Trump Directs U.S. Treasury to Cease Minting "Superfluous" One-Cent Coins
In a recent announcement, Donald Trump, the divisive U.S. president, expressed his intent to halt the production of pennies. This move, although coming from an individual often criticized for his policies, might just be one of his better decisions since taking office.
"For years, the United States has been minting pennies, and it's costing us more than 2 cents to make them! Such wastefulness!" Trump posted on his social media platform, Truth Social. "I've instructed the Secretary of the U.S. Treasury to cease producing new pennies. Let's trim the fat from our nation's budget, even if it's only a penny at a time."
The cost of minting a single penny has surpassed its face value, reaching 2.7 cents in 2022, and further escalating to 3.7 cents in 2024, as reported by the Wall Street Journal.
Proponents of this change, including other nations like Canada and Australia, argue that discontinuing the penny would ease transactions, as merchants could simply round sums to the nearest 5 cents. Countries that have implemented similar changes, such as Canada in 2012 and Australia in the 1990s, report success in streamlining transactions and reducing waste.
However, opponents of this move assert that the penny's elimination would pose challenges in rounding transactions more accurately. But many other nations have successfully managed this transition, leading to skepticism over theArgument's validity.
In addition to scrutinizing the penny, the United States could consider other cost-saving measures, such as discontinuing the $1 bill. As the lifespan of a $1 coin is significantly longer than that of a $1 bill, the U.S. could benefit from widespread use of the coin. Canada's decision to abolish its $1 bill in the past resulted in a higher adoption rate for the coin.
Furthermore, updating the materials used in U.S. currency could also contribute to savings. While the U.S. still utilizes cotton and linen for its bills, other nations like Britain, Australia, and Canada have transitioned to polymer-based currencies, which are more durable andlong-lasting.
While the decision to halt penny production is commendable, it's essential to maintain skepticism towards the administration's other actions. Recent developments have raised concerns about the administration's disregard for established institutions, such as NASA and the Consumer Financial Protection Bureau. Moreover, the government's security has been jeopardized by its allowance of sensitive data leaks, and industry leaders like Elon Musk have shown little regard for established rules.
Technology and the future of currency are intertwined in this discussion. With the cost of producing a single penny surpassing its face value, some experts suggest embracing tech solutions to save money. For instance, switching to polymer-based currency, like several other nations have done, could significantly increase the lifespan of our currency, reducing waste and saving resources for the future.
