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Death of the Penny

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Submitted By sknurek
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The United States has experienced several problems with the use of the one cent coin, the penny. A small value coin almost worthless to the world of goods, but rings up a price when producing one. It costs twice as much as itself to make, and four billion of them are created a year. The US government dances around this problem and should have eliminate them back in 2006 when people were melting the copper and selling it for profit. This paper states several topics of why the penny only causes harm to US citizens and the economy. The obvious solution to fix a problem like this, simply abolish the penny as US currency, and round all cash transactions to the nearest fifth cent.

Death of the Penny: The Elimination of America’s One Cent Coin and its Impact on The United States Economy

“I will seriously consider eliminating the penny as long as we find another place for Lincoln to land,” the support of abolishing the penny from the most powerful man in America; President, Barack Obama. For over a hundred years people have paid for everyday goods with change, or coins. As inflation in the America rises, the value of coins diminishes. (Inflation Figures). Take the penny for example; commonly known as the copper coin has hardly any copper to it. Created with ninety-seven percent zinc and only two and a half percent copper, the penny doesn’t truly stand up to its expectations. Based on the 2011 Annual Report for US Mints, the cost to make a single penny runs around 2.41 cents. Studies have shown if the penny may be dropped as a piece of US currency, rounding up or down to the nearest fifth cent, and have no effect on the customer or producer. Countries around the world such as Sweden and New Zealand, have already eliminates their one cent coin, some have even taken away their ten cent coin. To many Americans this could

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