Right now, a penny doesn't even buy a penny according to the us mint's 2014 annual report, the current cost of a penny is 17 cents per coin with nearly 8 billion pennies minted in 2014, the us spent almost $132 million to produce less than $50 million of circulating currency.
However, on march 29, 2012, the canadian government announced that it would eliminate the penny from its coinage system the final canadian penny was minted on may 4, 2012 and active distribution of the coin by the mint was discontinued on february 4, 2013. All in all, the penny is not meeting its expectations and needs to be abolished pennies are just not worth what they used to be and are failing to facilitate goods and services to the american people perhaps a penny saved is not a penny earned.
Anti-penny advocates are fond of pointing out that pennies now cost more to produce than they’re actually worth according to the 2014 annual report from the us mint, it now costs about $0017 – or 17 cents – to make one cent that means whenever the mint produces a penny and sends it out to a bank, it’s actually losing money on the deal.
Penny non grata at military bases for those who think it is un-american to stop production of the penny, consider this: the department of defense abolished the use of pennies at overseas military bases more than 30 years ago according to the army and air force exchange service, the coins are too heavy and not cost-effective to ship.
Why we should abolish the penny and save billions by kns financial on march 16, 2011 when i was a kid, i always wondered why we needed pennies they are not as nice looking at the other coins, they usually get dirty quickly, and they fool you into thinking you have a dime when you feel them in your pocket. The penny-pinching horde argues: those $998 price tags save the consumer 2 cents because if the penny was abolished, merchants would ''round up'' to the nearest dollar.
Aaron joins the group of “anti-pennies” (that would be a play on “penny-ante”), which includes a-listers such as former council of economic advisors chair greg mankiw and the nation of canada last year, canada, if you haven’t noticed, stopped minting pennies. Nickel was worth less than silver as much as silver was worth less than gold, so it came in for the 5-cent piece cooper traded at a fifth of nickel, so it got tabbed for the penny note the relationship between the monetary unit and the metallic constituent of the unit the monetary unit was worth just a little more than the underlying metal. Abolish the penny 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 this increase displays economic problems that may lead to fatal ones.
People have argued that since abolishing the penny would force stores to round to the nearest nickel (or if we get rid of that waste of money, the nearest dime), people would end up paying higher prices. Since the penny costs 026 more than face value to make, the mint can make 5 pennies and still lose less money than making one nickel and, of course, if we eliminate the penny, we'll need a lot more nickels, which will offset the savings of stopping penny manufacture.