Eliminate the dollar bill?

[ugonow]

Any feelings on this? To me, it would depend on how much it really saves.The figures seem suspect. "...the curiously titled “Back in Black” plan proposes completely eliminating the $1 bill and replacing it with $1 coins. Coburn estimates this will save taxpayers $2.04 billion over 10 years:

The Treasury Department should phase out use of the $1 bill and replace it with the $1 coin. Paper-based currencies wear out faster than coins, and so cost taxpayers more in the long run. According to GAO, starting in the 1980s, “Over the last 47 years, Australia, Canada, France, Japan, the Netherlands, New Zealand, Norway, Russia, Spain, and the UK, among others, have replaced lower-denomination notes with coins.” GAO also estimates that over a 30-year period, the average annual savings would be approximately $184 million.

Coburn cites numbers by the well-respected GAO, but misrepresents the savings to be had. The GAO estimates savings of $184 million a year could come over a 30-year period — Coburn makes it seem like Americans would see over $2 billion in savings in the next 10 years.

However, eliminating the dollar bill is a proposal endorsed by respected voices on the left and right. As GAO notes, there is one problem with the plan: When given a choice between dollar coins and dollar bills, Americans always choose bills. Americans would much rather carry light bills around than heavy coins. The GAO has made similar proposals four times during the past two decades, and nothing has ever come of it. Although now that a new zeal to cut the debt and deficit has descended on DC, the time may be right for a change. "

[Driftr]

That's funny. It was just a few weeks ago that I heard some special on NPR on my way home about all the dollar coins sitting around the country in vaults. Need to go google it and see if I can find the source. 184 million a year is a start.

[Driftr]

Link to that NPR story.

www.npr.org/2011/06/28/137394348/-1-billion-that-nobody-wants

[flopsy]

what would strippers be paid with if there are no singles? i don't think they'd care to be pelted with coins.

[wyouser]

The only way to force the transition is to remove the paper bills from circulation.

[jkapp]

Jul 19, 2011 12:16:32 GMT -5 flopsy said:

what would strippers be paid with if there are no singles? i don't think they'd care to be pelted with coins.

Excellent point...and probably why it will never happen. What sane congressman will go against strippers... ;D

Of course, I'm sure the strippers will adapt better than the general public...they will probably create $1 "stripper notes" that can be purchased at the bar.

[Trongersoll]

Getting rid of paper singles would make it rough on the WheresGeorge.com people.

But really, a dollar is worth about a quarter in 1960 dollars (guestimate). It really should be a coin. I know that i just shove singles in my pocket with the rest of the change. Singles do not have a place in my wallet.

While we are at it, we should get rid of Pennys too.

[❤ mollymouser ❤]

If they know it will save $2.04 billion over 10 years, why don't they just DO this?

[wyouser]

we could get rid of the headach of trying to get vending machines to take crumpled dollar bills. (You cannot crimp or crumple the corner of a coin)

[Deleted]

The dollar coins are the problem

Too close in look and feel to the quarter

It was an error in design.....the public will use coins.....but these were a disaster from go

[safeharbor37]

The Euro, which is worth about $1.40 and the Pound, worth about $1.70, are coins. If you want to see how it works, look at Europe. As a rule, it doesn't seem to cause much problem. I think that the reason that most Americans want the paper Dollar to continue is that we don't want to recognize the devaluation of our currency.
It used to be that you could buy something with a pocket full of coins. Men used to "jingle" their pockets to establish that they were "flush." Then it became a roll of bills ~ the typical trick was to keep a larger denomination [$5, $10 or $20] on the outside of the roll to give the illusion that one was more "well heeled" than he really was. Today it's a pocket full of credit/debit cards.
It's a longing for the days when a dollar was actually worth something.

[wyouser]

if you are old enough ..do you recall around 1963 ,your mother sending you to the store with a quarter to get a loaf of bread? You got the bread and came home with change. If you took a 1963 or earlier quarter to the store today, the silver content would still get you the loaf of bread and some change. So Safe, it depends on "what" kind of change you have jingling in your pocket to feel you are "flush" anyway, just a thought.r

[Bluerobin]

I saw a news story last weekend, where Treasury is storing tons of Presidential Dollar coins, cause no one wants them. This has already cost us billions, and they plan on finishing the whole presidential series. At least if they stopped making them collectors might then go for them. I won't use the damn things. I have enough change in my pockets. F-ing govt idiots!

[marshabar1]

This message has been deleted.

[Deleted]

Any feelings on this?

I was stationed overseas in a country where they used dollar coins. Did I love it, no. I did get used to them though & it wasn't a big deal. To save money I would go to that system here. I would also point out that they had a $5 coin that we also used.

[djAdvocate]

paper money is lame.

[chiver78]

I've spent a fair amount of time working in Europe, as well as in Canada. it takes some getting used to loonies and toonies, but it's really not as horrible as people think.

[flopsy]

Jul 19, 2011 14:59:51 GMT -5 Bluerobin said:

I saw a news story last weekend, where Treasury is storing tons of Presidential Dollar coins, cause no one wants them.

they can give those dollar coins to me! were they put into circulation? if the coins were in circulation i'd use them as i have used the Sacagawea, Susan B, and other higher denomination coins.

[❤ mollymouser ❤]

Can't they just make a $1 coin that doesn't look/feel like a quarter?

[marshabar1]

Not actually photoshopped. ;D But have fun.

[cme1201]

Jul 19, 2011 16:58:32 GMT -5 ❤ mollymouser ❤ said:

Can't they just make a $1 coin that doesn't look/feel like a quarter?

And I believe for most people that is the rub, same size same feel.

If they could make it the size of a Kennedy 1/2 with the sameish weight it might work.

[diamonds]

Jul 19, 2011 15:21:05 GMT -5 @oldtex said:

Any feelings on this?

I was stationed overseas in a country where they used dollar coins. Did I love it, no. I did get used to them though & it wasn't a big deal. To save money I would go to that system here. I would also point out that they had a $5 coin that we also used.

Same experience. The dollar coin is smaller than the quarter and quite heavy. The $2.00 coin is the size of the 1/2 of a dollar. I hate carrying coins in my wallet, can't be bothered. I prefer the paper money as it slips easier into the machines at the casino.
I say make the pennies obsolete.

[djAdvocate]

Jul 19, 2011 18:28:28 GMT -5 diamonds said:

Jul 19, 2011 15:21:05 GMT -5 @oldtex said:

Any feelings on this?

I was stationed overseas in a country where they used dollar coins. Did I love it, no. I did get used to them though & it wasn't a big deal. To save money I would go to that system here. I would also point out that they had a $5 coin that we also used.

Same experience. The dollar coin is smaller than the quarter and quite heavy. The $2.00 coin is the size of the 1/2 of a dollar. I hate carrying coins in my wallet, can't be bothered. I prefer the paper money as it slips easier into the machines at the casino.
I say make the pennies obsolete.

diamonds- did you used to go by DJDIAMOND, by any chance?

[humok]

Why not just abolish the fed reserve and make our govt print our own money like they always should have been and problem solved?

[handyman2]

Several years ago they were talking about doing away with pennies but after consideration abandon the idea. Dollar coins would add weight to your pocket or pocketbook. plus doing away with the paper dollar would cost jobs. we cannot have that. Also it is easier to counterfit coins versus paper bills.

[diamonds]

Jul 19, 2011 18:45:16 GMT -5 djAdvocate said:

Jul 19, 2011 18:28:28 GMT -5 diamonds said:

Same experience. The dollar coin is smaller than the quarter and quite heavy. The $2.00 coin is the size of the 1/2 of a dollar. I hate carrying coins in my wallet, can't be bothered. I prefer the paper money as it slips easier into the machines at the casino.
I say make the pennies obsolete.

diamonds- did you used to go by DJDIAMOND, by any chance?

What?? No, I used to be white diamonds, that's it...

[Bluerobin]

How many of you who support the dollar coin have them in your pocket?

[cme1201]

I was looking at the penny, historically it cost roughly .97 of 1 cent to make, depending on the price of zinc it has been as high as1.7 cents to make, considering a penny passes through 1000's of hands it's cost is negligible, moving from lesser paper denominations to coins would be the most cost effective allowing a "hard" currency that doesn't need to be replaced every 2ish years.

[2kids10horses]

The problem with changing the bills to coins is the millions of cash registers. There aren't enough compartments to add dollar coins.

Maybe if the penny were eliminated, the penny compartment would hold nickels, the nickel compartment would hold dimes, etc, the dollar coin would find a home. But, until we eliminate the penny, I doubt it would happen.

On the bill side, if we issued dollar coins, and stopped issuing dollar bills, the $1 slot could contain $2 bills.

Which begs the question, if we replaced the $1 bills with $2 bills, and the $2 bills get used regularily, have we really done anything to save the treasury money?

[chiver78]

Jul 20, 2011 7:46:29 GMT -5 2kids10horses said:

The problem with changing the bills to coins is the millions of cash registers. There aren't enough compartments to add dollar coins.

it's not that difficult to change the registers. most drawers are removable inserts, you'd only have to reconfigure the plastic. merchants all over Europe had to do this when they merged currencies into the Euro, and they all seem to be doing OK.