The Obama Administration is Penny-Wise and Pound Foolish about Dollar Coins

    
     The Obama Administration announced that it is limiting production of United States Dollar coins only to collectors, according to the Washington Examiner.  In order to save the $50 million in production and printing costs, the Administration will forfeit the 62-cent profit on each coin and spend an estimated $5.6 billion in more printing costs for $1 Federal Reserve Notes that the dollar coins could have replaced.  In short, in order to appear fiscally responsible, the Obama Administration is being penny-wise and pound foolish.

     See also my posts, Dollar Coins Are Not a Waste of Money from September of 2011 http://williamcinfici.blogspot.com/2011/09/dollar-coins-are-not-waste-of-money.html and two posts from October of this year: Follow-Up: Dollar Coins Are Not a Waste of Money  http://williamcinfici.blogspot.com/2011/10/follow-up-dollar-coins-are-not-waste-of.html and Use Dollar Coins and $2 Bills http://williamcinfici.blogspot.com/2011/10/use-dollar-coins-and-2-bills.html.

     It is no surprise then, that the federal government announced on the same day a record 38th month of budget deficits, according to the Conservative News Service, and a corresponding increase of several trillion dollars in debt.