How come we do not use our 2 dollar bills or our one dollar coin?

Started by roadman65, November 16, 2014, 03:52:36 PM

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roadman65

The metric verse english system on that one thread got me inspired to create this one here.  As Canada relieved itself decades ago of the one dollar bill for the Luney coin and also use a 2 dollar currency, first as a bill then converted to coin later on, that are both used in Canada every moment of every day, we here in the US have not.  Our two lowest forms of bill are 1's and 5's and the highest coin is still mainly the quarter.

Here in the States, we have tried implementing the 2 dollar bill, and the $1 coin first as the Susan B. Anthony and later as another coin, but failed just as miserably as the metric conversion has done twice under both Carter and Clinton.

Why can one country make a success out of the bill to coins conversion on the one dollar bill as well as the use of $2 exchanges, and the other country cannot?
Every day is a winding road, you just got to get used to it.

Sheryl Crowe


1995hoo

As to coins, the Canadian government mandated the phase-out of the $1 and $2 bills when they introduced the coins. The US government refuses to abandon the $1 bill (the vending machine lobby have fought to keep it because they installed those bill-taking thingies and they don't want to refit the coin slots). Phase out the bill so people have no choice and it becomes easy as the bills wear out.

As for why Canada had success with a $2 bill and we don't, who knows. I always figured its pinkish color helped distinguish it.

BTW, the Susan B. Anthony wasn't the first dollar coin. Among many others, recall the very large Eisenhower dollar.
"You know, you never have a guaranteed spot until you have a spot guaranteed."
—Olaf Kolzig, as quoted in the Washington Times on March 28, 2003,
commenting on the Capitals clinching a playoff spot.

"That sounded stupid, didn't it?"
—Kolzig, to the same reporter a few seconds later.

roadman65

Proves with your mention of the Eisenhower coin, how much Americans know about what was tried and failed already which makes it why the one dollar bill has stayed.

As far as the bill taking devices on machines, I cannot believe the manufactures would lobby to keep the one dollar bill as technology makes all new devices they create obsolete within two years anyway.
Every day is a winding road, you just got to get used to it.

Sheryl Crowe

1995hoo

Heh. I've wondered how many 20-somethings wouldn't know what "50¢" means.

(Consider how even some highway signs annoyingly list toll rates as ".50" or ".75," sometimes with no dollar sign or leading zero, instead of the clearer "50¢" or "75¢.")
"You know, you never have a guaranteed spot until you have a spot guaranteed."
—Olaf Kolzig, as quoted in the Washington Times on March 28, 2003,
commenting on the Capitals clinching a playoff spot.

"That sounded stupid, didn't it?"
—Kolzig, to the same reporter a few seconds later.

oscar

Quote from: 1995hoo on November 16, 2014, 03:56:52 PM
The US government refuses to abandon the $1 bill (the vending machine lobby have fought to keep it because they installed those bill-taking thingies and they don't want to refit the coin slots).

Don't forget the company that makes the paper for our currency, which gets more business from dollar bills that need to be replaced so quickly.

Quote from: 1995hoo on November 16, 2014, 03:56:52 PM
As for why Canada had success with a $2 bill and we don't, who knows. I always figured its pinkish color helped distinguish it.

Did the Canadian $2 bill become a success only after the $1 bill was phased out?

I think if we ever got rid of our dollar bill, we'd want to make $2 bills more available (and more widely accepted by vending machines) to ease the transition away from the dollar bill.  Going straight to making the $5 bill the smallest bill would not work at all, and Canada was smart not to do that.

As for why Canada could get away with abolishing its dollar bill and later the $2 bill, I've heard (small sample size) that Canadian citizens are on average more respectful of authority than ours, and are more willing to go along when the government says "this is the way it's going to be, for the common good, whether you like it or not". 
my Hot Springs and Highways pages, with links to my roads sites:
http://www.alaskaroads.com/home.html

1995hoo

The Canadian $2 bill circulated regularly alongside the $1 bill when I was a kid, at least.

I would like to see our $2 bill replace our $1 bill.
"You know, you never have a guaranteed spot until you have a spot guaranteed."
—Olaf Kolzig, as quoted in the Washington Times on March 28, 2003,
commenting on the Capitals clinching a playoff spot.

"That sounded stupid, didn't it?"
—Kolzig, to the same reporter a few seconds later.

hotdogPi

What we should have, in my opinion:

COINS

5¢ (mostly zinc, instead of current metals, although still same color)
10¢
25¢
50¢ (smaller version of dollar coin, same color as dollar coin)
$1 (current coin)
$2 (bimetallic, like Canada)

BILLS

$5
$10
$20
$50
$100
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Traveled, plus US 13, 44, and 50, and several state routes

I will be in Burlington VT for the eclipse.

DandyDan

In case you really want to know, we DO use $2 bills, but you have to go to certain strip clubs to do so.
MORE FUN THAN HUMANLY THOUGHT POSSIBLE

empirestate

Quote from: oscar on November 16, 2014, 04:29:13 PM
As for why Canada could get away with abolishing its dollar bill and later the $2 bill, I've heard (small sample size) that Canadian citizens are on average more respectful of authority than ours, and are more willing to go along when the government says "this is the way it's going to be, for the common good, whether you like it or not". 

That's basically it; Canada's culture is such that often the government can simply get something done without it becoming this huge uproar over the trampling of its citizens' freedom. And don't think it's because Canadians aren't protective of their freedom; they're as vociferous as any of us down here in the States!

Another similar example is governmental consolidation: Canadian provinces have had a lot of success combining and eliminating small, local government jurisdictions, even up to the county level.

oscar

Quote from: 1 on November 16, 2014, 04:40:28 PM
What we should have, in my opinion:

COINS

5¢ (mostly zinc, instead of current metals, although still same color)
10¢
25¢
50¢ (smaller version of dollar coin, same color as dollar coin)
$1 (current coin)
$2 (bimetallic, like Canada)

BILLS

$5
$10
$20
$50
$100

The 50¢ coin is unneeded.  It's not even produced for circulation anymore.  Shrinking it would make it too similar to the quarter.  It was enough of a challenge to make the dollar coin in both the U.S. and Canada different enough from the quarter to avoid confusion.

The $10 bill is also dispensable, though it's nice to have a smaller bill without a dead President on it.  Cashiers often will give me two fives, rather than a ten, in change for a twenty.  The $50 bill isn't really needed, either. 
my Hot Springs and Highways pages, with links to my roads sites:
http://www.alaskaroads.com/home.html

corco

If I had my druthers, I'd take it a step further and get rid of the nickel (and by extension the quarter), and ramp up half dollar production. Then you'd have dimes, half dollars, one dollar, two dollar coins. Basically recalibrate by a factor of ten. If you wanted to be a wiseacre about it, you could even have a $2.50 coin.

One thing I do like about Canada is that when I am up there I actually use coins. If I have to reach in to grab a $1 or $2 coin, I'll go ahead and grab the other coins too needed to make change. In America, it's not worth the hassle and my coins just go into a jar. The fact that there are $2 coins makes me more likely to use the nickel. I think Americans only hate using coins because they are worthless- give them value again and they're just as easy if not easier to use than bills.

triplemultiplex

The dollar coins never took off because people in America are chickens who are scared of change...
Get it, scared of change?


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"That's just like... your opinion, man."

ghYHZ

The lowly penny has been gone from Canada for over a year now and I certainly don't miss it. Transactions are now rounded to the closest 5 cents. The max you would ever lose is 2 cents no matter how large a transaction or you could just as easy come out 2 cents to the good. It all averages out.

If something is $4.08 or $4.09 for example..... it would be rounded up to $4.10 but if it was $4.07 or $4.06 it would be rounded down to $4.05......and that is only if paying cash. Credit or Debit are still processed for the actual amount.

realjd

Quote from: corco on November 16, 2014, 05:39:58 PM
If I had my druthers, I'd take it a step further and get rid of the nickel (and by extension the quarter), and ramp up half dollar production. Then you'd have dimes, half dollars, one dollar, two dollar coins. Basically recalibrate by a factor of ten. If you wanted to be a wiseacre about it, you could even have a $2.50 coin.

One thing I do like about Canada is that when I am up there I actually use coins. If I have to reach in to grab a $1 or $2 coin, I'll go ahead and grab the other coins too needed to make change. In America, it's not worth the hassle and my coins just go into a jar. The fact that there are $2 coins makes me more likely to use the nickel. I think Americans only hate using coins because they are worthless- give them value again and they're just as easy if not easier to use than bills.

Many (most?) countries use 20c instead of 25c coins. It seems to work out well.

The big reason I use cash frequently in other countries but almost never here in the US is the stupid way we calculate sales tax after the sale instead of including it in the price tag. That makes our purchases end up on stupid numbers resulting in me getting a pocket full of useless small coins.

Doctor Whom

Quote from: ghYHZ on November 16, 2014, 07:02:24 PMThe lowly penny has been gone from Canada for over a year now and I certainly don't miss it. Transactions are now rounded to the closest 5 cents.
Italy does something similar.  I don't think I saw a coin smaller than €0.10 the whole time I was there.

Laura

Like Corco mentioned, I would actually enjoy using coins if they had real value to them. It's silly to me that we mint coins at a higher cost than they are technically worth.

To me, I imagine that the ten dollar bill is the equivalent of my grandparents' one dollar bill. Therefore, a dollar is like ten cents, a quarter is two and a half cents, and a dime is one cent. Anything below that is completely worthless.


iPhone

Scott5114

The reason why the $2 bill isn't very common is complex. You don't have them in your wallet right now because you don't get them in change from businesses. You don't get them in change because cashiers toss them under the drawer and don't hand them out. And if one does circulate chances are someone will just end up tucking it into the sock drawer because they think it's nifty.

And that's not even taking into account the problems that banks cause. If you do want to get some $2 bills you often have to call ahead by a few days to get the bank to order them for you. And some banks refuse to do this.

I use the $2 bill for my regular purchases. I order them by the strap from the bank, and also pick them up at work sometimes (our end of shift paperwork makes ending with them awkward, so many of my coworkers consider it a kindness).
uncontrollable freak sardine salad chef

corco

Quote from: Scott5114 on November 16, 2014, 10:47:00 PM
The reason why the $2 bill isn't very common is complex. You don't have them in your wallet right now because you don't get them in change from businesses. You don't get them in change because cashiers toss them under the drawer and don't hand them out. And if one does circulate chances are someone will just end up tucking it into the sock drawer because they think it's nifty.

And that's not even taking into account the problems that banks cause. If you do want to get some $2 bills you often have to call ahead by a few days to get the bank to order them for you. And some banks refuse to do this.

I use the $2 bill for my regular purchases. I order them by the strap from the bank, and also pick them up at work sometimes (our end of shift paperwork makes ending with them awkward, so many of my coworkers consider it a kindness).

The only place I used to see $2 bills was when I worked as a bellman at a resort in Tucson that was frequented by wealthy Mexican nationals. For whatever reason, they would occasionally tip in $2s. At one point I think I had six or seven $2s in my wallet, but like you I use them for regular purchases when I come across them.

Pete from Boston


Quote from: Scott5114 on November 16, 2014, 10:47:00 PM
The reason why the $2 bill isn't very common is complex. You don't have them in your wallet right now because you don't get them in change from businesses. You don't get them in change because cashiers toss them under the drawer and don't hand them out. And if one does circulate chances are someone will just end up tucking it into the sock drawer because they think it's nifty.

This is probably the best explanation why we don't use dollar coins, either.  This is best summed up by the nasty look on the face of the bartender at TT the Bear's a dozen years ago who, when I put one of our shiny new dollar coins down on the bar as a tip, slid it silently right back across the bar to me.  That look said "Don't you dare try complicating my life just so you can get rid of your weirdo play money."

QuoteI use the $2 bill for my regular purchases.

What is the typical reaction from a businessperson with no place to put them?

Duke87

I despise coins in general. They're heavy and annoying to carry around. No place for them in my wallet so they pile up loose. Quarters, at least, are useful for parking machines and laundry. But dimes, nickels, and pennies can all go to hell. They require more time and effort to carry and spend then they are worth.

So I say, make quarters the only coin. Get rid of pennies, nickels, and dimes. Keep $1 and higher as bills.


As for $2 bills, we don't use them because they serve no real purpose. They're equal to two singles. It's easier to just carry singles than keep $1 and $2 bills separate. $10 and $20, at least, have a more substantial difference in value. Although I do wonder how much use $20 bills would see if ATMs did not dispense them.
If you always take the same road, you will never see anything new.

Scott5114

A standard five slot cash drawer does have a place to put them. It was designed for $20-10-5-2-1. Since the two dollar bill is infrequently seen the fives are usually placed next to the ones and the gap is at the far left. Most of the time this slot is used as a catchall for $100s, $50s, checks, and rolled coin. This is a perfect place to keep $2s. There is a fifth coin cup too, originally for half dollars but now also for dollar coins. (There are some cash drawers at the casino I cashier at that has six cups.)

Any business using a four-slot drawer gets what they deserve.

I have run a drawer with a stock of $2s before and it actually runs much more smoothly than with $1s alone because it makes giving change in amounts like $4 and $9 much quicker, and you go through $1s much less quickly. The business I own is not cash based but if I ever get a booth at a fair or something I will take care to stock $2s.

I have never had a $2 turned away but I have had a lot of amusement watching people look for some sort of watermark or security feature, finding none because there aren't any, and then invariably accepting it anyway. In the event that I am ever turned away I am prepared to contact corporate about the issue, since I doubt most places want their employees turning away valid money. Failing that I will spend my $2s somewhere that wants them.
uncontrollable freak sardine salad chef

Tom958

Quote from: empirestate on November 16, 2014, 04:50:02 PMThat's basically it; Canada's culture is such that often the government can simply get something done without it becoming this huge uproar over the trampling of its citizens' freedom. And don't think it's because Canadians aren't protective of their freedom; they're as vociferous as any of us down here in the States!

Canada is what the US would be like if it took its meds on schedule.  :wave:

oscar

I have a $2 bill in my wallet most of the time, a quirk I adopted when I got a crisp $2 bill in change at a local museum.  I sometimes need to spend it when I'm low on ones and it's not convenient to get someone to break a bigger bill for me.  Usually that's when I'm about to check out of a motel, and want to leave a tip behind for housekeeping, so I don't get to see their reaction. 

On the rare occasion when I've needed to replenish my $2 bill supply, I've never had a problem getting a few from my bank.

In Canada, I don't like carrying the heavier dollar and two-dollar coins in my pocket, which is only partially offset by not having to carry pennies around.  But on either side of the border, I don't let loose change pile up in my pocket, I'll try to spend it down except for quarters which I usually move to the plastic laundry/parking meter money tube I keep in my car.  I prefer self-checkout lines in grocery and other stores, in part because I can trade in an oversupply of coins for easier-to-carry bills or larger coins without pushback from the cashier, when I'm paying in cash (not for a larger purchase where I use a credit card for the cashback bonus). 
my Hot Springs and Highways pages, with links to my roads sites:
http://www.alaskaroads.com/home.html

1995hoo

I prefer the self-checkout all the time for several reasons, but it's also a useful way to break a large bill for a small purchase.
"You know, you never have a guaranteed spot until you have a spot guaranteed."
—Olaf Kolzig, as quoted in the Washington Times on March 28, 2003,
commenting on the Capitals clinching a playoff spot.

"That sounded stupid, didn't it?"
—Kolzig, to the same reporter a few seconds later.

CNGL-Leudimin

Quote from: 1 on November 16, 2014, 04:40:28 PM
What we should have, in my opinion:

COINS

5¢ (mostly zinc, instead of current metals, although still same color)
10¢
25¢
50¢ (smaller version of dollar coin, same color as dollar coin)
$1 (current coin)
$2 (bimetallic, like Canada)

BILLS

$5
$10
$20
$50
$100

I think you could add a $200 bill by now. I can't understand why the $1 bill is still there, as from what I've read it should have replaced by a coin for a while now. Here are what we got in Europe:

Coins:
€0.01
€0.02
€0.05 (Personally I prefer to have this as the least valued coin in my wallet and give the one & two eurocent coins to charity)
€0.10
€0.20 (Non-round coin)
€0.50
€1
€2

Bills (Notes in British English):
€5
€10
€20
€50 (The highest I usually see)
€100
€200
€500 (A bit excessive these last two IMO)

BTW, I used to track bills :sombrero:.
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