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<p>[QUOTE=&quot;Conder101, post: 7577399, member: 66&quot;]That has been pointed out before, and yes we really do need to produce billions more every year as long as they are a produced for circulation coin.&nbsp; LakeEffect touched on the reason.</p><p><br /></p><p>The problem is they have tried to go the incentive route a few times and it has never worked.&nbsp; The first time was in 1942.&nbsp; Pearl Harbor had recently been attacked and patriotic fever was HIGH and the government made a patriotic appeal for people to dig out their hoards of cents&nbsp; because copper was need for the war effort and shouldn&#039;t be used for making new cents.&nbsp; If people would just send their hoards back to the banks&nbsp; it would take the pressure off cent production.&nbsp; It FAILED completely.&nbsp; In 1974 financial incentives got as high as $1.25 for every dollar turned back in to the banks.&nbsp; That failed as well.&nbsp; You can&#039;t go too much higher on a financial incentive or it just become cheaper to make the new cents.</p><p><br /></p><p>This it true and would work, I just object to making coins that don&#039;t circulate just for sale to collectors.&nbsp; If you are going to do that why not make a bunch of other denominations etc that aren&#039;t for circulation but can be used to soak collectors.&nbsp; You know the Canada Model.</p><p><br /></p><p><br /></p><p><br /></p><p>Exactly.&nbsp; People find the cent too low a value to be worth spending their time on.&nbsp; So they WOULDN&#039;T go back to the banks, the banks would runs short, businesses that can&#039;t get cents would start rounding and would stop even trying to get cents from the banks.&nbsp; Then even if people brought them in, since businesses are no longer requesting them they wouldn&#039;t go back out again and eventually the banks will ship them back to the Federal Reserve just to get rid of them.&nbsp; I firmly believe that if cent production for circulation were to actually stop, within less than a year there would be no cents in circulation.</p><p><br /></p><p><br /></p><p>No they will eventually become depleted,&nbsp; There is a small constant drain on the dollars in storage, about 6 million coins per month.&nbsp; Mainly going to large cities with major urban transit or subway systems.&nbsp; Same thing happened with the SBA dollars.&nbsp; After 1980 they had close to a billion of them in storage and stopped making them for circulation.&nbsp; But that small monthly drawdown was enough that they had to make 1999 SBA dollars because they were going to run out before the 2000 Sac dollars could be made.&nbsp; At current drawdown the Golden dollars in storage should all be gone sometime between 2029 and 2034.</p><p><br /></p><p><br /></p><p>Dollar coins have never really had a chance except in the period between 1840 and 1850.&nbsp; The early dollars were under valued and exported.&nbsp; Ther weren&#039;t any from 1803 to 1839, after 1850 they were undervalued again (a silver dollar had $1.04 worth of silver in it.&nbsp; So very time you used one you last 4 cents which was not a insignificant sum in that period.)&nbsp; By the late 1870&#039;s people had confidence in paper currency and would rather use the light weight paper dollars than the heavy silver dollars and they were confident that they could always get silver dollars for their paper if they desired.</p><p><br /></p><p>But from 1840 to 1850 the dollar coin was NOT undervalued, and paper currency was HIGHLY suspect and of questionable value.&nbsp; So during that period dollar coins would have been desired.[/QUOTE]</p><p><br /></p>

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