Canada eliminates the penny

[DrJay]

http://money.msn.com/personal-finance/l ... 901814837b

[dukehjsteve]

I'm a lifetime coin nut/numismatist, so my opinions on this subject area may noincide with Main Street's, but I for one hope they continue making pennies here in the USA because, well because... they are coins. Silly I know.

But my main coin complaint is the one dollar coin debacle in this country. Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS. If we want the Dollar coins to become an accepted medium of exchange, we need to STOP MAKING ONE DOLLAR BILLS, just like virtually every other country in the world has done for similar valued money. And Candad even has the "Toonie" in addition to the 'Loonie."

If the Federal Government announced that the One Dollar Bill would be phased out over a 2 or 3 year period, and replaced by widespread distribution of One Dollar coins, what would be the country's recation, either immediatedly over a several years time span ? All I can say is that it apparently has worked just AOK everywhere else.

And oh, yes, such a change would save millions of dollars for the Federal Governemnt. WHY NOT DO IT ?! Plus as I said at the beginning... I like coins. More coins, more coins, goodie goodie !

[Marlow]

I'm a lifetime coin nut/numismatist

Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS.

I'm a life-time numismatist also, and while I totally agree on getting rid of the dollar bill, the penny can go, because it serves no purpose any more. If the dollar coin succeeds (vending machines!), then we have our replacement coin, plus the $2 bill, which I love, would become more prevalent. Coins and paper money are becoming obsolete, which is inevitable, but I will mourn their passing (tho I suspect I'll go before they do).

[gh]

My favorite dollar-coin story. About a dozen years ago I went into the PO after hours to mail a letter, and didn't have any stamps. So I went to the machine and discovered all I had was a 20-dollar bill. So I used it, and it was like hitting the jackpot in Vegas (minus the flashing lights) as 19 Sacajaweas (and some small stuff) came crashing out.

Faced with such a pocket-buster, I said "oh what the heck, I can always use stamps," so I decided I'd just reslot them all. Guess what? The machine didn't accept dollar coins!

Your government in action.

[Conor Dary]

I'm a lifetime coin nut/numismatist

Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS.

Of course, other countries did the same thing and discovered that yes, you have to get rid of the dollar bill or their equivalent, before the dollar coin thing works. But that would be a European thing and we don't do those sort of things do we.

[dukehjsteve]

I'm a lifetime coin nut/numismatist

Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS.

I'm a life-time numismatist also, and while I totally agree on getting rid of the dollar bill, the penny can go, because it serves no purpose any more. If the dollar coin succeeds (vending machines!), then we have our replacement coin, plus the $2 bill, which I love, would become more prevalent. Coins and paper money are becoming obsolete, which is inevitable, but I will mourn their passing (tho I suspect I'll go before they do).

I was being a bit whimsical about the penny, they can let it go and I won't be too upset. And I too think $ 2 bills are cool, and they could and should jack them up at the time of the One's demise.

And I am afraid you are right that eventually ( when ? ) we won't have coins or bills at all. Although I really have trouble knowing how the world's Underclasses will have the availability of fancy technology in a total Credit Card ( or its successors) Society.

[gh]

They could also save a ton, I suspect, by no longer making 10-dollar bills. You rarely see them anymore and most places that give change will give you a pair of 5s instead of a 10.

I actually go to the bank sometimes and get a stash of two before a trip. In these days of inflation, there are a lot of things where giving the valet/bellboy/whatever a buck just isn't enough, and rather than having to fork over a pair of singles, much nicer to have half as many deuces to deal with.

(but it too should become a coin)

[Halfmiler2]

I agree with eliminating the dollar bill in favor of a coin and the $2 bill. It is long overdue. But the coin does need to be gold-colored with a smooth edge to differentiate it from the quarter.

As for the penny, it is becoming a joke at this point. But before it is eliminated, they ought to pass a law officially allowing businesses to round up to a nickel (from 3 cents or 4 cents) and down to a nickel (from 1 cent or 2 cents) - many round down now as an informal practice anyway.

[gh]

Could be a false memory, but i have this vague memory that one reason they haven't killed the penny is that they've done test surveys of the general public and most of them are so dull they're convinced they get screwed by the rounding process.

Of course, in these days where nearly all cash registers are computerized anyway, they simply need to be programmed so they only cough up pre-rounded prices in nickels.

[Marlow]

Although I really have trouble knowing how the world's Underclasses will have the availability of fancy technology in a total Credit Card ( or its successors) Society.

It will happen (sooner than later) because of every government in the world moving to a national ID card program that has all personal and financial data embedded in it. Since MattMarriott just resurfaced, I'll steal his thunder and reveal that the card will have a passive GPS tracking transponder so Big Brother will know your where-abouts at all times (and probably hear you through a nano-microphone)!

[tandfman]

Could be a false memory, but i have this vague memory that one reason they haven't killed the penny is that they've done test surveys of the general public and most of them are so dull they're convinced they get screwed by the rounding process.

Of course, in these days where nearly all cash registers are computerized anyway, they simply need to be programmed so they only cough up pre-rounded prices in nickels.

I find some stores doing this anyway. They'll round up when providing change and actually give more than what they owe you because they're out of, or don't want to deal with, pennies. That just happened to me this afternoon.

[guru]

...there are a lot of things where giving the valet/bellboy/whatever a buck just isn't enough, and rather than having to fork over a pair of singles, much nicer to have half as many deuces to deal with.

Two bucks?


Ladies and gentlemen, exclusive undercover video of gh's last hotel stay

http://www.youtube.com/watch?v=DJONxd4yq3s

[gh]

per bag, dickweed. Or for simply opening the cab door. Give me a little bit of credit here.

[El Toro]

They could also save a ton, I suspect, by no longer making 10-dollar bills. You rarely see them anymore and most places that give change will give you a pair of 5s instead of a 10.

I actually go to the bank sometimes and get a stash of two before a trip. In these days of inflation, there are a lot of things where giving the valet/bellboy/whatever a buck just isn't enough, and rather than having to fork over a pair of singles, much nicer to have half as many deuces to deal with.

(but it too should become a coin)

In Australia, there a plenty of 10s, it's the 100s that are hard to find, even at a bank. Apparently, most of them are neatly stacked in plastic bags and hidden away in wall and ceiling cavities of houses belonging to "pharmaceutical entrepreneurs"....

As for coins, we have $2, $1, 50c, 20c, 10c & 5c. The 2c and 1c are long gone and the 5c is not long for this world since they became unacceptable in parking meters and other repositories of useless shrapnel.

[tandfman]

I haven't seen a US $2 bill in years. I'm wondering, gh, if the recipients ever look at it and seem to be saying to themselves "WTF is this?"

[Marlow]

I haven't seen a US $2 bill in years. I'm wondering, gh, if the recipients ever look at it and seem to be saying to themselves "WTF is this?"

Nerd that I am, I have a stash of $2 bills and dollar coins in my car for all my smaller purchases. Yes, the vendors always stare at them in a somewhat befuddled state.

[dukehjsteve]

I give my 3 grandboys combos of $2 bills and $1 coins for their birthdays. But since they currently are 4,5, and 6 this does not cost me very much.

[tandfman]

I'm a lifetime coin nut/numismatist

Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS.

Of course, other countries did the same thing and discovered that yes, you have to get rid of the dollar bill or their equivalent, before the dollar coin thing works. But that would be a European thing and we don't do those sort of things do we.

I'm afraid you're right You can't get a bill that's worth less than 5 US dollars in Euros, British pounds, Swiss frances, etc. It would make a lot of sense to get rid of all bills under $5 and use dollar and two-dollar coins, as other countries do. But I'm afraid that the "we don't do those sorts of things" argument would kill that idea, as it killed the proposals to put the US on the metric system. Regardless of how sound the arguments may be, the idea of removing the bill with George Washington's picture on it would be politically a non-starter. Too bad.

[guru]

per bag, dickweed.

Dickweed? Really? Feel better now?

[LTS]

I'm a lifetime coin nut/numismatist

Every dollar coin project we have started in the country ( Ikes, Sajackaweas, Presidents) has been a mega flop for the simple reason that WE KEEP MAKING ONE DOLLAR BILLS.

Of course, other countries did the same thing and discovered that yes, you have to get rid of the dollar bill or their equivalent, before the dollar coin thing works. But that would be a European thing and we don't do those sort of things do we.

I'm afraid you're right You can't get a bill that's worth less than 5 US dollars in Euros, British pounds, Swiss frances, etc. It would make a lot of sense to get rid of all bills under $5 and use dollar and two-dollar coins, as other countries do. But I'm afraid that the "we don't do those sorts of things" argument would kill that idea, as it killed the proposals to put the US on the metric system. Regardless of how sound the arguments may be, the idea of removing the bill with George Washington's picture on it would be politically a non-starter. Too bad.

Eliminate the penny, put Lincoln on the quarter. Eliminate the dollar bill, put Washington on
the dollar coin. You could even go as far as to eliminate the nickel, eliminate the two dollar bill, put Jefferson on the new two dollar coin.

[tandfman]

Eliminate the penny, put Lincoln on the quarter. Eliminate the dollar bill, put Washington on the dollar coin.

Why not just keep Washington on the quarter and put Lincoln on the dollar coin?