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<p>[QUOTE="Leadfoot, post: 188567, member: 2972"]<i>Why is the Seated Liberty Half Dime from 1829 to 1873 being so much overlooked.</i></p><p><br /></p><p>Because you are confusing a stronger relationship between rarity (supply) and value than really exists... </p><p><br /></p><p>In coins, the value of a coin is FAR more dependent on demand than it is on supply. While it is true that price is a function of supply and demand, it isn't always a direct relationship and your example is a perfect one that illustrates this point. Using terms I can only dimly recollect from economics lectures, the price elasticity of demand far outweighs the price elasticity of supply when talking about coins (and most collectibles for that matter).</p><p><br /></p><p>So then logic would follow that the answer to your question lies in what is it about the 1829 to 1873 half dimes that keeps their demand low. A few factors I believe contribute to this include:</p><p><br /></p><p>1) Their size. Small coins suffer from a lack of demand simply because of their size. In coins, bigger is better.</p><p>2) There is no half-dime in circulation today, so collectors have a hard time "connecting" with the denomination.</p><p>3) Lack of by-date and by-variety collectors. Partially due to #1 and #2 above, this series just doesn't have a large number of collectors interested in it, like Morgan dollas, large cents, or even moderns.</p><p>4) My sense is much of the collector demand is driven by type collectors, and there are many dates/examples available for every type not leading to concentrated demand and thus higher price.</p><p><br /></p><p>All IMHO, and respectfully submitted...Mike[/QUOTE]</p><p><br /></p>
[QUOTE="Leadfoot, post: 188567, member: 2972"][i]Why is the Seated Liberty Half Dime from 1829 to 1873 being so much overlooked.[/i] Because you are confusing a stronger relationship between rarity (supply) and value than really exists... In coins, the value of a coin is FAR more dependent on demand than it is on supply. While it is true that price is a function of supply and demand, it isn't always a direct relationship and your example is a perfect one that illustrates this point. Using terms I can only dimly recollect from economics lectures, the price elasticity of demand far outweighs the price elasticity of supply when talking about coins (and most collectibles for that matter). So then logic would follow that the answer to your question lies in what is it about the 1829 to 1873 half dimes that keeps their demand low. A few factors I believe contribute to this include: 1) Their size. Small coins suffer from a lack of demand simply because of their size. In coins, bigger is better. 2) There is no half-dime in circulation today, so collectors have a hard time "connecting" with the denomination. 3) Lack of by-date and by-variety collectors. Partially due to #1 and #2 above, this series just doesn't have a large number of collectors interested in it, like Morgan dollas, large cents, or even moderns. 4) My sense is much of the collector demand is driven by type collectors, and there are many dates/examples available for every type not leading to concentrated demand and thus higher price. All IMHO, and respectfully submitted...Mike[/QUOTE]
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