the penny is costing more than its worth.
time to toss the penny?
2007-04-24 15:12:48 · 12 answers · asked by Anonymous in Society & Culture ➔ Other - Society & Culture
NO.
2007-04-24 15:15:15 · answer #1 · answered by anduha_kid 3 · 0⤊ 0⤋
No. The question you should be asking is, why is the penny worth so little? In fact, why is the dollar today worth less than 4 cents of the 1913 dollar?
The answer is INFLATION. What is inflation? Contrary to what a lot of "economists" will tell you, inflation is not rising prices for goods and services. The rising prices for goods and services are caused by inflation.
If you or I were to print our own $20 dollar notes, it would be called counterfeiting. Counterfeiting is illegal because the person producing the counterfeit note benefits by its use, while everyone else looses purchasing power because new dollars have been added to the economy. Its the old law of supply and demand.
Now when governemet prints more money, its called inflation. When paper money is redeemable in real money like gold and silver, there is no inflation. The amount of gold and silver limit the amount of paper that can be printed.
In 1913, the Congress passed the Federal Reserve Act, which they said would give them an "elastic" currency. Well, it has been stretching for almost a hundred years.
The mechanism works like this, Congress spends more than it takes in by taxes. The Treasury sells interest bearing bonds to the Federal Reserve. The Federal Reserve pays for these bonds with Federal Reserve Notes that it creates out of nothing. The stock holders of the Federal Reserve (who are big bankers) profit by the interest they accrue on the bonds, the politicians have more money to work with, and the only loosers are the American people. They see prices going up, and the money in their savings accounts going down.
Rather than get rid of the penny, let's get rid of the Federal Reserve System and go back to a gold-backed, fully redeemable dollar.
2007-04-24 22:28:28 · answer #2 · answered by iraqisax 6 · 1⤊ 0⤋
ignore the guy that says it costs 2.1 cents to make a penny. It was never that high. But the metal in the nickel is now worth 9 cents. But we shouldn't get rid of either of them. We should get rid of the dollar bill though
2007-04-26 20:59:02 · answer #3 · answered by NYC_Since_the_90s 6 · 0⤊ 0⤋
No way, because if you decide to save all of your penny's, and we know how many penny's there are around your house, you could take it to a coin star and get a lot of money for it.
2007-04-24 22:20:08 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Time to return to an honest money system so the penny is worth something again.
2007-04-24 22:16:25 · answer #5 · answered by treffler 2 · 0⤊ 0⤋
They did it years ago in New Zealand and Australia. Purchases are 'rounded off' -- if the bill comes to $18.77 you pay $18.75 If it comes to $18.78 you pay $18.80
It all averages out over time and you don't walk around with pounds of pennies in your pocket.
2007-04-24 22:17:48 · answer #6 · answered by old lady 7 · 0⤊ 0⤋
yes, each penny cost several cents to make... it was 2.1 cents per penny years ago ,I'm sure it's more than that now.
2007-04-24 22:16:45 · answer #7 · answered by kent_shakespear 7 · 0⤊ 0⤋
Yes, I kinda wish they'd get rid of money all together....I rarely use it and I find it more of a nuisance. Cash/Debit/Credit Cards are so much easier!!
2007-04-24 22:15:56 · answer #8 · answered by The_Juniper_Tree 5 · 0⤊ 0⤋
I don't think so.Pennies are very important.My mom has used them a lot.
2007-04-24 22:26:39 · answer #9 · answered by Draxx Mew 4 · 0⤊ 0⤋
NOOOOOOOOOOOOOOO-I love pennies and I would miss them too much!!!!!
2007-04-24 22:23:05 · answer #10 · answered by SidTheKid 5 · 0⤊ 0⤋
no, then what would i leave for a tip!
2007-04-24 22:16:16 · answer #11 · answered by ***BUTTERFLY*** 5 · 1⤊ 0⤋