B2 – Upper Intermediate
President Donald Trump recently proposed ending the production of the penny, reigniting a long-running debate. Supporters argue that eliminating the one-cent coin could save the government money and reduce inefficiencies, while opponents believe it could lead to rounding issues and impact charitable donations. Is it time to say goodbye to the penny, or does it still have a place in our pockets?
Watch the video and be able to answer the questions below.
Vocabulary Questions:
- What is “seigniorage“? “The coin has had a negative seigniorage for almost 20 years and part of the reason for the increased production cost is the metal, in this case, zinc, has gotten more expensive.” Use the word in a sentence.
- What does the phrase “round off ” mean? “Canada rounds off all cash transactions to the nearest 5 cents interval.” Make a sentence using the phrase.
- What does the word “mint” mean here, “Last year, the mint lost more than $85 million to make more than 3 billion pennies.“? Use the word in a sentence.
Discussion Questions:
- Do you think eliminating the penny would have a significant impact on everyday transactions? Why or why not?
- Should sentimental or historical value be a factor in deciding whether to keep the penny? Explain.
- Would rounding prices to the nearest nickel be fair to consumers and businesses? Explain.
- How do the costs of producing pennies compare to their actual usefulness in today’s economy?
- What potential effects could removing the penny have on low-income individuals and cash-based transactions?
- How have other countries handled getting rid of low-denomination coins, and what lessons can the U.S. learn from them?
3 replies on “Trump Wants to End Penny Production”
1. Probably so. The prices will increase because of the round off and each time more people pay by card.
2. For some people maybe. Every change of money has a part of people that are sentimental because the money significate a period of theis lives.
3. No, because it will increase and the rich will be more rich and the normal people will be more poor.
4. The video says that the produce of the penny is more expensive
Well done sharing your thoughts on this topic!
Take a look at how this sentence can be revised:
Until your next entry!
1. Seigniorage is the profit the government gains from the money. A sentence: “Seigniorage is the economic benefit a goverment gains by grating money, as it can issue currency worth more than the cost of producing it”
2. Round off is when you set a number to the nearest number to be easier to say and to do do mathematical operations. A sentence: “I rounded off the restaurant bill, so the waiter received a 2.5 euros”
3. Mint is the place where money is made. A sentence: “The government authorized the mint to create new coins”