SHOULD THE PENNY BE SCRAPPED?

There is now a private member’s bill in the hopper in Ottawa to discontinue the use of the penny in Canada.

As it stands now it costs $130 million a year to produce 1.2 billion pennies needed annually, many of them collected in jars and under people’s beds.

Both Australia and New Zealand have dropped the penny without any adverse consequences.

The Ottawa bill would introduce a “rounding”system to adjust prices to the nearest nickel. For example, if a purchase totaled $29.98, it would be rounded to $30. If the total were $29.96 the charge would be $29.95 in cash.

There are now 20 billion pennies circulating in Canada.

How do you feel when you put your hand in your pocket and you have 10 or more pennies rattling around in there?

Would you miss the penny?

Should we scrap it?

Do you know of anything one penny can buy?

5 Comments »

  1. 1
    Chimera Says:

    *groan* Not again…

  2. 2
    Paul Costopoulos Says:

    True the penny costs more than its worth to produce and it dooes’nt buy much anymore. On the other hand I guess all prices would go up above x.97$ considering our strong profit oriented economy and our notorious lack of price controls. Maybe the Royal mint would spare a few bucks and we would lose the equivalent. Besides, what would I put in my grand children’s piggy bank? Oh! and what about having a few less jingling pennies in our pockets if they are replaced by 5$ coins?

  3. 3
    Chimera Says:

    On the other hand, pennies are like fruitcake — they last forever. If they get phased out, what are we gonna do with those jars full of them under our beds?

    Maybe the mint could just stop producing them until we’ve used up the more-than-a-billion of them they’ve already issued.

  4. 4
    SUZANNE Says:

    I find that this is a generally useless topic. Of all the things there are to worry about in the world, we’re worried about the…penny.

    It seems to me that a “metric” monetary system should have some place for its smallest denomination. Rounding up or down doesn’t seem fair. I don’t mind Chimera’s idea of just using the pennies we already have. They do last forever. We could maybe mint some new ones every 10 years.

  5. 5

    20 billion, eh? I knew I should have been more diligent picking those suckers up from the street.


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