why do they keep making pennys when it cost the government 1.3 cents to make a penny?

Answer 1

The same reason they still make one dollar bills even though a one dollar coin lasts longer and would save them millions in production costs yearly.

Answer 2

Because the cost of restructuring our currency system would be far greater than the 1.3 cent cost to make the penny. Imagine all interest rate calculations banks use and all the other statistical data involved with U.S. currency to be converted to a new system that has to be agreed upon and implemented.

Answer 3

What is the cost of production got to do with the government issuing pennies?

Answer 4

I think the goverment should stop making pennys. Everything cost at least a dollar now days.

Answer 5

Taxes. Even if they rounded everything up to an even amount, taxes will still throw the curve off. You need change for anything under 5 cents or you lose money.

Answer 6

Good Question. Australia woke up to that one years ago.

We have no 2 cent coins anymore either. But we don't have problems with things that cost $1.57, we 'round' up or down

Answer 7

Because without them there would be no way to pay for anything that is $1.57 etc. Plus new penny's are shiny.

Answer 8

Tax, It's the only way to get a percentage. If it was not for tax we wouldn't have any coins. Every thing would be so many for a dollar. Their would be no $1.99 just $2.00

Answer 9

because they have not yet gotten everyone to agree to going with the nickle as being the minum coin and they arent yet using coke cans to make pennies.

Answer 10

tradition. do you realize how hard it would be to legislate something as iconic as the penny out of existence. i'll bet it won't happen for many years.