Tuesday, December 14, 2010

Penny should be scrapped: Senate panel

By: CBC News
December 14, 2010
http://news.ca.msn.com/canada/cbc-article.aspx?cp-documentid=24384296

This article discusses the idea of getting rid of the Canadian penny. It basically says that no one uses, or even cares for, the penny anymore so why not just get rid of it. The senate is proposing that all future purchases be rounded off for cash-only transactions. The Bank of Canada says since 1908 copper coins have lost 95% of their purchasing power. It now actually costs more to produce a penny then what it is worth. It costs about 1.5 cents to produce one. Due to people hoarding their pennies, the Canadian mint has been forced to sharply increase production. It is estimated that 600 pennies are hoarded per person in Canada.

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