Canada To Remove The Penny From Circulation

In an effort to save tax payers $11-Million annually, Canadian Government will be taking the penny out of circulation.

"Pennies take up too much space on our dressers at home. They take up far too much time for small businesses trying to grow and create jobs. It costs taxpayers a penny-and-a-half every time we make one," said Finance Minister Jim Flaherty.

The change will force retailers and small businesses to reprice their merchandise to the nearest nickel, causing a 2 cent maximum increase. From an inflation standpoint, where there are increase, there are certain to be decreases somewhere else so Canadians need not to worry.

Current owners of pennies may still use the penny as a form of currency because the value of pennies will be held indefinitely. The Government plans to begin the removal starting fall 2012.

Canadian pennies were first introduced in 1908.

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