Federal
    Policy
    Economics

    Proposed Elimination of the Penny: FAQs

    Congressional Research Service

    Published: June 24, 2025
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    Source Overview

    The Congressional Research Service published a comprehensive FAQ addressing the policy, economic, and operational dimensions of eliminating the penny from U.S. circulation.

    Key Takeaways

    • Provides nonpartisan analysis of penny elimination proposals
    • Examines cost-benefit tradeoffs of production cessation
    • Reviews historical precedents from other countries
    • Addresses concerns about rounding and consumer impact

    Our Two Cents

    The CRS FAQ serves as an essential reference for policymakers weighing the tradeoffs of penny elimination. Its neutral, research-backed approach helps ground the debate in facts rather than speculation.

    Open Questions

    • ?How will Congress respond to Treasury's administrative action?
    • ?Will legislative codification of rounding standards follow?

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