That it cost the Goverment, 3cents to make a Penny. So why doesn't, the Gov., pay-us,{the common folk}, to recycle all the Pennies, we have, "stashed", in our homes. They could pay us, say: 10cents for every 7 Pennies we, Recycle/turn-in, to the Banks in U.S.A. We could avoid, Fraud, by settin limits? I'm no, Economics Major, but what do u think???oh ya, how many Pennies do u think u have in ur house? Me, at least, a 1000, & proll'y, more like, 2500 !!!!
2007-03-15 06:46:48 · 8 answers · asked by Anonymous in News & Events ➔ Current Events
girl ain't that the truth. i agree totally and i didn't know that learning that makes pennies seem like they are worth a lot more than we treat them. i know i would be a lot richer than i am now cause I've got a lot of pennies in my house, car, and outside my house everywhere really. but i totally agree with you
2007-03-15 06:56:30 · answer #1 · answered by brown eyes 2 · 1⤊ 0⤋
The government would never buy back pennies...or any other coin. They would never pay to make money. They make money by literally making money. For example the new quarters that have been released cost roughly 5 cents to make...they sell these quarters to the banks...thats right they sell them. They dont just hand them out...the banks buy them from the government for 25 cents. That means for every coin the government makes they earn 20 cents. The new dollar coins with the presidents on them are supposed to make the government nearly 85 cents apiece. That will account for roughly 4 billion dollars generated for the gov. But on the penny they would not save money by buying ours back. The cost of the metal in a penny is roughly .008 cents. Meaning they have to shell out almost a penny for the penny. It is the production of the penny that they have to pay for. The total of three cents is 99% production cost. They need to issue new pennies with the new year on it every year. That is their way of determining currency in circulation. So if they bought all of our pennies back for 10cents for seven and then had to melt and die every penny it would cost them more than 3 cents.
2007-03-15 13:55:46 · answer #2 · answered by fenderjonesy 2 · 0⤊ 0⤋
Until last year the cost had been in the .8 cent range, the most recent cost estimate is 1.4 cent per penny , that due to the rising cost of zinc. The penny is still the most minted coin with over 8.2 billion minted in 2006. Because of the rising commodity prices of copper, nickel and zinc, the value of the metal content of both pennies and nickels now exceeds their respective face values. Since 2003 zinc prices have trippled.
In December of 2006 with concern that speculators could remove pennies and nickels from circulation and sell them as scrap metal for profit a new federal regulation was adopted that generally prohibits the exportation, melting, or treatment of United States one-cent coins (pennies) and 5-cent coins (nickels). Widespread withdrawal of pennies and nickels from circulation could cause coin shortages, and it would be extremely costly to replenish them, given prevailing metal prices and production costs.
The new regulations authorize a fine of not more than $10,000, or imprisonment of not more than five years, or both. There are studies for alternative metals being done to reduce the production cost.
2007-03-15 15:12:39 · answer #3 · answered by kekken57 1 · 0⤊ 1⤋
It would be much less costly to stop making pennies and force all the hoarders to break out their stashes and try to make change with a shortage if they don't.You could always use plastic pennies or write a check and then would cost you about a buck to keep each penny in your hoard.
2007-03-15 17:37:49 · answer #4 · answered by xxx 4 · 0⤊ 0⤋
That is the only way the govenment knows how to do business..I worked for the govenment for may years and could not believe the waste....I start to boil inside just thinking about it.....my last few years under the DOE, I was so outspoken I became a real out cast at work...and finally quit..
2007-03-15 16:01:17 · answer #5 · answered by xyz 6 · 0⤊ 0⤋
I think its rediculous for the goverment to continue making these kinds of expensive pennies and they need to find a more ecomonical way to produce them.
2007-03-15 13:53:30 · answer #6 · answered by MariChelita 5 · 0⤊ 0⤋
india uses aluminum for coins . lot cheaper than copper and zinc .
2007-03-15 13:56:29 · answer #7 · answered by Anonymous · 1⤊ 0⤋
now that is a terrific idea, but why don't they do away with penneys all together.
2007-03-16 00:43:34 · answer #8 · answered by Anonymous · 0⤊ 0⤋