A Penny Saved…Is No Longer Needed
I stopped at a convenience store Saturday afternoon to pick up some snacks for home. The total was $8.98, and I handed the clerk a $10 bill. The cash register screen showed that my change would therefore be $1.02.
As I saw that, I noticed that the “leave a penny, take a penny” cup that was normally there was missing. I typically tossed the few pennies from my change into it. Then I looked at the cash register screen again and it said my change would be $1.05. That’s when the clerk handed me a $1 bill and a nickel, and cheerfully said he’s see me again next time—which they’re all trained to say at this store.
And that’s when I saw firsthand the implication of the one cent coin no longer being manufactured.
So far, the prices are the same—$3.49, for example—but this store is giving me the benefit of the doubt, because I got three cents extra. Of course, he didn’t offer me a bag for my stuff, so they probably still came out ahead.
As I’ve said before, I’m not a fan of stopping production of the penny. And soon, that $3.49 item will no doubt be $3.50—no chance they’ll drop it to $3.45.
But it’s also not the first time we’ve seen the impact of inflation change our money. The United States used to mint a half-cent going—but that went by the wayside in 1857.
The dollar had an average inflation rate of 1.46% per year between 1776 and today, producing a cumulative price increase of 3,623.86%. Feels like things this decade alone went up by that much.
So in this context, I suppose it’s a tribute to the staying power of the penny that it held on this long. But it just won’t be the same to see a “need a nickel, take a nickel” cup at the check out counter.
