quiz : WHICH AMERICAN CIRCULATING COIN IS WORTH MORE THAN FACE VALUE? [+] serious ballot by texsue57 ACTIVE Fri Mar 31, 06 - Wed Dec 24, 08 American Lincoln cents are worth more than face value as scrap copper. Cents minted before the middle of 1982 were composed of 95% copper and 5% tin and zinc. They weight 3.11 grams which is 2.96 grams of copper content. One pound equals 453.59 grams, so to account for one pound of scrap copper in cent coins, it takes 153.24 pieces. That is of course $1.5324 in face value. The closing price of copper scrap on March 30, 2006 was a hair above $2.45/lb. Therefore, each copper cent coin has an instrinsic value of ~1.6 cents. The past year has been one of a handful of times that circulating coinage has had an intrinsic value exceeding fave value. The first was in the early 1800s when silver and gold coinage had enough precious metal content to make it profitable to exchange worn Spanish coins for the newly minted American coins and melt them for profit. The other instance was when the government removed the cap on precious metal values and silver coins became profitable to melt for their content in the 1960s and 1970s. Interesting huh? This only counts for cents minted before June/July of 1982 though. Since that time all cents have been made of 98% zinc coated with copper accounting for 2%. While circulating 90% and 40% silver coins disappeared fairly rapidly in the 1960s and 1970s, copper cents are more steadfast. The first reason they aren't being recycled is the difficulty in sorting them. Someone would either have to sort each and every coin by hand when they were turned into scrap dealers or develop an expensive machine to weigh each coin individually and kick out the post-1982 zinc pieces. The second is special interest groups representing copper producers and the government prevent companies from actively recycling them for scrap. It is estimated that within 5 years roughly 40% of all cents dated 1959-1982 (copper cents minted before 1959 would normally be included, but their numismatic value exceeds their current scrap value by more than twice that amount) could be recovered for meltdown. That amounts to an amazing ~148 BILLION coins! That is roughly 966 million pounds of copper or 483,000 tons. The government wants to keep the coins in circulation as a strategic reserve of copper. Special interest groups representing copper mines and refiners realize that an uptick in production that large could suppress copper prices by 80 cents per pound for at least a decade. But that can't last forever. Copper prices have come a long way from the lows in the mid 1990s of 60-70 cents per pound. It is only a matter of time before recyclers begin paying more than face value for these copper cents. And as in the 1960s and 1970s when the public pulled all silver coinage out of circulation, the American people will be there to make a profit with their pocket change. Penny Nickel Dime Quarter Half Dollar Golden Dollar Ballot #91433 : SEE RESULTS Comment: show your vote with comment?

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