• Elon Musk's Department of Government Efficiency (DOGE) targets the US penny for abolition due to rising production costs.
• In Fiscal Year 2023, it cost taxpayers over $179 million to produce 4.5 billion pennies, equivalent to more than 3 cents per penny.
• The idea of eliminating the penny has been suggested before in both political conversations and popular culture.
• Other countries, like Canada and Australia, have successfully removed small denomination coins from circulation.
• Musk's initiative is expected to encounter legislative challenges similar to those experienced in the past.

The newly established Department of Government Efficiency (DOGE), led by Elon Musk, is advocating for the abolishment of the US penny in an effort to reduce governmental costs. The proposal comes as part of a broader agenda to enhance economic efficiency and save taxpayer dollars. According to CNN, production numbers indicate that the US Mint issued over 4.5 billion pennies in FY2023, generating costs exceeding $179 million. Each penny currently costs taxpayers more than 3 cents to produce due to rising prices of base metals like zinc and copper, which have surged by over 20% since the previous year.

The historical context of this issue reveals a long-standing debate regarding the value of the penny. Similar movements to eliminate the penny have surfaced frequently in the past, both in legislative discussions and in popular culture. For example, a character on the political drama The West Wing notably remarked that "majority of pennies don’t circulate; they go in jars and sock drawers," illustrating societal apathy towards the copper coin. Notably, Canada successfully ceased penny production in 2013, saving approximately $28 million within the first six years of the policy, according to Newsweek.

Despite its potential advantages, DOGE's initiative to eliminate the penny may face significant legislative hurdles. Previous attempts to revise coinage laws have failed amid conflicting interests within Congress and external lobbying efforts. As USA Today highlights, many Americans continue to regard pennies as "excess change," a sentiment echoed by industry experts advocating for the end of low-denomination coins.

Overall, while Musk's DOGE initiative might appear straightforward, its implications for both currency legislation and public perception of coins could prove complex as the discussion resonates across the political landscape.

For further insights, you can view the full articles on CNN, Newsweek, and USA Today.