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  • Wooden nickels law

    The move is in part a reaction to the rising cost of zinc - the penny's main ingredient - which at current prices brings the cost of making the coin to 1.4 cents each.

    http://money.cnn.com/2006/07/18/news...cnn_topstories

    wonder what it'd cost to make them out of copper?

    Get rid of pennies because zink is too expensive.

    next... wooden nickels!

  • #2
    Re: Wooden nickels law

    Originally posted by metalman
    The move is in part a reaction to the rising cost of zinc - the penny's main ingredient - which at current prices brings the cost of making the coin to 1.4 cents each.

    http://money.cnn.com/2006/07/18/news...cnn_topstories

    wonder what it'd cost to make them out of copper?

    Get rid of pennies because zink is too expensive.

    next... wooden nickels!
    Here is an interesting Web site where you can track the underlying raw material value of US coinage, www.coinflation.com. The pre-1982 penny, which was 95% copper and 5% zinc, has a current raw material value of $0.0232833 at the close of the metals markets on 07/20/06. You'll see the current nickel, which is 75% copper and 25% nickel, has a raw material value of $0.0635629.

    It's a nice little illustration of inflation and/or currency devaluation. Pick your pleasure. Good old Uncle Sugar has apparently been busy. We can't even continue to make the coinage out of it's historical components because it now costs too much!

    If you want to buy copper, nickel, and zinc at below market value though just go to your local bank and then head off to a smelter!

    JD

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