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n/a
deleted
42 Posts |
 Posted - 08/14/2007 : 16:02:35
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I'm not sure which section to post this at, but here it is. Even though in this forum, it's a given not to fall for the scam.
Here's a good post about it.
You must be logged in to see this link.
The argument for retiring the penny has SOME sincere concerns,but are confused with other ones. The problem of costing too much to make the penny is a distraction to the fact of our weakening dollar.
And the argument to retire due to cost is an argument to change what we make the penny of, not to retire it altogether. It's interesting how easy people can refuse to think about the simplest things.
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Edited by - n/a on 08/14/2007 16:03:20 |
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pencilvanian
1000+ Penny Miser Member
USA
2209 Posts |
Posted - 08/14/2007 : 17:05:21
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Has anyone else ever pointed out the fact that the smallest coin in Europe, Euro coins is the one cent coin? Europe isn't eliminating their smallest denominated coin so why must the US?
I should have chosen "Cut-n-Paste" as a forum name, since that is what I do, mostly. |
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n/a
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42 Posts |
 Posted - 08/14/2007 : 19:18:40
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quote:
Originally posted by pencilvanian
Has anyone else ever pointed out the fact that the smallest coin in Europe, Euro coins is the one cent coin? Europe isn't eliminating their smallest denominated coin so why must the US?
I should have chosen "Cut-n-Paste" as a forum name, since that is what I do, mostly.
I don't think what Europe does is what we should do one way or another, what's good for us is what matters. |
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pencilvanian
1000+ Penny Miser Member
USA
2209 Posts |
Posted - 08/14/2007 : 20:13:25
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My post was merely an arguement to use against the kill-the-penny crowd, pointing out to the penny nay-sayers that not all industrialized nations have gone down the path of eliminating one cent coins.
I should have chosen "Cut-n-Paste" as a forum name, since that is what I do, mostly. |
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horgad
1000+ Penny Miser Member
USA
1641 Posts |
Posted - 08/15/2007 : 08:04:36
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The bottom line of inflation is that sometime in the future it will cost more than a penny to make and distribute a penny even if the penny is made from a material that is essentially worthless.
If we get to the point of hyperinflation, this could happen way faster than most people could imagine and it would easily make all of our coinage impratical to make (even if it were made out of pressed dog poo). At the point the dollar bill, the ten dollar bill, the hundred dollar bill, etc would also be threatened.
Changing the penny composition pushes off its eventual elimination for a few more years or maybe even a few more decades, but as long as inflation keeps marching along the pennies days are numbered. |
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Cerulean
Penny Hoarding Member
USA
993 Posts |
Posted - 08/15/2007 : 08:12:34
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Most of us on this forum think that the government is fudging inflation figures whether it is via "core inflation" not counting food and energy, or with "hedonistic adjustments", M1 vs M3 money supply, or a whole host of other methods. It is in their best interest to make the economy look rosy and healthy. Eliminating the penny, or any coin for that matter, is a blatant, hard-to-hide, inflation sign, one the government can't explain away nor the economy ignore. Eliminating the penny would be the closest thing to the guv'ment flat out admitting that inflation is beyond control. Thus they have every interest in keeping it around at any cost. This argument may also explain why the paper dollar refuses to be replaced with metal.
I agree with Horgad that the day of pennydeath is inevitable. At some point, due to inflation, a penny won't be a profitable denomination in any material. By then the US economy will have bigger confidence-busting problems. The only way out of the inevitable Mexico-styled re-evaluation of the dollar is intermittant periods of deflation.
RUNNING TOTAL
--------------------------
3217 zincs (1982-2007) 75.5%
1012 coppers (1959-1982) 23.8%
25 wheats (1920-1958)
6 Canadian (1968-1995)
1 dime (2004)
Wanna take money away from the Fed? Spend dollar coins! |
Edited by - Cerulean on 08/15/2007 08:16:07 |
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n/a
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42 Posts |
Posted - 08/15/2007 : 14:24:10
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quote:
Originally posted by Cerulean
Eliminating the penny, or any coin for that matter, is a blatant, hard-to-hide, inflation sign, one the government can't explain away nor the economy ignore. Eliminating the penny would be the closest thing to the guv'ment flat out admitting that inflation is beyond control. Thus they have every interest in keeping it around at any cost. This argument may also explain why the paper dollar refuses to be replaced with metal.
I agree, it's facing the reality that they'd rather not address inflation problems. And yes, making a penny would be inevitably costy regardless of material. But don't forget that by making dollar coins, quarters, dimes, or better yet-$20 bills they're supposed to be making lots of net profit, so when they don't- WE'RE PRETTY SCREWED. |
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Don't fall for the penny elimination scam!
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