President Obama's recently submitted 2014 Budget proposes legislation which would provide the Secretary of the Treasury with the authority to change the composition of coins to more cost effective materials. Similar proposals have also been made in previous budgets.
According to the latest figures, it currently costs the United States Mint 2.00 cents to produce and distribute each cent and 10.09 cents to produce and distribute each nickel. Since 2006, the two lowest denominations have cost more than their respective face values to produce, generating cumulative losses of $469 million. However, overall circulating coinage production has continued to generate positive seigniorage since the losses on the cent and nickel are more than offset by the higher denominations.
Debasement of the currency continues, Rome would be proud of this president.
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