As the Super Bowl entered its final quarter on Sunday, President Donald Trump made a significant announcement: the United States will cease the production of pennies.
These copper-colored coins, bearing the likeness of Abraham Lincoln, are larger than a dime yet hold only a tenth of its value. The responsibility for implementing this decision falls to Secretary of the Treasury Scott Bessent.
President Trump articulated his rationale, stating, "For far too long the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful! I have instructed my Secretary of the US Treasury to stop producing new pennies. Let's rip the waste out of our great nation's budget, even if it's a penny at a time." This statement was made from the Oval Office, where a sculpture of Lincoln, reminiscent of the penny's portrait, stands behind the Resolute Desk.
According to The Post Millennial, the debate over the penny's future has persisted for decades, yet no previous administration has taken steps to eliminate the coin of smallest denomination. In 2012, Canada discontinued its penny for similar reasons, aiming to cut costs. The production expense of the penny in both nations has consistently exceeded its face value.
The Brookings Institute highlighted this issue in 2013, noting, "pennies and nickels cost more to make than they are worth. A penny costs nearly 2 cents to make, a nickel nearly 8 cents. And since the U.S. mint has minted nearly 92 billion pennies 15 billion nickels since Y2K, the nations $1 billion loss making these coins is not, like the coins themselves, chump change. Back in 1940, and even much after that, we got along just fine without coins that bought as little as pennies and nickels do today."
In addition to the penny decision, President Trump announced that February 9 will be commemorated as Gulf of America Day. This follows his recent geographical rebranding efforts, which include renaming the Gulf of Mexico to the Gulf of America and reverting Alaska's Denali to its former name, Mount McKinley.
The elimination of the penny aligns with conservative principles of fiscal responsibility and efficient government spending. By addressing even the smallest inefficiencies, the administration aims to demonstrate a commitment to prudent financial management. As the nation moves forward, the impact of these changes will be closely observed, particularly in terms of their economic and cultural implications.
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