04 Jul '12 10:39>2 edits
The US penny and nickel (1-cent and 5-cent pieces) apparently cost more to produce than their face value.
http://www.bbc.co.uk/news/magazine-18586854
Surely, withdrawing the penny, or even both of these coins, from circulation is a no-brainer. Small purchases could be rounded to the nearest ten cents if paid in cash; legislation could mandate that the rounding be done up or down to the closest figure, so neither consumers nor businesses would be out of pocket (alternatively, like one business cited in the above article, shops could round in the customer's favour, since this is offset anyway by the time staff waste counting small change). If cards were used, the exact sum could still be charged.
Alternatives: reducing the size of small coins (I was amazed to discover on a recent trip to New York that a nickel is physically bigger than a dime), or switching to cheaper metals.
Any thoughts?
http://www.bbc.co.uk/news/magazine-18586854
Surely, withdrawing the penny, or even both of these coins, from circulation is a no-brainer. Small purchases could be rounded to the nearest ten cents if paid in cash; legislation could mandate that the rounding be done up or down to the closest figure, so neither consumers nor businesses would be out of pocket (alternatively, like one business cited in the above article, shops could round in the customer's favour, since this is offset anyway by the time staff waste counting small change). If cards were used, the exact sum could still be charged.
Alternatives: reducing the size of small coins (I was amazed to discover on a recent trip to New York that a nickel is physically bigger than a dime), or switching to cheaper metals.
Any thoughts?