Why doesn't the US govt issue $500 and $1000 notes?
fivecents
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It would make it alot easier to make large cash purchases at coin shows. Carrying a large ammount of cash in $100 bills can get rather bulky. Not that I have had alot experience in the "large ammount of cash in pocket" department.
Edited to add $500 bills to thread title.
Edited to add $500 bills to thread title.
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<< <i>1973 I sold my house and the bank in Santa Ana ca. actually paid me with 26 1000 dollar bills. I sweated the drive home in my old V.W. bug thinking I would have an accident or something. That was a lot of money then! >>
still is!
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Personally, I think the government's long-term intentions are to create a paper trail for ALL transactions. That would likely mean the end of coins and currency as we know it.
<< <i>They believe that they can stop money laundering by forcing the bad guys to carry larger suitcases. It's an "interesting" strategy. >>
Good point Andy.
<< <i>Personally, I think the government's long-term intentions are to create a paper trail for ALL transactions. That would likely mean the end of coins and currency as we know it. >>
I hope this doesn't happen, but I can see it headed that way.
If you buy an $8,000 coin at a coin show and pay cash, you will have a serious bulge in your pocket and will be walking with a tilt from all that weight.
<< <i>There used to be $500 and $1000 bills in circulation, but the government pulled them to make it more difficult to move large amounts of cash. >>
I think it's interesting that when the discussion is about the $1 bill, the government keeps making them because "people want them", but when the topic is high value bills like $500 or $1000, "what people want" has nothing at all to do with whether or not they're made available.
<< <i>Nixon stopped the production of them to help curtail mafia crime. >>
Unfortunetly a dollar is worth MUCH less now than it was in the early seventies(the Nixon era). It takes alot more $100 bills to pay for something these days.
It would draw alot less attention at a coin show paying for a coin with 8 $1,000 bills oppossed to counting out 80 $100 bills.
<< <i>
<< <i>There used to be $500 and $1000 bills in circulation, but the government pulled them to make it more difficult to move large amounts of cash. >>
I think it's interesting that when the discussion is about the $1 bill, the government keeps making them because "people want them", but when the topic is high value bills like $500 or $1000, "what people want" has nothing at all to do with whether or not they're made available. >>
That is because people are familiar with $1 bills. Have there ever been surveys as to how much interest the public has in $500 or $1000
notes? Except for a few niche areas of the economy (trade shows such as coins etc.) or the drug trade I doubt many people are interested
in carrying $500 or $1000 bills around to buy things.
<< <i>That is because people are familiar with $1 bills. Have there ever been surveys as to how much interest the public has in $500 or $1000 notes? Except for a few niche areas of the economy (trade shows such as coins etc.) or the drug trade I doubt many people are interested in carrying $500 or $1000 bills around to buy things. >>
Well, if people like using $1 bills because they're familiar with them, I guess I would agree that people would be less likely to be interested in using $500 bills because they've never had the opportunity to do so.
That still leaves the question- why is the argument for printing $1 bills based on what *the people* want while the argument for not printing $500 bills based on what *the government* wants?
I had 2 500 Euro notes & 2 200 Euro notes in my wallet today. For all of 45 minutes, from when I cashed a check at the Embassy until I put the Euros in my ING account. BTW, the exchange rate is bad and 500 euros is over $650!
Editted to add: Anyone know who is on the $100,000 bill? None other that ol' Woodrow
I think it would be pretty cool to pay for a coin with a few raw gold buffaloes you have in your pocket.
<< <i>Nixon stopped the production of them to help curtail mafia crime. >>
They stopped production of them in 1946. What was Nixon's office with the government at that time?
What you mean is that he ordered that they be returned to the Fed for redemption whenever they hit the banks.
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<< <i>1973 I sold my house and the bank in Santa Ana ca. actually paid me with 26 1000 dollar bills. I sweated the drive home in my old V.W. bug thinking I would have an accident or something. That was a lot of money then! >>
musta been some house even back then!
Loaded
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<< <i>The only people who need large denomination currency are criminals and coin dealers. >>
I still think coin dealers should move to transacting in AGBs/AGEs. Let's make use of those coins.
Should I try buying a coin at Santa Clara using AGBs/AGEs?
<< <i>The only people who need large denomination currency are criminals and coin dealers. They don't make for a particularly large lobby... >>
Gamblers, too.
Steve
<< <i>
<< <i>The only people who need large denomination currency are criminals and coin dealers. They don't make for a particularly large lobby... >>
Gamblers, too. >>
Not the way I gamble
<< <i>Would this problem be solved for coin purchases at shows if coin dealers took gold and platinum bullion as payment?
I think it would be pretty cool to pay for a coin with a few raw gold buffaloes you have in your pocket. >>
Sounds good to me. The coin to bullion difference would be less than a credit card fee.
"Personally, I think the government's long-term intentions are to create a paper trail for ALL transactions. That would likely mean the end of coins and currency as we know it. "
Now, You got it.
Id rather take a 1000 bill than a 1000 personal check but then it's best to take 1000 on a credit card. That way the CC company get to "tax" the transaction and the governement can keep tabs on your spending habit. The ultimate goal is to use only digital money so the banks can tax it, the government can control it and some day they would even create an automatic "transaction tax" to pay down the debt.
In the end the key word is "control"
Cash = Freedom from gov and banks.
Gov/Banks (same thing really) don't want you to have freedom. They wish to enslave you and most people are already enslaved but totally unaware of it.
So they must take away your cash (ie freedom) to lock you into their system of tracking and tracing ALL of your activities. They can listen in on you and even trace you by your cell phone! Even when it is off, official CNN news report.
Lavere Redfield had it right, don't trust your gov and don't trust banks. Don't trust cash either. Trust in silver or other hard assets of real value.
All this tracking and tracing by them will bring about your own downfall. Brain chips for everyone by 2025 according to some official documents. And neutron bombing of major cities by govs to control population for some lucky individuals... read the link below citing recent official Ministry of Defense reports if you don't believe me.
http://www.guardian.co.uk/science/story/0,,2053020,00.html
--Jerry
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<< <i>the govt wan't all large transactions to leave a paper trail for fear of tax evaion. >>
Is this primarily because there were some prolific tax criminals? The few ruining it for everyone else?
Not accurate. There were many, many thousands.
BTW, Singapore has a $10,000 bill in circulation.
<< <i>"There were only a couple hunded of each of these denominations ever printed."
Not accurate. There were many, many thousands.
BTW, Singapore has a $10,000 bill in circulation. >>
Singapore also has harder punishments for crimes
Although there is a lot of corruption in China, I found it interesting that they execute white collar criminals that steal from banks and bankrupt many average citizens . Imagine what the US would be if white collar criminals received the death sentence?
<< <i>Imagine what the US would be if white collar criminals received the death sentence? >>
Wall street would be a deserted street.
Now everyone from banks to car dealers are supposed to report all cash tranactions over $10,000 to the good ol' government. Big Brother is watching!
trade completely , and severely hampered terrorist funding!!
p.s.-- maybe they are using paypal?????
1) Isn't it a shame that the drug Lords and money laundering problems that go on make it so we cannot have these large sums of money?
2) The Almanac lists how many bills were printed and still are in circulation I believe. Its been a while since I looked so I may be off on that.
3) I actually seen someone at the Casino throw down 10 $1,000 bills about a dozen years ago...my mouth hit the floor.
Later, Paul.
Later, Paul.
<< <i>.......of course ! the absense of $500 bills has stopped the drug
trade completely , and severely hampered terrorist funding!!
p.s.-- maybe they are using paypal????? >>
Why make it easier for them? Of course they will use $100 bills since that is the highest denomination available.
It is of course possible to buy on the collectors market $500, $1,000 $5,000 and even $10,000 bills.
By denomination the $5,000 are the hardest to find.
<< <i>It was also noted by some of the European Union nations that the majority of the largest denomination notes bear traces of illegal narcotics, meaning that the notes are the denominations of choice for illegal drug transactions. >>
I thought the majority all denominations of US currency had traces of illegal drugs on them.
It is strange that in the 1920's, $500 & $1,000 bills circulated freely, and here it is 2007 and the largest bill to circulate is a $100 bill.
<< <i>It is strange that in the 1920's, $500 & $1,000 bills circulated freely, and here it is 2007 and the largest bill to circulate is a $100 bill. >>
Why would it be? The vast majority of people don't need $1,000 bills anymore due to plastic. The people that do need them are in the minority and some of the uses are for dubious purposes.
<< <i>It is strange that in the 1920's, $500 & $1,000 bills circulated freely, and here it is 2007 and the largest bill to circulate is a $100 bill. >>
Drugs and stuff aside, the more telling reason is that electronic transactions have mostly superseded cash transactions for large money exchanges. If you want to blame anything for the disappearance of large denomination bills, blame credit cards and computers.