Uncle Sam stops melting, exporting of cents, nickels

MoneyLA · April 18, 2007 5:48PM

article about Mint decision

here we go again, another coin shortage

Cam40 · April 18, 2007 8:12PM

then again, we,re talking pennies and nickels and not dimes quarters and half dollars
i dont know, maybe the cent should be a plastic dot since thats about the same value
in material as the buying power of a cent.

ddink · April 18, 2007 10:14PM

This subject has been brought up repeatedly on the forums in the last few months. The consensus is that most people don't regard nickel and zinc as precious metals, so it's unlikely that anyone is going to hoard them in sufficient quantities to effect a coin shortage. On the other hand, if/when the Mint changes the composition of the coins to less valuable metals, most likely they will begin to leave circulation (slowly), due to Gresham's Law: "Bad money drives out good." On the other hand, as mentioned, few people think of nickel and zinc as stores of value (as they do gold and silver), so any change may go largely unnoticed--since the "valuable" old pennies and nickels aren't perceived as good or bad.

Michigan · April 18, 2007 11:26PM

Does anyone think any serious effort is being done to enforce this ban? I doubt anyone is taking it seriously.

MoneyLA · April 19, 2007 3:23AM

the ban was announced two days ago. I think the country was busy with Virginia Tech and no one noticed. The Mint's statement is vey specific about the current problem.

EricSan · April 19, 2007 3:27AM

Would anyone notice (or even care) if the mint just stopped producing cents and nickels from this point forward? Does the economy REALLY need another 7 BILLION cents to be produced THIS YEAR TOO? Do we really NEED 700 Million more nickels this year (and next?) ? I tend to think that there are enough in circulation already.

So people melt them... big deal!

Eric

Russ · April 19, 2007 3:28AM

Last year called, they'd like their news back.

Russ, NCNE

MoneyLA · April 19, 2007 4:40AM

so it would be okay with you if all prices were rounded up to the next dime?

Pentimento · April 19, 2007 4:50AM

<< <i>Last year called, they'd like their news back.

Russ, NCNE >>

That news was at the beginning of the public comment period. Now that the government has reviewed our input and made this a real regulation, it seems worth a repost.

cladking · April 19, 2007 5:48AM

<< <i>This subject has been brought up repeatedly on the forums in the last few months. The consensus is that most people don't regard nickel and zinc as precious metals, so it's unlikely that anyone is going to hoard them in sufficient quantities to effect a coin shortage. On the other hand, if/when the Mint changes the composition of the coins to less valuable metals, most likely they will begin to leave circulation (slowly), due to Gresham's Law: "Bad money drives out good." On the other hand, as mentioned, few people think of nickel and zinc as stores of value (as they do gold and silver), so any change may go largely unnoticed--since the "valuable" old pennies and nickels aren't perceived as good or bad. >>

Nickel is hardly a precious metal but it's well over $1 per troy ounce now.

Writersblock · April 19, 2007 8:55AM

Close to $1.50 a troy oz or almost 17% higher than silver was when it got pulled from circulation.

ddink · April 19, 2007 11:01AM

<< <i>Close to $1.50 a troy oz or almost 17% higher than silver was when it got pulled from circulation >>

Adjusted for inflation, nickel would have to reach $7.82 per ounce to have the same value as silver did at $1.24 per ounce in 1965.

link

mrcommem · April 20, 2007 2:41AM

Time to start making half-dimes out of copper-nickel clad and the same size as original half dime. Dump Jefferson and put Teddy Roosevelt on the half-dime.

richbeat · April 20, 2007 4:31PM

The latest figures I've seen has the metal value of a nickel at 9.3¢. That's a metal value of $186 for a $100 box of nickels. The question is, would that be worth it to you, if there were no ban? For a lot of people it would be. And nickel is expected to go higher.

morgansforever · April 20, 2007 7:56PM

Well if the Mint is looking to save money, why not out source the Mint, to the Chinese.

Does anyone here have an issue with little China girl making our coinage?

How much does a Mint employee make running a coin press? 45k+ ?

Little China girl would cost you .25 cents an hour +/- a few cents.

Any thoughts or suggestions??

Coxe · April 20, 2007 8:26PM

Like I said before, if people insist on continuing with this antiquated second decimal, they should get corporate sponsorship and put the sponsor's logo on the reverses. That would make up for the difference and would fuel the people who simply must have every new design.

Uncle Sam stops melting, exporting of cents, nickels

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