[Hallicrafters] inflation

Fri May 30 15:28:32 EDT 2008

But if you take "prescious metals", even Copper, to a dealer in coins or 
prescious metals, or in the case of Copper, junk, the picture changes.

The same bank that will not accept any Canadian money, also gives you change 
using Canadian coins! I love that irony! The last time that happened to me 
at my bank, I asked the Head Teller why the bank gave Canadian coins as 
change when they would not accept the same Canadian coins as payment? They 
had no answer!

There was a time Pete when the bank did pay more then the face value. 
Remember when the Silver Certificates were recalled about 1968? Because the 
bill said something to the effect of: pay to the bearer on demand on dollar 
in Silver etc. The banks gave out little packets that contained Silver equal 
to value of the bill, not the Troy ounce price of Silver. If you did not 
want the packet of Silver, they gave you the value of the dollar plus the 
additional value in regular change.

I understand your point Pete, but it does have a few Swiss cheese holes in 
the logic.

----- Original Message ----- 
From: "Peter Markavage" <manualman at juno.com>
To: <hallicrafters at mailman.qth.net>
Sent: Friday, May 30, 2008 12:10 AM
Subject: Re: [Hallicrafters] inflation

> I'm not referring to the value of the materials that make up the
> currency. I'm referring to their stamped value in the market.  If I have
> 10 U.S. pennies of assorted copper/copper-zinc etc., the value is 10
> cents. If you bring those 10 pennies to the bank, the cashier will give
> one dime or two nickels for them. I have yet to see any cashier pull out
> a scale to weigh each coin to determine its weight as a possible coin
> rejection because it doesn't agree the current manufacturing
> requirements. Now, if one had some wooden nickels, I suspect they
> wouldn't get much consideration from the bank if one wanted to convert
> them to metallic coins.
>
> But, I understand your point.
>
> Pete, wa2cwa
>
> On Fri, 30 May 2008 00:37:33 -0400 "Duane Fischer, W8DBF"
> <dfischer at usol.com> writes:
>> Peter,
>>
>> Remember the United States went off the gold standard about 1974!
>> Prior to
>> that, the treasury had to have an equal amount of Silver in reserve
>> to mint
>> dimes, quarters and half dollars, as well as paper Silver
>> Certificates. The
>> treasury also had to have an equal amount of gold in reserve to back
>> all the
>> paper money printed. Since the United States had a fixed per Troy
>> ounce
>> price of gold, and the rest of the world had dropped their fixed
>> price, the
>> USA had to drop the fixed price of gold, and drop the gold and
>> silver
>> standard system altogether, so the value of our gold was the same as
>> it was
>> in other countries.
>>
>> I do not recall the exact value, but the USA was at about $44 per
>> troy ounce
>> for Gold and the rest of the world was double or triple!
>>
>> When this happened, our coins and paper money were no longer backed
>> by "cash
>> on hand" or you can only mint and print coins and bills equal to the
>> gold
>> and silver value in the treasury! We used the GNP and all sorts of
>> other
>> worthless devices to give the worthless coins and bills "value".
>>
>> The only coin worth face value after the .90% Silver was removed
>> from the
>> dime, quarter and half dollar starting with January of 1965, was the
>> Lincoln
>> Memorial Cent. The penny was actually worth a penny!
>>
>> When people saw this coming, guess what? The Lincoln Wheat Cent of
>> 1909
>> through 1958 and the Lincoln Memorial Cent of 1958 through 1961,
>> weighed
>> 4.11 grams. It consisted of 95% Copper and 5% Tin and Zinc. Then in
>> 1962,
>> they left the 95% Copper alone, but used most Zinc with a little
>> Tin! The
>> weight of the coin dropped slightly, but it still contained 95%
>> Copper.
>>
>> Then as Copper rose in value, the treasury changed the Lincoln
>> Memorial Cent
>> again in 1982. Now they removed all but 4.6% of the Copper! The penny
>> now
>> contained 95.4% Zinc and a little Tin! The weight dropped a lot this
>> time.
>> Hence, the Copper penny was now not only worth less then a penny, it
>> was
>> worthless!
>>
>> ----- Original Message ----- 
>> From: "Peter Markavage" <manualman at juno.com>
>> To: <hallicrafters at mailman.qth.net>
>> Sent: Thursday, May 29, 2008 10:43 PM
>> Subject: Re: [Hallicrafters] inflation
>>
>>
>> > The value of a printed stamp, in this case 5 cents, doesn't change
>> with
>> > inflation. If they printed a 5 cent today, it's value is still 5
>> cents. I
>> > will agree that the paper and printing costs have gone up from
>> 1965 to
>> > 2008 but the value of the stamp in real dollars (or cents in this
>> case)
>> > hasn't changed. What has changed is what you can "buy" for 5 cents
>> today
>> > verses what you could buy for 5 cents in 1965. Same goes for
>> money. A 5
>> > dollar bill in 1965 is still a 5 dollar bill in 2008 unless of
>> course you
>> > have one where Lincoln's portrait is printed upside down or some
>> other
>> > strange rare printing anomaly.
>> >
>> > Pete, wa2cwa
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