Task Force to Exact Change
Previously we learned "exact change" can be interpreted to mean demand and obtain by force or authority transformation from one phase to another.
An authoritative task force now exists to exact change.
Problem, Reaction, Solution:
- Coin Shortage
- Form Task Force
- Exact Change
https://twitter.com/JustineWaldman/status/1281080326589018113
#coinshortage #exactchange #getcoinmoving #cashless
The Federal Reserve is encouraging banks to accept consumer deposits of loose and rolled coins and it has set up a task force to expedite the return of coins to normal circulation levels.
They even have a hashtag: #getcoinmoving
In the meantime, businesses are asking patrons to pay with exact change or non-cash forms of currency.
Social media posts share a mixed message about paying with cash and coins.
Businesses are making it difficult to pay in cash and coin and suggesting it is easier to use technology to complete a transaction.
1. Coin Shortage?
There is a shortage of coins in circulation as many businesses are no longer accepting cash as payment. But some experts warn that the emerging trend can be harmful for smaller businesses and low-income consumers who rely on coin transactions.
Where Have All the Coins Gone?Will Luther JULY 10, 2020https://www.cato.org/blog/where-have-all-coins-gonehttps://www.alt-m.org/2020/07/10/where-have-all-the-coins-gone/"It is tempting to give the Mint a pass. Few among us expected a pandemic. And, all things considered, it is probably unreasonable to expect the Mint, with its own staff shortages to contend with, to have hit 2019 production levels, let alone accommodate a huge albeit temporary surge in coin demand.""... But policy decisions have made the shortage much worse than necessary. "
2. Form Task Force
Fed Launches Task Force to Address Coin Shortages During PandemicON JUNE 30, 2020The Federal Reserve announced today that it is forming a task force to address the issue of low coin inventories during the coronavirus pandemic—an issue that several American Bankers Association members have raised in recent days. The task force—which includes representatives from the Fed, the U.S. Mint, armored carriers, and several industry stakeholders including ABA—will work to identify and implement potential solutions to reduce these disruptions. The task force will hold its first meeting in early July, with the goal of creating its first set of recommendations by the end of the month.With many physical retail businesses and other firms closed during the pandemic, the Fed noted that the coin supply chain has seen significant disruption in recent days. “The Federal Reserve is working on many fronts with our industry partners, including the U.S. Mint, to minimize supply constraints and maximize coin production capacity,” the Fed noted. “We are encouraging depository institutions to order only the coin they need to meet near-term customer demand and to remove barriers to customer coin deposits.”https://www.frbservices.org/news/communications/071020-us-coin-task-force-members-confirmed.html
Here are the members of U.S. Coin Task Force:
| Industry Affiliation | Organization | Name/Title |
|---|---|---|
| American Bankers’ Association (ABA) | ABA | Steve Kenneally Senior Vice President, Payments |
| ABA | Bankers’ Bank of the West | Chris Hill Senior Vice President and Chief Financial Officer |
| ABA | JPMorgan Chase | Tony Gerevics Managing Director, Operations Executive |
| ABA | Bank of America | Deirdre Spehar Senior Vice President, Cash and Transportation Services Executive |
| Independent Community Banks Association (ICBA) | The North Salem State Bank | Sherri Reagin Executive Vice President and Chief Financial Officer |
| ICBA | ICBA | Cary Whaley First Vice President, Payments and Technology Policy |
| National Association of Federally-Insured Credit Unions (NAFCU) | NAFCU | Andrew Morris Senior Counsel for Research and Policy |
| Credit Union National Association (CUNA) | CUNA | Lance Noggle Senior Director of Advocacy and Senior Counsel for Payments and Cybersecurity |
| Department of the Treasury, U.S. Mint | Department of the Treasury, U.S. Mint |
Patrick Hernandez Deputy Director |
| Department of the Treasury, U.S. Mint | Department of the Treasury, U.S. Mint |
Patrick Cuddy Senior Advisor |
| National Armored Carrier Association (NACA) | The Brink’s Company | Eldon Hughes Director, Coin Product, CVS |
| National Armored Carrier Association (NACA) | Loomis | Emily Wiley Marketing Manager |
| Independent Armored Car Operators Association (IACOA) | Davis Bancorp | J.R. Davis President |
| Independent Armored Car Operators Association (IACOA) | Rochester Armored | Blake Binder Director |
| Food Marketing Institute (FMI) | FMI | Hannah vL. Walker Vice President, Political Affairs |
| FMI | Walmart Inc. | Ashley Yayock Director, Global Treasury Operations |
| Coin Aggregator | Coinstar | Jim Douthitt Corporate Treasurer |
| Federal Reserve System | Board of Governors of the Federal Reserve System | Brian Lawler Assistant Director, Reserve Bank Operations and Payments Systems |
| Federal Reserve System | Cash Product Office Federal Reserve Bank of San Francisco |
Kathleen Young Senior Vice President, Strategy and Operations |
| Federal Reserve System | Cash Product Office Federal Reserve Bank of San Francisco |
Amy Burr Vice President, Data and Policy Analysis |
| Federal Reserve System | Cash Product Office Federal Reserve Bank of San Francisco |
Steve Son Vice President, National Operations, Industry Engagement, Risk and Resilience |
| Federal Reserve System | Federal Reserve Bank of Atlanta | Jeff Thomas Vice President, System Center for Auditor Development |
Representatives from Coinstar, Walmart Inc., Food Marketing Institute (FMI) are included.
TMI on FMI
[Note: The Food Marketing Institute (FMI) has changed its name to FMI - The Food Industry Association as of Jan 21, 2020.]
Under its new brand as The Food Industry Association, FMI said it will continue to serve as “the central voice of the food industry” in its lobbying efforts with federal, state and local legislative and regulatory bodies. The organization cited a “long track record” in public policy, ranging from its influence in legislation to arguments for causes “at the highest level,” including the U.S. Supreme Court.
“For decades, FMI has acknowledged and respected the role of the shopper. FMI envisions the future for both a physical and digital shelf, where an omnichannel shopper will be the ultimate influencer in how the food industry does business,” FMI stated.
https://www.supermarketnews.com/retail-financial/fmi-changes-name-becomes-food-industry-association
We need to learn more about FMI.
https://www.fmi.org/about-us2345 Crystal Drive, Suite 800, Arlington, VA 22202
https://www.fmi.org/docs/default-source/membership/2019-fmi-public-strat-plan.pdf?sfvrsn=8fcf486e_2
3. Exact Change
United States citizens are asked to help exact change.
"... coin industry partners can encourage the use of social media to promote the circulation of coin using the hashtag #getcoinmoving.The coin circulation issue is national in scale. While the task force will be focused on identifying actionable steps that supply chain partners can take to address the issue, it is clear that it will take all of our collective efforts to get coin moving again."Federal Reserve Convenes U.S. Coin Task Force with Industry PartnersJune 30, 2020https://www.frbservices.org/news/communications/063020-federal-reserve-convenes-us-coin-task-force.html
#getcoinmoving
#getcoinmoving
#getcoinmoving
#getcoinmoving
#getcoinmoving
Git coin bit coin ... moving ?
Round up your total to the nearest dollar. Coins are so annoying!
Businesses will increase profits by squeezing every last cent out of customers.
Ninety-nice cents becomes one dollar.
Conclusion?
The expert lobbyists in the U.S. Coin Task Force are working to exact change on behalf of United States citizens.
The task force may suggest removing barriers to customer coin deposits by suggesting coin deposits are the barrier to remove.
"Nearly 60 percent of all circulating coins minted in 2019 were pennies. In total, the Mint lost $69.7 million dollars making pennies.With reduced capacity, producing pennies makes even less sense. To the extent possible, the Mint should divert resources from producing pennies to more‐useful quarters and dimes. It does not appear to have done so. In March, April, and May, the Mint produced nearly 1.4 billion pennies—roughly 54 percent of all circulating coins minted."https://www.cato.org/blog/where-have-all-coins-gone
Will the penny be retired?
No coins? No problem!
Spare change and dollar bills are still overwhelmingly favored for small purchases, accounting for about 50% of payments under $10.
Stay informed about FedCash® Services and the U.S. Coin Task Force.
https://www.frbservices.org/news/communications/index.html
What Is a Shortage?
ReplyDeleteA shortage, in economic terms, is a condition where the quantity demanded is greater than the quantity supplied at the market price.
KEY TAKEAWAYS
A shortage, in economic terms, is a condition where the quantity demanded is greater than the quantity supplied at the market price.
There are three main causes of shortage—increase in demand, decrease in supply, and government intervention.
Shortage should not be confused with "scarcity."