May 8, 2008...10:30 pm

Even the U.S. Treasury is thrifting copper, nickel, and zinc

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Associated Press: House passes bill to make coin-making cheaper

I recently discussed threats from substitution, and now the U.S. Congress is getting into the game. Congress just passed a bill to make the penny–a nice copper-looking coin–into a copper-plated steel coin, and to make the nickel also use steel for its base metal. This is going to save $100 million a year, or 30 cents per U.S. citizen per year. Wait for the plastic coins to come to the U.S. Mint next, that is if oil stays cheap.

It is so cool how history repeats itself. This reminds me of how people used to shave coins to lower their value and keep a bit of gold in their pocket. It all goes in a big circle, but now the government is getting into the game. My question is, why not just stop making the penny? It is not very useful anymore anyway.

1 Comment

  • The penny is TRADITIONAL! How can you suggest getting rid of it? What about prices? Retailers will just mark everything up to the nearest nickel, which they NEVER did with the penny and fractional prices.

    What about the poor zinc miners? Aren’t they entitled to a government subsidized paycheck, too?

    What about all the useful things you can buy for a penny, like…er

    Well, what about all the modern western nations who’ve ditched the penny. Look how bad they’re do…um…

    So, how about them Mets?

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