Time to Eliminate the Penny
By Michael Barone, Thomas Jefferson Street blog
Harvard economist Greg Mankiw makes the case. While we're at it, let's get rid of the $1 bill too, and replace it with a coin. Both changes would save a lot of money: The penny costs the government more than a penny to manufacture, and dollar coins would last a lot longer than dollar bills. But the main reason for getting rid of pennies is, as Mankiw writes, that they waste time. As for the dollar bill, in few countries today is there paper currency in general circulation for $1 or less. You don't see one-pound notes in Britain (much less 50p) or one-euro notes in Europe, or one-peso notes in Mexico. Dollar bills are inconvenient; they stuff up wallets; they should go. But the Crane paper company has lots of advocates, including Sen. Edward Kennedy, with influence in this administration and this Congress. On the other hand, Arizona has long been the leading copper state, so the penny could conceivably go.
- Read more by Michael Barone.
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Reader Comments
Keep pennies, but....
Don't get rid of pennies, but for cryin' out loud, stop producing them every year!!
Here is my answer to the "penny problem".
A bounty.
EVERYBODY has piles of pennies. People don't carry them around. They put them in jars next to their desk/bed/sofa...wherever.
My "bounty" solution is this : Take 100 pennies to your bank, get a dollar coin and a nickle. Done. Bank has 100 pennies and it cost the government a nickle to get them there. Enough pennies have been minted over the years to supply the need. They just needs to be a reason to get them out of the jar.
Pennies should stay
Hi I am a 5 th grader who disagrees with you deleting pennies! I strongly suggest that we keep pennies because the reason that we don't see pennies is the homless people are picking them that's why we don see them on the ground.And the penny collectors have you ever thought about them they enjoy collecting pennies and without pennies ou entire economy will go down. President Abe Lincoln would not except this if he were here today. He walked miles to return one single penny and he was then called Honest Abe so think about the people and kids you are hurting.We enjoy pennies so what if it raises prices keep the pennies we need them.One more thing if delete the penny delete the taxes to because the pennies are the only keeping our economy ALIVE!
fROM Eurasia Babcock 11 years old 5th grade
should we ?
i think we should!!!! read and write your thoughts.
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