WhY pennies are important

 

1. Prices will increase

if we get rid of the penny, store owners, and merchants will have to round UP to the nickel, forcing the buyer to pay MORE! And trust me it all adds up.

 

2. Charities need pennies

where would penny charities be without pennies? The answer is: not where they are today, that is for sure! Just think, the pennies you find in jars, under the couch, and every where are now useless. You cant use them to donate. 

​​​​​​MoreoverThe discontinuation of the penny would require significant turnover. Shopkeepers would have to either change the prices on all of the items in their inventories or reprogram registers to round automatically when an item is charged. Companies would need to update their price catalogs. These adjustments are not costless, so there is resistance from some parties who do not want to pay transition costs.

Firstly when a dollar isn’t enough to buy a bottle of water, it’s easy to rationalize throwing pennies in the trash. When you conduct almost all of your transactions with a debit card, the few pennies that come your way probably ride around in your wallet for weeks, either forgotten or not worth counting out. I’d encourage you to enjoy those rare, triumphant moments of presenting exact change to an unimpressed cashier while you still can, because pennies (and even nickels) may not be around forever.
If the penny were discontinued then prices would be rounded off to the nearest five cents. Professor Raymond Lombra, Pennsylvania State University, testified before congress in 1990 that this rounding tax would cost Americans $600 million annually!

 

Abolishing the penny could also erode consumer confidence in the economy. That's why we can say that penny is very important for overall growth. 

Regards
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