(snip)"Which gives Representative Jim Kolbe, Republican from Arizona, a pretty good reason to abolish the Lincoln penny, our current one-cent "token." When the cost goes just a tenth of a penny up, he predicts, "[e]veryone will horde their pennies because the metal will be worth more than the coin."
That is Gresham's law, isn't it? Bad money — that is, paper dollars, and nickels and dimes — will "drive out the good" because the good pennies are legally valued at less than their commodity value.
So Kolbe has a point. Let's stick with the "bad" money! Otherwise, some will get rich melting down pennies while the rest of us have to make do without. Maybe the penny should be gotten rid of, deliberately, before it goes without any plan at all. "(snip)



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