Switching to a Dollar Coin: Seems Like a No-Brainer
|G-8 Country||Highest Widely Circulated Coin||U.S. Value||Lowest Bill||U.S. Value|
|Canada||2 Dollar||$1.97||5 Dollar||$4.92|
|France||2 Euro||$2.77||5 Euro||$6.92|
|Germany||2 Euro||$2.77||5 Euro||$6.92|
|Italy||2 Euro||$2.77||5 Euro||$6.92|
|Japan||500 Yen||$6.01||1,000 Yen||$12.02|
|Russia||10 Ruble||$0.33||50 Ruble||$1.67|
|United Kingdom||2 Pound||$3.18||5 Pound||$7.95|
|United States||25 Cents||$0.25||1 Dollar||$1.00|
1. Each year approximately 3.2 billion $1 bills are removed from circulation due to wear and tear. They are not recyclable, so they are shredded and most are deposited in landfills. Dollar coins have a lifespan of 30 years or more, while $1 notes last approximately 2-3 years. A $1 coin that is produced for less than 16¢ would replace 17 bills that would have to be printed for a cost of 47¢.
2. The private sector experiences even greater cost savings and increased revenues from $1 coins. Jammed $1 bills in vending machines cost the industry $1 billion in annual repair costs and lost sales. According to the transit industry, it costs six times more to process $1 bills than $1 coins.
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.