Pennies, Penny Pools

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Authors: Louis L. Bucciarelli
Cited by: 0

Abstract

On Feburay 25, 2025, our president ordered the US Treasury to cease minting pennies. In this essay, I recount how members in Congress have tried to legislate the same - calling for rounding to the nearest nickel - but have not succeeded, some fearing that prevailing price structures (e.g., $xx.89) would leave customers on the short end of the stick over time with rounding up (customer loses) being more prevalent than rounding down (customer wins). I analyze the situation, then suggest how a “penny pool” might be used by retailers to ease the transition to a just and fair penny-less society.

Fields of Study & Subjects

Consumer Market Behavior and Pricing Economic and Fiscal Studies Politics Economics and Education Policy

Publication details

Journal / source
DSpace@MIT (Massachusetts Institute of Technology)
Publication date
24 February 2026
Language
EN