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Why a coin? Surely a paper document valued at a trillion dollars would do the same job and be cheaper to produce. (Except that, being paper, it would scream th
by simonblack 4y ago
Why a coin? Surely a paper document valued at a trillion dollars would do the same job and be cheaper to produce.
(Except that, being paper, it would scream that it is just a quick-fix solution to the problem. There is no way a coin, even if made of a rare metal like radium, could ever be worth a trillion dollars.)
Once the country's financial situation is stuffed, it is stuffed. Period. And all the hand-waving in the world will never fix that.
- jfengel 4y agoTechnically: because of a law (Public Law 104-208) that lets the Mint make platinum coins in any denomination it wants. It doesn't require Congress to authorize it. It has nothing to do with the value of the metal. All coins are worth more than their metal content. It's about complying with the letter of the law rather than anything specific to coins. It's a letter-of-the-law fix to a letter-of-the-law problem, where Congress won't authorize the government to spend the money that it allocated in its budget.
- miles 4y ago> All coins are worth more than their metal content. That does not appear to be the case: Penny Costs 2.1 Cents to Make in 2021, Nickel Costs 8.52 Cents https://www.coinnews.net/2022/01/18/penny-costs-2-1-cents-to-make-in-2021-nickel-costs-8-52-cents-us-mint-realizes-381-2m-in-seigniorage/ https://www.coinnews.net/2022/01/18/penny-costs-2-1-cents-to... Pennies and nickels cost more to make than they're worth https://money.cnn.com/2016/01/11/news/economy/u-s-coins/ https://money.cnn.com/2016/01/11/news/economy/u-s-coins/