The penny cost more to make then it,s actually worth. According to Maria Story “In 2011, it cost cost the U.S. Mint more than 2.4 cents to produce one penny.” Spending that money on a penny is not worth it.
Pennies cost more than they are worth at 1.4 cents per penny and 2 cents to distribute, meaning if you were to melt down the material of a penny and sell it; you would profit, this also means when the government produces pennies we are actually losing money, last year the penny robbed taxpayers of $115 million dollars to subsidizing penny production. You might ask why we don't just make
When walking through the streets, have you noticed penny coins on the ground? If you did, did you wonder why? People today don’t find value in pennies, so when dropped, they don’t bother to pick them up. They degrade penny coins and want to eliminate the coins. Penny coins shouldn’t be eliminated because it has history and is valuable.
It’s a strange thought; how money costs money, or how the amount needed to make a few coins could greatly outweigh how much they’re worth. This is only one of many reasons why the Canadian government is debating whether or not to get rid of the penny. Stated by, “Penny Wise, or 2.4 cents Foolish?”, “each zinc and copper coin costs 2.41 cents to make,” and”..’from the standpoint of economics, that’s just a total waste of money,’ Mr. Velde says.”(Sommer). Due to the imbalance, getting rid of the penny is thought the do more good than bad, especially seeing as how insignificant the coin is in purchases in today’s economy;
In 2011, it cost 2.4 cents to produce the penny. The penny was first minted in 1857. It cost 2.4 cents to make the penny. Also the United States loses 1.8 cents for every penny being made. In conclusion we should get rid of the penny. The United States should get rid of the penny because it is people are not using them, cost to much, and other countries have already dropped the penny.
For those that agree, with phasing out the penny they will argue that it cost more money to make and mint the pennies than what they’re worth. However, Ted Waterhouse begs to disagree. According to Ted Waterhouse “ Last week, Washington middle school hosted its annual Penny Drive… they raised over $3000 in one week” (Waterhouse). As shown, it took one week to raise $3000! Imagine how much they’ll raise in two weeks or even a month. To summarize, pennies may be small and worthless by themselves but when you add them together they are a powerful group.After All, there are power in
“A penny saved is a penny earned,” to quote Benjamin Franklin. Unfortunately a penny saved is not worth a whole lot anymore. Like many other once useful things the penny has become obsolete. The production and use of the penny in the United States monetary system should be abolished.
Between 2001 and 2006, there has been an increase of .6 cents for the reproduction of the penny. This increase displays economic problems that may lead to fatal ones. The penny is composed of 2% copper and 98% zinc. These elements are exponentially in demand causing the price of these materials to skyrocket. Many Americans think the penny is putting our country in jeopardy with financial losses. This meaningless coin is losing money for the mint, and should be abolished.
You find them behind couch cushions, in the pair of pants you tossed in the laundry, or most often, just sitting in a jar—pennies. This one-cent coin has been in circulation since the late 1700s, but within the last 10 years, they have become more costly to produce than they’re worth. This has led to discussions about whether we should keep the penny, or drop it to save money. After hearing both sides of the argument, it only makes sense to stop producing the penny, benefiting everyone who has been using these outdated coins.
In America, there is still a debate if the penny should be eliminated. If it was to be eliminated it would still be used, but in a minimal way. In Canada, the Canadian penny was eliminated due to cost, time, and the country believed it was a waste of money, “inflation reduced its purchasing power by 95% since it was first minted domestically in 1908: back then the cent could buy goods of the cost of $0.20, today in other words.”(The Economist). Once a small coin can no longer be used to buy individual items at that price, but it is only used to make change, it becomes more trouble than it is worth. Canadian pennies cost “1.6 Canadian cents to manufacture, and the government expected to save $11 million a year by eliminating them”(The Economist). But that sum equivalent to 0.0006% of GDP is small change. Canadians feel that eliminating pennies is that their feeble purchasing power means dealing with coins,
In source D, Weller reiterates that the penny holds an important factor in maintaining the pricing system. Also, mentioned in source A, the elimination of pennies causes the prices of products to round up or down to the nearest nickel. Store owners would use the elimination as an opportunity to gain more profit by rounding prices up. The government also has an advantage over the removal because taxes would increase as a result of nickels becoming the least valued coin. However, the nickel becoming the least value coin also has a downside as it costs around ten cents to make a nickel whereas it costs about two cents to produce a penny. Also, by eliminating the penny and allowed the nickel to become the least valued coin, gas prices would go up and the price of gas is already extremely high. Americans would have more stress put onto them by worrying about the rising prices of basic necessities. Both source A and source D unveils that although people may perceive the penny as valueless, it keeps the American pricing system
In source 2, shelton states,”each of us waste 2.4 hours per year with gubby little discs. Pennies are costing each of use nearly $50 a year given the average wage per hour.” This states that we only use pennies 2.4 hours per year with pennies. This also show that penneys are costing everybody $50 a year, and yet again we only use them 2.5 hours out of 365 days. In source 1, fund states,” Because the penny costs more than a cent to produce, the Treasury loses more than $100 million per year on the coin's production.” This states that they pennies cost more cents to produce them. It also shows that pennies cost the treasury more than 100 million dollars every year to produce coins. You can see by this that making pennies waste taxpayers
Money is crucial in many ways or everyday events like for buying food, paying rent, etc. Money has its own value but not all currency is used. Money has its own value but not all currency is used. The penny has the least amount of currency and is found on the sidewalk, sofa, in between car seats because nobody benefits form the penny. It doesn't have enough value to be kept around so lets just end the penny ones and for all.
“ The remaining 300 million or so that’s 10 million new useless items punched out every day by government workers who could be more usefully employed tracking counterfeiters,”(source C). Producing the penny is job for many americans in the US hired by the government. If you use their time better by tracking counterfeiters, all it does is need for more jobs. Which is good for the US, if we have more people working and collecting weekly paycheck, then US won’t have to worry about Welfare growing(saving money for the US). Plus with people earning more money from jobs, they will spend more and the government makes more money. This is best case scenario for everyone because people get jobs and money while government spends less on welfare and more tax money! Our economy could get out of this debt America is facing because if we can’t deal with it now, then its major problem in the future happening.This helps our present and future get better! Now another reason is citizen want to keep the penny. “ Favor Abolishing The Penny?,”(Source E). Yes, but if you dig deeper into the data, it states that the lower earning class wanted to save the money more because they knew what the penny impact on price. Don’t let that confuse you because every earning class asked, stated penny should be kept. 23% of the people wanted to get rid of it while 59% wanted to keep and 18% not decided.