Senators Meet To Discuss Future Of The Penny

In case anyone has missed it, here is the latest article of interest to this thread.
http://www.thestar.com/news/canada/...e-penny?bn=1

Do you think the Toronto Star has paid royalties to the RCM for the picture of the penny in the article and the newspaper? The Star is such a propaganda rag for the Liberal Party that I'm tempted to make the complaint to the RCM :)

I feel they should not only get rid of the penny, but also eliminate the nickel too!

Glenn

This issue has different facets, From a collectors stand point it would be disappointing for a series, let alone a denomination to become obsolete.
Secondly is the sentimental aspect, pennies are part of the culture, you know, like pennies from heaven, penny loafers,penny candy it's part of us. Like loosing a limb.
Value in 1921 compared to today -- 25 cents?,it's, in blunt terms, insignificant. Take the Timmies test , 6 quarters gets you a small coffee, or 3 rolls of pennies.Go to Starbucks you need someone to help carry them, coffee was a nickle in 1921. It's reality despite the sentiment.

I've thought about devaluing the currency before, but what sort of effect would that have on the economy? Further, would my salary and my savings be devalued by the same amount?

Oooh yes. Based on historical interest rates since 1930 - 4 year term CD, a quarter invested in 1930 would be worth about $22.00 today. Of course, that amount doesn't account for Canadian Income Tax on interest...

Going backward, your quarter today was worth 0.3 cents in 1930.

I am sentimentally attached to the penny. I sold pretty much all my older silver coins... but can't part with my copper. Don't know why.

The cent is my favourite coin to collect.

I appreciate that modern US penny collectors will miss out on a lot of fun. But that does not seem to worry Brit collectors who have lost their bronze half penny, and Oz collectors, who have lost their 1c and 2c bronze currency altogether.

I think the one cent should go, but if done in an ideal manner, will require some complex legislation, as I understand the American taxing system from an Australian point of view. That is why some of my remarks may be wrong.

A I understand it, currently a states tax is charged over the counter, which can vary from state to state on the retail price, and so results in an odd remainder price to pay. As a result most American homes have necessarily, and not necessarily willingly, hoarded large sums of coins, which will have to be eventually returned to the bank.

When I visited a family San Diego about a year ago, I was able to build a complete set of States Quarters in one go. I must admit, I had a lot of fun doing so!

Perhaps the over the counter price should have states tax already included rounded up or down to the nearest 5 or 10 cents. For small items perhaps a multiple of items could be packaged together, such as soap. The business could still then still remit the lawfully due amount of tax to the state concerned.

That way, at least the Mint will not have to mint billions of one cent pieces that are used only once or twice, and the whole population would not have to go to the chore of returning little used pennies to the bank on a regular basis.