Kill the penny, Kill the nickel, Kill the dime, Kill the dollar bill…Save The Republic!
You may have heard the arguments for, and against, killing the penny. You may also have thought the entire idea was ridiculous the first time you heard it. I STILL think it is ridiculous, and that is why I am writing this article. I think it is ridiculous that in a time when we owe over $17 Trillion dollars, we are not taking the simple steps that we can to save billions at a time. I will not spend precious moments of your time making arguments against bills that will add hundreds of billions of dollars to our debt (ObamaCare), but I will tell you that if we want to get our debt under control, we need to start running this country as if it was our own small business. If I told you that there was a way for your small business to make save over $25 Billion in raw material costs over the next 30 years, would you do it? What if I told you that your customers would appreciate it, and thank you for saving them time and money also? On top of that, the U.S. Mint would be able to reduce their coin output by around 99%, saving taxpayers many more Billions of dollars along the way?
Kill the penny, Kill the Nickel, Kill the Dime, Kill the Dollar Bill…Save The Republic!
Well-documented arguments have shown that replacing the dollar bill with a dollar coin would save over $18 Billion over 30 years. The key here is that the dollar bill would need to be replaced completely. Dollar coins have failed over, and over, again when offered as a substitute rather than a pure replacement.
The other part of the argument is that if we replaced the penny, the nickel, and the dime, we could reduce total coin output at the U.S. Mint by 99% and save over $7 Billion in raw material spending over the next 30 years.
Basically, if we took all of these actions at once, we would save over $25 Billion in raw material spending over the next 30 years. In addition, we would reduce the burden on the U.S. Mint coin production by 99%, saving Billions more. On top of that, the average American spends about 2.4 hours per year handling pennies. If we agree that the number ends up at (a conservative) 3 hours per year handling pennies, nickels, and dimes…then we are wasting over 1 Billion hours each year. That is 30 Billion wasted hours over the next 30 years. If we were paid our current minimum wage for those hours, we could all be more productive to the tune of $175 Billion dollars. Let’s be conservative, and just say that the US would see a $25 Billion National Debt benefit over that time frame.
On top of that, consumers would benefit by seeing price tags that read “29.75”, rather than “29.99”. This could save consumers over $5 Billion over the next 30 years. As a business owner, this would be one of those rare times where you could save yourself an enormous amount of money, AND make your customers extremely happy in the process…Why would you ever say no to this?
Saving around $50 Billion over the next 30 years will not make, or break this country’s ability to repay its debt. However, one has to wonder how many of these $50 Billion dollar opportunities are out there that our public servants are too busy to tackle? I am guessing that there are a ton of opportunities to save us money, and the fact that they are not tackling this issue shows us that a deeper problem exists.
Our representatives in Congress MUST start addressing our fiscal issues. Please pressure your public servants to take up issues like these. Otherwise, my next blog post will be about the $90 Billion we could save over the next 30 years by cutting the number of representatives in Congress by half….
- Where are all those $1 coins? (cnn.com)
- Let’s Drop Pennies, and Nickels Too While We’re At It (realclearmarkets.com)
- $1 coins: Unwanted, unloved and out of currency (myfox8.com)
- Why are $1 coins so unpopular? (edition.cnn.com)