It would actually do next to nothing if the entire supply were vanished right now. There’s about $300 billion in pennies in circulation. Around $850 per American, or roughly four days of average individual consumer spending.
The economy as a whole does on the order of 10s of trillions of dollars of activity a day.
Eliminating every penny would be less than a 1% reduction in liquidity, and even smaller in terms of actual use.
If someone throws out enough of them it should in theory help with inflation, but I doubt that many of them would ever be melted down or thrown away
It would actually do next to nothing if the entire supply were vanished right now. There’s about $300 billion in pennies in circulation. Around $850 per American, or roughly four days of average individual consumer spending.
The economy as a whole does on the order of 10s of trillions of dollars of activity a day.
Eliminating every penny would be less than a 1% reduction in liquidity, and even smaller in terms of actual use.
$850 a week sounds a little nuts to me, let alone 4 days, and not in consumer spending.
Our entire GDP isn’t $30T yet. I’m really questioning these numbers.