cent's fate may be at hand

[Robert]

Per May 29 Coin World article, Rep Jim Kolbe (R-AZ) is re-introducing legislation that would stop cent production. If the mint purchased copper and zinc at today's prices, it would take 1.4 cents to strike a cent. His plan would round prices to the nearest nickel (1, 2, 6 and 7 cents would round down while 3, 8, 8 and 9 cents would round up).

Rep William Jenkins (R-TN) wants to keep the cent circulating. (His constituency includes the mint's zinc provider!)

What do you think? Keep the cent or scrap it (no pun intended)? If you say get rid of it, what happens in its place? Rounding up/down of prices? Another metal (aluminum perhaps)? Something else?

[gription]

this has been talked about for years.. every time it comes down to it though, there are too many penny fans to shoot the idea down.

personally, i think on a monetary level it's basically worthless, and removing it would fly... but at least 51% of me thinks we need a one cent piece in circulation.. it just needs to be there for some reason.

the bottom line, i think, is it's going to take a couple generations to get the penny out of our system.. but it will happen.

and so what

[smed]

It's not the cent fans, it's politics, just like the dollar bill.

Politicians whose districts/states gain financially by any part of the processes involved fight tooth and nail against any proposed legislation to get rid of them.

Many countries have proven that a dollar (or other unit) coin works -- Japan's smallest note is the 1000 yen, basically 10 bucks. I think there are some that have discontinued the cent/equivalent but I'm not sure.

I do know that when I was stationed in Yokosuka, the base exchange stopped using the cent and rounded all cash transactions. Some complained at first but it worked out just fine.

[eagames]

If it wasn't for the politics the cent would have already been gone.

As much as I like cent I agree with what was said. Someday they will stop making cents and dollar bills and make some dollar coins that people like and use. Will it be in 2009?

On the bright side someday those rolls of memorial cents we look through will have some premium.

[rollmeupabe]

How long could we survive with the cents that are already in circulation? Based on the billions made and the coin jar that everyone has in their bedrooms we probably have enough to get by without making another one for several years. We just need to get them back into circulation, except for the wheaties of course.

[smed]

It just might be enough to get people other than ourselves to pick up cents off the sidewalk.

[wavysteps2003]

Oddly enough, it seems that I hit the nail on the head when I posted "Copper prices keep rising"<Lincoln cent<13 May. What I did not mention in that post was that there would be a shortfall on production of copper for this year that may extend even farther and go for a couple of years until the mining companies catch up. But then again, that hinges around China and their need for this metal. As an emerging super power (economics), their demands for such materials has caused shortages in more than one area.

Copper prices still seem to be hoovering at the $4.00 a pound range, with an occasional slip back to the $3.80 area. I do believe that the true breaking point will come when copper hits $4.40 a pound; we will see a lot of coins going into the melting pot. England has already issued warnings against melting any of their copper currency: will we follow suit?

Four months ago, I invisioned seeing the Lincoln cent making it all the way to 2010, with 2009 being a special year commerating this coin. I do believe that we will see the special series of 2009 Lincoln cents, however, with the current trend, I doubt if the production of the coin will last past 2007. And it may not stop there; the nickel will also be endangered as well for it too cost more to produce than its worth.

But then again, who needs cash in your pockets when all you have to do is swipe that little piece of plastic through one of the countless variations of machines that will automatically transfer your money from one place to another. How far away is that point when currency is no longer needed?

WAVYSTEPS2003

[smed]

[gription]

well at least i know what i meant