Should Congress do away with $1 bills and replace them with $1 coins?

By Catholic Online (NEWS CONSORTIUM)
11/30/2012
Catholic Online (www.catholic.org)

Some say measure would save taxpayers $4.4 billion over next 30 years

They're often referred to as "wallet fillers" - pesky $1 bills that take up space in wallets and purses that in the end, don't amount to that much. A heavy wallet is nothing to brag about if it's merely 30 $1 bills crammed together. To this end, Congress is considering doing away with the one dollar bill altogether and replacing them with dollar coins. Some say it could save taxpayers $4.4 billion over the next 30 years.

Philip Diehl, former director of the Mint, said there was a huge demand for the Sacagawea dollar coin when production began in 2001, but as time wore on, people stayed with what they knew best.

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LOS ANGELES, CA (Catholic Online) - Those who tend to vending machines have touted the use of $1 coins as they don't jam the machines, cutting down on repair costs and lost sales. The one dollar coin has proved to be problematic to many, however. In the past five years, the U.S. Mint has produced 2.4 billion Presidential $1 coins. Most wound up being stored by the Federal Reserve and production was suspended about a year ago.

Lawmakers have since begun exploring new ways for the government to save money by changing the money itself. The Mint is preparing a report for Congress showing how changes in the metal content of coins could save money.

Fifty years ago, the U.S. made the last major metallurgical changes in coins when Congress directed the Mint to remove silver from dimes and quarters and to reduce its content in half dollar coins. Congress is currently looking at new changes in response to rising prices for copper and nickel.

At a House subcommittee hearing this week, officials examined two items: Moving to less expensive combinations of metals like steel, aluminum and zinc and gradually taking dollar bills out the economy and replacing them with coins.

The GAO's Lorelei St. James told the House Financial Services panel noted that it would take several years for the benefits of switching from paper bills to dollar coins to catch up with the cost of making the change. Equipment would have to be bought or overhauled and more coins would have to be produced upfront to replace bills as they are taken out of circulation.

The savings over the long run would begin to accrue, she said, largely because a $1 coin could stay in circulation for 30 years while paper bills have to be replaced every four or five years on average.

"We continue to believe that replacing the note with a coin is likely to provide a financial benefit to the government," St. James says. She adds that such a change would work only if the note was completely eliminated and the public educated about the benefits of the switch.

One dollar coins have traditionally proved to be unpopular. Philip Diehl, former director of the Mint, said there was a huge demand for the Sacagawea dollar coin when production began in 2001, but as time wore on, people stayed with what they knew best.

"We've never bitten the bullet to remove the $1 bill as every other Western economy has done," Diehl said. "If you did, it would have the same success the Canadians have had."

� 2012, Catholic Online. Distributed by NEWS CONSORTIUM

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General Intention: The Faith of Christians. That in this Year of Faith Christians may deepen their knowledge of the mystery of Christ and witness joyfully to the gift of faith in him.
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Keywords: One dollar bills, the Mint, one dollar coins, study

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1 - 10 of 17 Comments

karlVDH
5 months ago
You're criticizing me, Jo, but the simple truth here is that YOU made a statement, and I've asked YOU to back it up, and you expect ME to do it for you. NO. It was simple enough to make the statement, it should be simple enough to explain it in your own words. I contend that the 1958 penny I had in my pocket is an excellent indicator that coins last far longer than paper bills, and therefore, in the long rn, will save US taxpayers money. You say I'm incorrect about it. Why can't you simply xplain why, instead of epecting me to do your work for you.
As to the "evil times," I'm readier than you, I think. I don't EXPECT the government or a country to make this world comfortable or agreeable for me, and find the idea of a "christian nation" absolutely ridiculous. The Bible offers no such idea,
JoAnn
5 months ago
Karl: Don't be naive. Everything is about politics. If you want to stick your head in the sand, that's okay. You will be calling your friends "comrade" before long and you don't even care to investigate what's going on. We have nothing more to talk about. I can't respect anyone that won't even research what he hears. I've been around a long time and I know what Marxist/Communist language sounds like. If you knew history, you would too. I've given you all kinds of resources to check out but you prefer to remain in the dark. That's fine, it's your choice, but when the hard and evil times hit us, more than they have already, you and your family will not be prepared. I will pray that the "scales will fall from your eyes" before it's too late for you. God bless.
KarlVDH
5 months ago
Jo, I was having a conversation with YOU. If YOU can't answer, that's all you need to say. The truth? I don't CARE about words like "sustainable" and how you choose to politicize them. Once again, I reach in my posket and find a penny dated 1958. That's lasted a whole lot longer than any bill I've ever had. There's NO WAY this fails to save us money in the long run, and no matter how you politicize it, that's the simple truth: It SAVES US MONEY.
But, of course, if it's not really about tax money, and just partisan politics, your objection makes all the sense in the world.
Pete
5 months ago
I went up to Canada, where they have dollar coins, the coins bounced around in my pocket the whole time. It was so annoying. If we get rid of the paper dollar the dollar will become like change people will just want to get rid of them. Soon we will be rolling up 100 dollar coins and bringing them to the bank to cash them in for 1000 dollar bills. This will only increase inflation.
JoAnn
5 months ago
KarlVHD: I answered your questions. I suggested you pull up the report from the United Nations entitled " Economic & Social Development: Division for Sustainable Development." (Agenda 21) That will give you all the answers you want me to answer. Maybe if YOU read it DIRECTLY from the source it will convince you. Hearing it just from a "nutty" old lady like me doesn't seem to do it. In fact, I encourage it. Don't take my word for it or any body's word for anything for that matter. Always do your own research like I do. But if you do decide to dabble in reality, you better do it quickly. Parts of Agenda 21 are being scrubbed from the internet. It seems "they" are too worried that so many people are finding out what "they" are up to. Happy reading. God bless.
KarlVDH
5 months ago
JoAnn, shall we gather from the fact that you didn't address anything I asked that you can't actually answer? That's how it comes off.
1) I have, right now, literally, a Bicentennial quarter. If you're not old enough to know, it was minted in 1976. That's THIRTY SIX YEARS in circulation, and till shiny and going strong. No circulated paper bill could POSSIBLY have a life even a THIRD as long. So please educate me as to how a standardized one dollar coin DOESN'T save us money... because that was your claim.
2)If we've already lost control of money as you say, then what's the problem anyway?
3)Does your refusal to answer mean you can't actually name another Socialist in Congress beside Bernie Sanders? I'm not asking you to do MY homework, I'm asking you to back up YOUR statement with actual facts. Can you do that?
4) As I am currently working wth no reason to think my field will be going away any time soon, your dire predictions for my line standing and all seem a bit silly. Can you offer some reason to think my job's going away? An ACTUAL, FACTUAL statement would do fine. Thanks!
5) Know what? You just demonstrated why we took such a beating in the election. Again. You're hysterics, hystrionics, "sky is flalling" predictions are just part of it: you on't offer anything. While Obama was running around talking "Hope" and "Change," all our folks have managed to offer is dire warnings doom, gloom, destruction... I mean, come on, y'all! They all KNOW what we're AGAINST. They all know what we DON'T want. Get it? Our mesage is entirely negative!! What do we have to OFFER? What're we FOR? We can't just say "life and family" and expect that to sway people- if you haven't figured by now that it doesn't, it's YOU who need to do some research and get your naive head out of the sand! We can't just say, "No... dollar coins are communist tools!" and expect to be taken seriously! We can't just throw the word "Socialist" around any more... we did it so much that WE CAUSED the ranks of the Socialist Party USA to swell! Come on, Jo Ann, YOU quit being so naive, and really SAY something! Tell us WHY dollar coins are a bad idea. Tell us WHAT we're offering instead. Not what we're against, what we're FOR, in more than vague statements that end up being basically, "We're for being against this or that." We have no real message in this country, and THAT, dear, is why we're losing it.
JoAnn
5 months ago
KarlVDH: Research how and when the Federal Reserve was born. We lost control of our money over a century ago. Regarding Socialism, you are one of the individuals I described in my last post to you. Naive, in denial or supportive of the killing of a free America. What a shame. If you don't wake up and prepare for what's coming, you will be standing in line at a food bank, waiting for months to get medical care (if you are able to get any at all) and no prospects of a job in sight. Not being mean, just stating facts. God bless.
Rob
5 months ago
Could you clarify what free stuff is?
KarlVDH
5 months ago
Know what's hilarious? When paper money was introduced, many many years ago, it was looked on as a Liberal plot to control the populace and finance, and was prediced to destroy an already dicey economy.
All that's missiing is the looming spectre of the monstrously overused word, "Socialism!"
JoAnn
5 months ago
KarlVDH: I am sick and tired of doing people's homework on this board. It's about time people do their own research. It's so easy "IF" you have the gumption and "IF" you really want to know the truth. That's why we are in the mess that we are in. People not doing their research on people and issues. Some people don't really want to know, some are in denial, some don't care and some support this "fundamental transformation" of America that is really going on. To all those people, I say shame on you. To all the others that know the truth, good work and thank God. Bernie Sanders is the only Socialist that has boldly admitted his political persuasion. Research everyone in Washington. You will be amazed at how many Socialists/Communists we have there. And, again, please, please, please read the "United Nations Report on Sustainable Development." You will be so enlightened as to what is going on in this country and around the world, you might even have (hopefully) that V-8 moment, whack yourself on your forehead and say: "What the heck are they trying to do?" As a matter of fact, you will think you are reading a fiction novel. But believe me, it's not fiction. Our country is slipping away and 1/2 this country is so "party biased." All they want is the FREE STUFF and don't even care about anything else. I'm an old lady and I weep for my country. I know history because I've lived through a lot of it. I know the signs, the talking points and the actions., America is rapidly turning into a communist country. Pray very hard for enlightenment and courage, we are going to need it. God bless.

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