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why pennies?


Sonny

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Oz scrapped theirs many years ago, Canada only recently, but the US and UK are still spitting out the worthless little bastards by the billions  They actually cost more to produce than their worth.. I personally have a large jar (full) that I cannot even move, much less pick up and transport. They reside in various drawers, boxes, and various and sundry cracks and crevasses in my house. On any day I will have half a pocket full. I suspect that I am not alone. How many millions (billions?) of dollars and pounds are lying inert and out of circulation?  Other than a possible impact on the copper industry, I cannot rationalize their existence. Anyone care to enlighten me?

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Well ¥1 or 25 centavos is pretty much the same. 1000 rupea won't buy you much either.

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Well, at around 9 of them per U.S penny, the Philippine 5 Sentimo coins do make really handy (and inxpensive) washers.

 

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Edited by Chris24
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Oz scrapped theirs many years ago, Canada only recently, but the US and UK are still spitting out the worthless little bastards by the billions  They actually cost more to produce than their worth.. I personally have a large jar (full) that I cannot even move, much less pick up and transport. They reside in various drawers, boxes, and various and sundry cracks and crevasses in my house. On any day I will have half a pocket full. I suspect that I am not alone. How many millions (billions?) of dollars and pounds are lying inert and out of circulation?  Other than a possible impact on the copper industry, I cannot rationalize their existence. Anyone care to enlighten me?

One reason they are great is exactly for the reason you mentioned.  They disappear.  If the gov't prints a million $1 bills, a few get lost but the vast majority go round and round and eventually get returned to be replaced.  Pennies, however, end up in jars, drawers, coin collections, gutters, garbage dumps, jewelry, etc. and pretty much don't come back.  They last a lot longer than paper money.

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Because Americans are stubborn and stuck in their ways. We were also supposed to switch to the metric system decades ago, but here we are still using a much harder to use system.

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Oz scrapped theirs many years ago, Canada only recently, but the US and UK are still spitting out the worthless little bastards by the billions  They actually cost more to produce than their worth.. I personally have a large jar (full) that I cannot even move, much less pick up and transport. They reside in various drawers, boxes, and various and sundry cracks and crevasses in my house. On any day I will have half a pocket full. I suspect that I am not alone. How many millions (billions?) of dollars and pounds are lying inert and out of circulation?  Other than a possible impact on the copper industry, I cannot rationalize their existence. Anyone care to enlighten me?

well just haul the pile to a school and let them have them ....  one mans pennies is another persons dollars 

Edited by smokey
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Knowdafish

There are penny hoarders who have millions of 1982 older, 95% (or close to it) copper pennies stashed away and are just waiting for the day that they can legally sell them as scrap copper. The return on investment is high, but the longer one has to wait the % of the yearly return of course drops. 

 

http://www.thepennyhoarder.com/why-some-americans-are-hoarding-their-pennies-literally/

 

"Over the last few years, the market for copper has skyrocketed. Just last January, the market peaked at $3.649 per pound. At 146 pennies to a pound, a single penny’s copper has a value of about 2.5 cents. That’s not a bad deal! Get a penny for 1 cent and sell the copper for 2.5 cents? How often do you find an intentionally undervalued investment that is easily purchased?"

 

abc_penny_hoarding_shed_jef_111202_wg.jp

 

http://abcnews.go.com/Business/laws-change-penny-hoarders-cash-thousands-dollars/story?id=15076522

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well just haul the pile to a school and let them have them ....  one mans pennies is another persons dollars 

 

 

I would gladly convert them and use the proceeds to add to my Jack Daniels collection, but I estimate that particular jar weighs in at over 100 pounds and fear the sheer weight of the coins might shatter the glass if an attempt is made to move it. Meanwhile, at least it's a conversation piece,

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We were also supposed to switch to the metric system decades ago, but here we are still using a much harder to use system.

 

If man had evolved with six fingers on each hand, we never would have had this controversy.  All you wankers out there would be base 12 like us.  :biggrin_01:

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The main advantage of the penny (or other low-denomiation coin) is that it allows prices to rise in small increments.Imagine if the smallest coin/note was $1 (insert currency of choice), then something costing $10 would then HAVE TO go to $ 11 for  a minor price rise.

 

As for the decimal issue, despite official pronouncements, the UK is not truly decimal and still uses sensible measures. 

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The main advantage of the penny (or other low-denomiation coin) is that it allows prices to rise in small increments.Imagine if the smallest coin/note was $1 (insert currency of choice), then something costing $10 would then HAVE TO go to $ 11 for  a minor price rise.

 

As for the decimal issue, despite official pronouncements, the UK is not truly decimal and still uses sensible measures. 

 

hmmm  if no pennies

 

item 1   1.99 $

item 2   2.95 $

item 3   4.24 $

item 4   8.25 $

Total   17.43 $

 

if paying with cash  rounded down = 17 $ is what you have to pay

if paying with credit card  you pay 17.43 $

 

if total was 17.53 $ pay cash would be 18 $, with pay with credit card

would be 17.53 $

 

With no pennies item prices  can still be odd prices

only the total  is rounded up or down

 

in denmark we have kroner and øre, the lowest coin if 50 øre

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pennies were great to when we all had fuses in our homes

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Knowdafish

pennies were great to when we all had fuses in our homes

 

Until the next short circuit happened and the wiring and the house caught fire. 

 

That reminds me of one of my "bright" past customers who thought using a 1/4" bolt with the head cut off was a good replacement for a 12 volt fuse in his dump truck. 

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A_Simple_Man

 

hmmm  if no pennies   item 1   1.99 $

 

Following that logic, As there is nothing smaller than a penny, we should occasionally see "Penny candy on sale at 2 for 1.99 cents"  We don't.  Long after pennies are eliminated, we shall no longer see the examples you refer to either.

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