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What Would Occur If The United States Only Minted Cents Every 3 Years?
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<p>[QUOTE="Conder101, post: 1557796, member: 66"]Three months into the first year of no production there will be cent shortages. But four to five months banks and businesses will be offering premiums for cents. By six to seven months businesses will be switching over to rounding to the nearest five cent on their own without it being official. Requests for cents by businesses from the banks drop and the premiums offered disappear. Before the end of the year every or nearly every business will be rounding. During the second year of no production everyone is rounding and it becomes firmly established as accepted practice. The next year production starts again but with no businesses requesting cents, no banks order cents. With no banks ordering cents, the Fed does not request cents from the mint. Fairly quickly the mint has plenty of cents on hand and production stops again because they can't get rid of them. With no orders there is no reason to ever start production up again.[/QUOTE]</p><p><br /></p>
[QUOTE="Conder101, post: 1557796, member: 66"]Three months into the first year of no production there will be cent shortages. But four to five months banks and businesses will be offering premiums for cents. By six to seven months businesses will be switching over to rounding to the nearest five cent on their own without it being official. Requests for cents by businesses from the banks drop and the premiums offered disappear. Before the end of the year every or nearly every business will be rounding. During the second year of no production everyone is rounding and it becomes firmly established as accepted practice. The next year production starts again but with no businesses requesting cents, no banks order cents. With no banks ordering cents, the Fed does not request cents from the mint. Fairly quickly the mint has plenty of cents on hand and production stops again because they can't get rid of them. With no orders there is no reason to ever start production up again.[/QUOTE]
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What Would Occur If The United States Only Minted Cents Every 3 Years?
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