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Why Did They Stop Making Early Commemoratives?

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snitchard's Avatar
United States
420 Posts
 Posted 12/16/2010  11:02 am Show Profile   Bookmark this topic Add snitchard to your friends list Get a Link to this Message Number of Subscribers
Hello,

I'm teaching a coin collecting for beginners class next month at my local community center and I was wondering if anyone could tell me why Commemorative Coins stopped being made in 1955 and were not made from 1955 - 1981? I'm needing to fill out my outline more and I chose commemorative coins as one of my topics.

Thanks,
Rich
Rich M. - Collector since 2008
Bedrock of the Community
United States
10284 Posts
 Posted 12/16/2010  11:15 am  Show Profile   Bookmark this reply Add TNG to your friends list Get a Link to this Reply
I think the US Mint concentrated on marketing proof and mint sets instead for collectors.
Edited by TNG
12/16/2010 11:16 am
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MINT_MARQ's Avatar
United States
1000 Posts
 Posted 12/16/2010  12:00 pm  Show Profile   Bookmark this reply Add MINT_MARQ to your friends list Get a Link to this Reply
Just a guess...but I would venture to say the lack of commemoratives during that span, could be associated with governmental red tape. I think each modern commemorative has to be approved by congress...and for a subject to be considered for a commemorative it needs sponsorship from a certain number of congressman.

Maybe a law was passed creating these restrictions in the 50's and maybe the government was too busy with other things like Vietnam to worry about us silly numismatists....until they realized they could make a lot of money off of us......

But this is just a guess...I will be watching this topic to see if anyone knows for sure.
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Conder101's Avatar
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17884 Posts
 Posted 12/16/2010  1:10 pm  Show Profile   Bookmark this reply Add Conder101 to your friends list Get a Link to this Reply
The reason was the abuses that were coming from the commemorative programs.

Originally there was just the occasional one year and mint commemorative intended to commemorate a significant event and the Treasury supported them. But as the years passed the events became less national in scope, they started expanding to multiple mints and then multiple years. Finally in 1936 the dam gates broke loose. In that year there were TWENTY different commemorative half dollars being produced in 29 different date and mint combinations. Events ranged from state centennials and international expositions down to the receiving of a city charter by a small city in VA. The worst was the Cincinnati half which commemorated NOTHING! It commemorated a fiction and portrayed a person on the coin that had no real connection to the city. And the proceeds went to a paper organization that didn't exist before the coin proposal and which was made up of the same people in charge of marketing the coins. (Who then manipulated the market to make sure they were paid much more than the official issue price.)

And these were just the commemorative issues that managed to get passed. There were at least a couple dozen more proposals for commemorative coins that year that didn't get passed. At this point the Treasury but their foot down and came out against any future commemoratives. (There were still three more commemorative halves issued in 1937 and 1938 that had been passed in 1936 before the Treasury began its objections.)

I'm not sure how they managed to get the 1946 Iowa and Booker T Washington halves managed to get passed, but the BTW once again began the same abuse of the multiple year and mint issues. That would have probably marked the end of the commemoratives except for the Red Scare of the early 1950's. In 1951 in order to keep the Treasury from shutting down their lucrative fund source the coin was redesigned to include Washington Carver and the key clause was included in the bill that part of the funds would be used "To prevent the spread of Communism among the Negros". In the era of the Red Scare and McCarthyism, who was going to vote against a bill that had the purpose of stopping the spread of Communism? This managed to get them three more years of multiple mint coins before they were finally able to shut it off. After that the Treasury dept came out firmly against any commemorative coins proposals that came before the Congress.

But in 1982 we once again had something that politically you couldn't oppose. Who would want to go on record as opposing a George Washington commemorative? (Same reason we can't get him OFF the quarter. No one wants to vote to remove Washington! Or Lincoln, Or Jefferson....) But this time the Government would be in charge of distribution to prevent the abuses of the past. (Instead they thought up new ones.)
Edited by Conder101
12/16/2010 1:20 pm
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MINT_MARQ's Avatar
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 Posted 12/16/2010  3:07 pm  Show Profile   Bookmark this reply Add MINT_MARQ to your friends list Get a Link to this Reply
OR what he said
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carmykle's Avatar
United States
2448 Posts
 Posted 12/16/2010  3:14 pm  Show Profile   Bookmark this reply Add carmykle to your friends list Get a Link to this Reply
Condor makes some good points, I also believe that the Korean War had more of an impact on society than any would like to admit. A little over 4 1/2 years after WWII (the second war to end all wars) we were back in the trenches. There wasn't a whole lot to celebrate. The wounded and dead were coming home again and the old song was being played in a different key.

For almost 5 years prior, we ran ourselves ragged commemorating everything WWII and were, in my opinion, not only tied of commemorations but anything resembling one. It took almost 60 years to built a national tribute to WWII Veterans and what happened in the world.

I think another problem that the mint faced in those days was the perception people had as to what and how we celebrate and commemorate. While WWII and Korea produced valiant heroes, they also produced worldly nightmares we still argue over; European and Pacific death camps, global spread of Communism, global spread of Capitalism, Atomic power, the Cold War etc...

Condor identified a problem in the McCarthy era that plagued everyone in Congress and the media; If I recommend someone or thing to be commemorated, what will happen if to me if it has ties to socialism? While we often picture the USA in the 50's as Bucolic and ideal, it just depends on who you talk to.

Sorry for the long rant.
Edited by carmykle
12/16/2010 3:16 pm
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sel_69l's Avatar
Australia
21786 Posts
 Posted 12/17/2010  01:08 am  Show Profile   Bookmark this reply Add sel_69l to your friends list Get a Link to this Reply
Conder101's answer, as I understand it, was the official one given at the time for terminating commemorative coin production.

From about 1970 many major mints around the world were becoming increasingly aware that large profits could be made by producing NCLT. Because most mints these days are required, like any business, to produce as much profit as market conditions will allow, the prices charged for NCLT products is as high as they think they can get away with in most cases.

This need for profit by the Mint somewhat restricts the ability of the after market to make an investment profit on NCLT items.

The U.S. Mint was later than most in entering the NCLT market. I think the reason for this is the previous decision in principle in 1955, that recognised that the idea that commemorative coinage was being abused. Other opinions have obviously prevailed, and so the U.S. Mint is now issuing NCLT by the cartload, like all of the other Mints around the World.

The profits are derived from the coin collector who is interested in NCLT, and they go in theory back to The People. That process is not making the Nation any richer, it is just a slight re distribution of wealth.

And some coin collectors are happy.

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