have any, it's as worthless as a rock.
Guy~

 

LOL, They'd have to carry little coin purses on their hips. Funny... :eat:

I like my paper money more so then the much heavier coins. The art work alone on paper money is a side treat to enjoy. But if we do see the end of our paper someone can come out with a multi thousand piece paper jig-saw puzzle, oh wait a minute :loud: someone already has...Darn.

 

Sorry, I wasn't speaking about credit cards. I was talking about FOBs or something like them that you add credits to or use to buy things with (Subtract credits). That's the way we are heading like it or not. On the bright side, coins will most like spike in price once they are no longer being used. :eat:

 

I figure about two years, because like everyone else you have ignore the two dollar bills which would easily ramp up to replace a significant number of those 9 billion ones, and require a much smaller number of dollar coins than a total replacement would. And that would also fit in well with the 18 month or so lifespan of the dollar bill. As they wear out and are being withdrown over that 18 month to two year period they will be being replaced by the twos and the dollar coin. So there will be no sudden disappearance and period of shortages. Discontinue the ones, ramp up production of twos and coins and the dollar note will phase itself out over the next two years.

 

There is if you can pay your cards on time. I get 1% cash rebate (or more) back on everything. So my wife and I charge _everything_, and pay it all off each month. You just need to know what & how much you can afford.