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Wednesday, September 24, 2008

Economics of Pennies

Should the USA stop using/producing pennies?

Pennies: Enough Already!

Imagine my surprise at the recent announcement that the U.S. will be issuing four new versions of the penny, the first of which comes out in February, in honor of Lincoln’s bicentennial.

What a waste of resources — and what a move inside the production-possibility frontier! Each penny costs much more than 1 cent to manufacture.

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Posted by Lara Nieberding, The Data Digger at 10:51 AM

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