February 18, 2012 at 12:53 pm #153558
It was widely reported this week that pennies and nickels cost more to produce than their face value:
“It cost 2.4 cents to make one penny in 2011 and about 11.2 cents for each nickel.”
In a sense it is logical to produce them more cheaply and therefore preserve the coins we use:
“The Obama administration this week asked Congress for permission to change the mix of metal that goes to make pennies and nickels, an expensive recipe that has remained unchanged for more than 30 years.”
But if you step back isn’t it also logical to explore eliminating pennies and nickels altogether? Especially since so many (if not most) transactions are electronic and people are used to paying that way?
This is just one example of the kind of thing that it seems we could work on in government – rather than fix what isn’t working, just get rid of it and try something new.
What do you think?
February 20, 2012 at 4:29 pm #153560
I agree that we need to look into new ways of doing things instead of just making small fixes. The problem is that the small fixes are far less controversial, and politicians aren’t in the business of hurting their chances for reelection. Unfortunately businesses would probably/understandably round up if cash was being used.
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