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We mint coins at a loss ??

Old 02-15-2012, 09:59 PM
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Default We mint coins at a loss ??

Why am I am not surprised at this...

It costs our government 2.4 cents to make a penny...and it cost them 11.2 cents to make a nickel.
Holy cow....our government can't even produce a stinking penny without going into debt !

No wonder the Chinese are at the top of the financial heap...they have figured out how to rub two cents together and not lose their shirt.
Lord help us!...lol

Link:
http://finance.yahoo.com/news/obama-...101600840.html

Last edited by semperfifishing; 02-15-2012 at 10:12 PM.
Old 02-15-2012, 10:13 PM
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There is a shortage of about 290 drugs in America now. Doctors are literally deciding who will receive the medicine they need, and who will not. And you are worried about the cost of a penny.

I recently read an evaluation of the quality of life in the United States. We are now, overall, living at the equivalent of a "low level socialist, European country". That was a little hard for me to click into, but every day since ...
Old 02-15-2012, 10:16 PM
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Outsource! Have them made overseas like Walmart does. Think how much we could save if the Chinese made our coins too.......
Old 02-16-2012, 03:54 AM
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Totally disagree with most of all 3 above statements . The pennny's alternatives are more expensive and it is used for many many years. Attempts to get rid of the penny and one dollar paper bill have failed in Congress and with the public - especially businesses. The government (us) spends much more on many other ways to facilitate commerce businesses and capitalism.

We are oeverall still living in the best country in the world. here is my source: - There is not rush to get out people are literally killing themselves to get in. . We lead the world in maufacturing (yes its true folks!) At least we are no further down than a close second. Our Tbills and Notes are the real Gold Standard for the world. And BTW we have by a factor of about 100 to 1000 the strongest military. Capitalism still works best HERE. We are still the freest people in th eworld.

We are also living in the safest period in the history of the world in terms of untimely violent deaths. This includes all the war and starvation going on all over the world.

now that I read ir I htink the last above comment is sarcastic. - sorry

Have to get to work but have documetation for the manufacturing claim that I can post after about five minutes of research which i do not have now...

Last edited by LI Sound Grunt; 02-16-2012 at 04:05 AM.
Old 02-16-2012, 05:20 AM
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The news report I heard last night said the Mint was looking at cheaper metals for the penny due to current cost to manufacture. I'm thinking unless the penny moves to plastic, there's no substantial savings available there. Instead, kill the penny and nickel, then price all transactions in 10 cent increments. When's the last time you bought anything for a penny or nickel? Those two coins have been little more than paperweights in our homes for decades- let's admit it and move on.

While we're at it, let's either circulate dollar coins or melt down the ones stored in warehouses (at great expense). The current presidential coin series,1.4 billion stamped out and warehoused, is one of the Mint's dumber moves lately.

Last edited by yarcraft91; 02-16-2012 at 10:02 AM. Reason: corrected statements on dollar coins
Old 02-16-2012, 05:30 AM
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It is a tool to facilitate the trade of goods and services. The value is not intrinsic. Doesn't really matter what it costs to make.
Old 02-16-2012, 05:55 AM
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The US mint loses money minting the penny and nickel but it costs less then 7 cents to make a

1 dollar bill
5 dollar bill
10 dollar bill
20 dollar bill
50 dollar bill
100 dollar bill


I am fine with the loss on the penny and nickel. One decent thing the mint did was stop producing the dollar coins after several years of a huge loss. No one wants them and they have tried several times over the past few decades to shove dollar coins down our throats. Finally someone woke up and realized it is not going to fly. They stop production this year of the Presidential dollar coins and did not even get half way through the series.

http://whitehouse.blogs.cnn.com/2011...-dollar-coins/

http://images.businessweek.com/ss/06...y/source/8.htm
Old 02-16-2012, 06:06 AM
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Ever notice that in some countries everything is in even amounts? I remember one trip to Italy (before the euro) when they were still using Lira. I bought a bottle of water for 4,000 lira. A bottle of wine was 7,000 lira. the exchange rate was high, maybe 1,700 lira to the dollar, but it worked because that water was 4,000 lira, not 3999 plus tax.

Here in America we are too stupid and selfish to do things in even dollar amounts, so we're stuck with the penny. Do we really need to sell gas at $3.599?
Old 02-16-2012, 06:57 AM
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Originally Posted by jobowker View Post
Ever notice that in some countries everything is in even amounts? I remember one trip to Italy (before the euro) when they were still using Lira. I bought a bottle of water for 4,000 lira. A bottle of wine was 7,000 lira. the exchange rate was high, maybe 1,700 lira to the dollar, but it worked because that water was 4,000 lira, not 3999 plus tax.

Here in America we are too stupid and selfish to do things in even dollar amounts, so we're stuck with the penny. Do we really need to sell gas at $3.599?

Why would you buy water if the wine was only a little more?
Old 02-16-2012, 12:44 PM
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Originally Posted by skibum View Post
Why would you buy water if the wine was only a little more?
Exactly, as long as money still buys booze. Or, just use the booze as currency instead. It will always be valued
Old 02-16-2012, 12:59 PM
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Originally Posted by jobowker View Post
Ever notice that in some countries everything is in even amounts? I remember one trip to Italy (before the euro) when they were still using Lira. I bought a bottle of water for 4,000 lira. A bottle of wine was 7,000 lira. the exchange rate was high, maybe 1,700 lira to the dollar, but it worked because that water was 4,000 lira, not 3999 plus tax.

Here in America we are too stupid and selfish to do things in even dollar amounts, so we're stuck with the penny. Do we really need to sell gas at $3.599?

OK so I buy a bottle of water for $1.00+tax.07= $1.07, how to do away with the penny?
Old 02-16-2012, 01:04 PM
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Originally Posted by jobowker View Post
trip to Italy (before the euro) when they were still using Lira.
Went there during my Navy days in the 70's. Of all the places we went, I hated the Lira the most. Stuff was near worthless; it was before they devalued. A stick of gum cost about 10 million Lira. Christ, you practically needed a wheel barrow to carry around enough of the stuff for a good night out! Fortunately, nearly everybody was glad to get US dollars!

The other weird thing about Lira then was that it was like script -- it was issued by different banks, not the government, so the size and shape of the bills wasn't standard. You had this great big wad of different looking bills you'd have to sort through. Drove me crazy! (yeah, I know...short trip).

The problem with our US dollar bills is that they wear out so quickly. Mexican peso notes are now made out of plastic. Looks and feels a lot like paper, but is plastic. Supposedly, the circulation life is much longer.
Old 02-16-2012, 01:10 PM
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Originally Posted by 08087 View Post
OK so I buy a bottle of water for $1.00+tax.07= $1.07, how to do away with the penny?
OK- using your example, you buy something for $0.50 and the tax is 3.5 cents.. How do you pay the 0.5 cents now? Answer- the tax is either rounded up or down.
Old 02-16-2012, 01:34 PM
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The lifespan of a coin is something like 30 years while the life span of a dollar bill is about 1.5 years. Creating one and two dollar coins seems like the better way to go to save money than worrying about the cost of pennies over the next 30 years.
Old 02-16-2012, 02:35 PM
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If they want to save money producing money they could do it by,

1. Stop making $1 bills and make $2 bills the smallest paper currency.
2. Make a 50 cent piece and half as many quarters.

Us guys would have fewer bills in our wallets and fewer coins in our pockets.

Maybe stop making pennies and have all transactions rounded to the nearest nickel. I woildn't miss the pennies in my pocket and more copper to make more usefull things.
Old 02-16-2012, 03:03 PM
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If only we adopted the metric system
Old 02-16-2012, 04:00 PM
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Originally Posted by chrisjb View Post
If only we adopted the metric system


all that dividing by 10 is so stupid...even worse is the way that units of weight and volume ect can all be related to each other using H20 as a basis

stupid ass French had to go and screw it all up


as for the penny ect this is not the first time this has happened.....it has to do with the prices of the base metals not in the actual production of the coin

there is simply more than a pennies worth of copper in a penny even though they are not made fully of copper anymore and have not been for a long time and same with the amount of nickle in a nickle

the answer is to move to some other cheaper base metal for those coins, but then making a sandwich coin of base metal with a nickle or copper cover drives up the cost

we probably need to redesign the coin overall so it can use a single metal in each of them and the protection will be the minting and inscribing of and on the coin VS the actual values of the metals

it should not be that hard to do if government was not involved
Old 02-16-2012, 04:04 PM
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I give the pennies to the bums at the corner store
Old 02-16-2012, 05:23 PM
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It's called currency de-basement.

When central banks print, print, print and print some more the value of all things physical gets less, less and less. Theft via currency debasement. Oldest trick in the money changer's handbook.
Old 02-16-2012, 05:37 PM
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I don't know who's got it better.... The bum that just worries about a few bucks or the person who worries about loosing everything he's worked for and becoming the bum?
One thing for sure the guy' in Washington won't worry they get paid wether they work or not. and don't care about what a penny cost....

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