Mint the Pennies for Little Value?
The lowest denominated coin in our currency, the penny, has been with us for a long time. Over time, society starts to think whether to keep on minting it or not. So, how does one think that the penny is not worth the minting, the time, energy, and so forth. In my opinion, those reasons can be that pennies does not have much use in society today, there will be no issue such as inflation when the pennies are dropped out, and each penny cost more to produce and distribute than its one cent value. Why are that pennies can have such little use as of today? Pennies might not be useful when you don't have plans to do with it. Remember, it is only worth one cent so it will take one hundred pennies to make
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If the penny were to be taken away from the currency, a rounding system will occur for every payment. This rounding system allows prices to be rounded up or down to its nearest cent value. An example is when the original cost used to be $2.02, the new price will be $2 or the original cost is $2,03, new cost will be $2.05. One economist named Mr. Velde, has said, “But in a competitive market, you might as well see price market decrease.” This means that stores will try to gain customer by reducing their cost and using this rounding system to their advantage. He also said, “ Overall and over time, there should be no net price effect,” meaning that the rounding system will not be harmful to the prices on the internet. People are scared of the result when pennies is going to be deleted because of the consequences but those consequences may be temporary and not even be effective because of the rounding system and market price. The main point of the penny is to hold its one cent value but its cost is way more than its …show more content…
Another reason is that the consequence may include inflations that can be cited as a threat. One more out of the many reasons is that the rounding system could be done unfairly and find a way to make pennies cheaper is a cheaper approach. Well, why give a one cent value when you could be giving something greater in value? When you think about charity, they mostly do it for other people in need of those cash so you give how much you're willing to give and how much you need those cash for yourself. What I am saying is that why to give only pennies worth of value when you could be giving more. Plus, if the penny were to be dropped, it would force people to go for the next biggest low denominated coin, which is the nickel that holds four more cents. The rounding system could be used unfairly to the customer but who would treat their customer with an unfair price? The competitive market uses this system to their advantage by decreasing their prices and maybe gain more customers. Finding cheaper alternative may make the economy better but why pay little when you don’t have to pay at all? Materials are being used for products but there is a limited amount of that material. If pennies are not being used both wisely and effectively, then why to waste the limited material and money to just be thrown
The penny costs 1.4 cents to manufacture each time at the mint. This is causing the mint to lose money for the treasury. Last year, the mint earned $730 million dollars in profit. Many mint officials claim the estimation will be about $45 million due to the cost of metals made in pennies. Our country is continuing to have a very strong economy with the stock markets going up. The penny might affect these benefits from the rapid production of these coins. Copper and zinc are the main elements that compose the penny. With the rising costs of these elements, the economy may back up a bit. Because of this, the U.S. mint should reduce their penny production.
In 2001 United States Representative Jim Kolbe introduced legislation to Congress to eliminate the penny coin in most transactions. Although this legislation failed, there are still consistent calls to eliminate the penny as the smallest-denomination United States coin. Our nation is founded on passed traditions. Any American can look basically in any place to understand why America has thrived for centuries. Every tradition, sculpture, monument, or artifact gives Americans history about what has occured. The country struggles to destroy any of these long kept traditions. Although some traditions are completely relevant, the use of the penny is of little worth today. Whether the penny is rolling around in your pocket or resting at the
In America’s modern day economy, the penny is very useless and irrelevant in our society today. As source C states, “The time has come to abolish the outdated, almost worthless, bothersome, and wasteful penny.” There is not one item that can be purchased with a penny anymore (Source C). As source C states, “it takes nearly a dime to buy what a penny bought back in 1950.” Stores such as the Dollar Store prove how the cheapest items you can purchase are with only a dollar, not a cent. Pennies are shoved out of the economic picture by credit cards and because of the modern-day technology, there are even self-service machines that help convert coins into paper money (Source B). Furthermore, pennies are easily tossed into piggy banks or appear behind chair cushions. It is not used the same way as it was before.
Do we really need pennies? The story of the penny starts in 1792; it came with several different coins including the dime, nickel, quarter, and half penny. The pennies were first made out of 100% copper, but the price of the copper went up, because of inflation, the power of the penny went down. The cause of the mint is to reduce the amount of copper in pennies first from 100% to 95% but then to 5% copper and 95% zinc. Despite the debate in 2006, the value of metal on older pennies rose over one year.
According to source #4, it states, “The one cent has influenced our language, giving us a number of idioms, such as ‘a penny for your thoughts’ (a way to ask what someone is thinking) and ‘not one red cent’ (meaning no money at all).” This is significant because it shows that the penny has affected the English language, giving the language more idioms to use. It is often said that pennies should not be manufactured anymore due to their excessive cost of manufacturing and distribution. Yes, numerous people do acknowledge that fact, but the government can also propose that pennies are to use inexpensive metal, like steel, which makes the entire coin industry save money and has the cost of coins to be cheaper to make.
Have a good look at the penny, what do you see? You probably see nothing but a copper coated circular poor valued cent. Little does everyone know pennies have been around longer than before their grandparents, even their great-grandparents! Matter of fact, it was around so long ago that Abraham Lincoln’s face was not the first design on the penny. I ask that you take the time to consider the American penny’s worth. Without the people’s belief in its value, the penny will be abolished. I see people every day throwing away a penny rather than to put it in their pocket and save it for future uses. Yes a penny is "outdated, almost worthless, bothersome and wasteful" (Safire) piece of junk, but it's has an economic, cultural, and historical significance to the United States of America. The problem is that nobody pays attention to that, and that gives pennies the image of no value. Three good solutions to show the pennies worth include: tolls and vending machines accepting the coin, more charities to keep their penny drives, and historical evidence of what the penny mean to America so that it can be passed on to the future generations.
In fact there are many people that oppose abolishing the penny. In source E it states “that 62 percent of people oppose abolishing the penny that has a income less then $25,000 a year.” If the penny was to be abolish then the nickel would be the lowest coin in amount of money. If the nickel was the lowest amount of money there was then that means the purchase prices of items sold would increase. The prices would increase on items sold because the penny would not be in circulation to allow the customer to pay with the correct amount of change. Instead of being able to pay $3.47 for a kids meal at MacDonalds the customer would have to pay $3.50 for the kids meal. With the increasing prices of merchandise sold in stores there could be a budget upset for many families that have to follow a tight budget. Many families have to follow a tight budget to be able to provide for there families. With a tight budget there is no room for the prices of merchandise to increase due to losing the penny. Every penny counts when it comes to having a tight budget and providing for your
We should keep the penny because it has history, in fact it was “the first currency authorized by the United States” (Lewis). The penny no longer has the value that it used to have, but it is still necessary to make purchases as accurate as possible. The penny may seem like a waste of time to many Americans because it takes so long for cashiers to make change, forcing people to wait in line, but it is actually worth the time spent. The penny helps with keeping prices a cent lower, and therefore stimulating the economy. The penny is important to many people who need the money and for whom pennies still have value.
There is a side to this debate where the penny could win and stay in circulation. To start, the penny has been around for years and years and it has seemed to work for this whole time. This is true, the penny has been around and can be used still in everyday life. The turn side of this, though valid, is with systems changing is is becoming more and more rare for the penny to have a true dire need. One other strong reason to keep the penny alive would be charity. Charity relies on those people who do not necessarily care enough to keep the pennies t drop them off in the donation box. That though, has a simple solution. If the penny were no longer around nickels and dimes would begin to be the change customers and users are no longer wanting. Charity then in result
It seems the all day good luck from picking up that penny, may be coming to an end. At least that is what some of the members of Congress are trying to make happen through legislation. Multiple acts of legislation have been introduced to either use rounding, essentially eliminating the need for pennies, or stop minting the penny altogether. They say it has been a nuisance for years, that the cost of a penny exceeds its value. None of these acts have yet to pass. In 2012, Canada has begun the process to phase out the one-cent piece, providing a boost to the effort here in the U.S. Lobbyists groups on both sides continue to fight for what they think is right. Does it really cost more to fabricate and distribute pennies? There are statistics and economic forecasts from both sides. Two-thirds of Americans polled want to keep the penny. Many Americans have anxiety over what might happen if the penny was to be removed from circulation. What effect would rounding have on business pricing? Would businesses really round down when asked? What would be the direct and indirect effects of the “rounding tax”? Charities would also be effected, many depend on the small donations including pennies. There is also the sentimental value, and not to mention Abraham Lincoln, to consider. So is a penny saved, a penny earned? The debate to abolish the penny relies on economics and cost, but in the end it is still currency, and has value to many Americans and charities.
The penny is as enamored in US history as the Declaration of Independence, and has been around for almost as long as well. It saw Lincoln abolish slavery, and helps us remember that with his profile on the head side of the coin. However, pennies are not worth what they used to be. With everyone paying with credit and debit cards, many wonder “Why don't we get rid of the penny?” The answer to this problem is this: we should get rid of pennies.
There is definitely no purpose and meaning in continuing the creation of these worthless objects. All they do to the United States is cause trouble, and they are clearly a bothersome to uphold them in our possession since they barely contain any value. Our economy would be fit with just dimes, quarters, and nickels as our coins. Abraham Lincoln, who was the president represented in this penny, would disapprove having his reputation and honor shown in a futile currency. The government needs to stop producing pennies. They create a loss of money rather than a profit; therefore, these copper cents need to be gone from our economy. What other choice is available? What can these pennies do in order to redeem their glory? It is nearly impossible to convince residents to use pennies once again. The penny has lost its value, and their dignity has become faint to us. It is time to eliminate pennies–for
If the penny is abolished, prices will increase as businesses will not want to lose money. Some supporters of abolishing the penny “advocate [rounding] prices to the nearest nickel.” While this may not seem like a large increase, the money consumers lose adds up over time (Source B). This would have the biggest impact on lower-class individuals and the homeless population, where 5 cents can make a substantial difference in what they can and cannot buy. Many of those who want to abolish the penny argue that it is futile and have even found that “handling pennies adds 2.
There are several artists who actually tried to make his or her works with money. It is not saying that artists make money by their works, or artists make their works with supporting of their rich patrons. Also, it is not saying that artists design the currency. However, artists who create his or her works with money are artists who are using actual money as their medium in this paper. Furthermore, those art works, which are using money as their important medium, would be called as ‘money art’ in this paper. In short, there are some artists internationally who create money art; for example, André Levy, Justin Smith, Hasegawa Yosuke, and so on. Among money art artists, I wo...
c) A disadvantage that comes with the frequent alterations of coins is that it “ lessens the authority of the laws and the respect paid to them”, according to Aristotle. This can be explained by the fact that the frequency of the change of coins may cause people to think that the laws can easily be bent. Another disadvantage cited by Oresme is the fact that the Prince could if he wanted, enrich himself on the back of the people exchanging their coins. As explained before, the minting of coins generates a profit for the Prince. By augmenting the cost of making money, he can make sure that the money is worth less and take the profit, therefore robbing from his people, as Oresme puts it. In addition, the alternation of coins makes sure that people will look elsewhere to gain a higher value for their coins, so the materials to make the coins , such as gold and silver, slowly disapear from the