GAO RECOMMENDS REPLACING DOLLAR NOTE WITH COINS

European Union members no longer have it, the British no longer have it, and the Canadians no longer have it.

None of these nations have the single unit of their currency available on a paper bill �" it’s in coin form only. There’s no longer such a thing as a 1 euro, 1 British pound, or 1 Canadian dollar banknote. Why? It saves their governments a lot of money.

Now, the US Government Accountability Office says it’s time to phase out the paper version of the US $1 note. According to GAO’s analysis, “replacing the $1 note with a $1 coin could save the government approximately $5.5 billion over 30 years. This would amount to an average yearly discounted net benefit�"that is, the present value of future net benefits�"of about $184 million.” The savings comes from the fact that coins last much longer than paper currency.

To read the complete article, see: Goodbye US dollar banknote? Government report urges move to coin only (www.smartplanet.com/business/blog/business-brains/
goodbye-us-dollar-banknote-government-report-urges-move-to-coin-only/14119/)

To read the original GAO report, see: Replacing the $1 Note with a $1 Coin Would Provide a Financial Benefit to the Government (www.gao.gov/new.items/d11281.pdf)

Wayne Homren, Editor

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