Creating a New One Dollar Coin S 874 Hearing Before the Committee On Bankin

Housing United States Congress Senate Committee On Bank

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Not that we have had access to. If there was, I'm not aware of it. Senator Moseley-Braun. Final question. Do you have — and I don't know if this question was asked before I came in — but regard- ing seigniorage. Is it considered to be an outdated concept or a real one at this time? Mr. Stevens. I'm sure Mr. Blum will want to comment on that. I would make the point that seigniorage is real money. The 92- cent profit is money that the Government gets credited to its check- 29 ing account and can ...buy aircraft carriers or pay for foodstamps or do whatever Government does with its money. It's real money. However, it is an off-budget receipt, by long-standing budget con- vention. There would be a temptation, if it were not so, for the Gov- ernment to make major, major reductions in the national debt sim- ply by coining huge coins and calling them something, putting them out there and saying the national debt is gone. That's basi- cally the reason underlying that. We don't dispute that convention.

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