The mighty penny (Update: RIP the penny) (3 Viewers)

[FWtex]

It would be insignificant. Cash registers could be easily programmed to round "total purchase" to the nearest $.05. Would not effect business pricing of goods in the least bit.

And what the heck do the oil companies have to do with this conversation? lol....x2

Now you are worried about inflation?

The price doesn't go up on anything on paper. A stamp cost 42 cents. If you buy one it would cost 40 cents. If you buy ten it would cost $4.20 if you bought 53 it would be $22.25 instead of $22.26. I could see how an item that would be purchased in bulk such as stamps would go to 43 cents so it wouldn't be cheaper to buy them 1 at a time but it doesn't have to jump a nickle.

If gas is $2.99 a gallon and you buy 10 gallons then the total would round up from $22.99 to $30.00 or it would cost the consumer a whole tenth of a cent per gallon.

I see what you are saying about businesses trying to use it to increase profit but if they wanted to raise prices now nothing is stopping them. Competition determines the ultimate price of an item.



It really isn't that important to me. I already round all my prices off to the nearest $5 and anytime you multiply a number (tax) by 5 it comes out rounded to the nearest nickel anyway. It would just save the country time, money and natural resources as well as the energy used to mine and produce pennies.

Just saying if we wanted to do it then it wouldn't be difficult at all.

I am not a penny pincher but I don't understand people who would volunteer a price increase for "convenience". That money is going to profits of others to live on. Its not going to reduce your taxes, not going to pay for community inprovements, not going to quality of life.

For example. You will not see $2.76/gal. anything above 2.75 would be 2.80. and you may think this is minor but it is not. Not only will you be volunteering to pay more just because there are no pennies but competition between stations will be minimized as well. How often do you drive to a gas station a block away because they are selling gas at $2.76 vs $2.78??

It may only cost consumers a couple hundred bucks a year but it would improve profits of the big corporations by millions to hundreds of millions. I would gladly accept $.01 of every gallon of gas Exxon sells as my yearly salary.

Also, when businesses start rounding everything up to the next nickle the nickle will eventually be as undervalued as the penney. Suddenly a .10 price difference or increase may not be too much for you too accept.

Pricing is a big piece of consumer marketing. So much so that suppliers have reduced the quantity in packages where possible so they do not harm the psychological acceptable price by consumers.

 

[Shockmo]

Wow ...those oil companies have really upset you i guess. What about wal-mart? Cable TV bills? etc?

Um..They would round down as well as round up ....comes out pretty even. It's a statistical thingy.

 

[Hoyasaint]

I am not a penny pincher but I don't understand people who would volunteer a price increase for "convenience". That money is going to profits of others to live on. Its not going to reduce your taxes, not going to pay for community inprovements, not going to quality of life.

For example. You will not see $2.76/gal. anything above 2.75 would be 2.80. and you may think this is minor but it is not. Not only will you be volunteering to pay more just because there are no pennies but competition between stations will be minimized as well. How often do you drive to a gas station a block away because they are selling gas at $2.76 vs $2.78??

It may only cost consumers a couple hundred bucks a year but it would improve profits of the big corporations by millions to hundreds of millions. I would gladly accept $.01 of every gallon of gas Exxon sells as my yearly salary.

Also, when businesses start rounding everything up to the next nickle the nickle will eventually be as undervalued as the penney. Suddenly a .10 price difference or increase may not be too much for you too accept.

Pricing is a big piece of consumer marketing. So much so that suppliers have reduced the quantity in packages where possible so they do not harm the psychological acceptable price by consumers.

You'd still see 2.76 a gallon, it would only be the total purcahse that would be affected by the lack of the penny. If you buy 1 gallon of 2.76 gas that turns out to be charged to you at 2.75. If you buy 3 gallons of 2.76 gas that would be 8.28 in which you would pay 8.30.

The law of averaeges would say that in the long run your bottom line would be unaffected by the rounding. Not sure why this has you all ****** off

 

[ra]

You'd still see 2.76 a gallon, it would only be the total purcahse that would be affected by the lack of the penny. If you buy 1 gallon of 2.76 gas that turns out to be charged to you at 2.75. If you buy 3 gallons of 2.76 gas that would be 8.28 in which you would pay 8.30.

The law of averaeges would say that in the long run your bottom line would be unaffected by the rounding. Not sure why this has you all ****** off

You're assuming that they would even consider rounding down.
I seriously doubt they would.

 

[Jeff Miller]

That's absurd

Wow, way to keep a open mind.

i'm going on 5 years of never carrying any signifcan't cash. Infact the only time i can even remember using was in a strip club.

I suppose drug dealers still need cash. You can't pay for a bag of pot with a debit card. Their isn't anything in this country i can't buy without using cash.

 

[Jeff Miller]

Yes, this idea of a completely cashless or coinless society is absolutely absurd. With all those electronic transactions, keep in mind there's a subsequent shift of cash from one bank to another, or from the bank to whatever firm a consumer purchased an item from.

ok, here's the second absurd remark, with no valid reason why.

 

[Hoyasaint]

You're assuming that they would even consider rounding down.
I seriously doubt they would.

Well in Australia, the only place I've been that I know has eliminated the penny, they do.

 

[bigdaddysaints]

The chatter is back. I see Trump is stopping printing the Penny. Does that lead to getting rid of the penny altogether at some point?
And does anyone have faith that businesses will round down? Using debit/credit cards is one thing, but cash is another. In a time when people complain about 1% when it comes to purchasing, will it go over well?
There is also talk about axing the Nickle too.

Well in Australia, the only place I've been that I know has eliminated the penny, they do.

Well, Australia does a lot of things that people in this country would swear would destroy our econony or would consider "socalism" here.


Admins, can someone add BUMP to the thread title as no not confuse anyone?

 

[guidomerkinsrules]

on the one hand, I'm merely plussed by this
however using context clues, it seems eliminating the penny might destroy many aspects important to our survival

 

[Sailorsaint]

Damn, what am I gonna do with all these pennies I haven't rolled?

 

[SoggyBottomBoy]

I can see not pressing any more new ones as it costs more it's actual value, and I'd think there are enough in circulation that it could keep it valid for quite some time. But if merchants automatically round off the prices, then there won't be a need for them.

I sure hope that doesn't mean taxes get rounded up in 5 or 10% increments.

 

[Paul]

Everybody get your arses to the nearest Coinstar, ASAP.

 

[Grumpy Old Manatee]

on the one hand, I'm merely plussed by this
however using context clues, it seems eliminating the penny might destroy many aspects important to our survival

Can no longer adorn your loafers?

 

[bclemms]

Single best thing Trump has done.

 

[bigdaddysaints]

Damn, what am I gonna do with all these pennies I haven't rolled?

roll them then use them to purchase something else to roll...