The penny should be immediately discontinued. (Kleptin Tourney)

Thanks to my opponent, and I apologize for my tardy response. Many balls in the air. :) ============= Pro Case: ============= Pro Contention 1A: Consumer Confidence 1. I actually never talk about any net benefit regarding consumer confidence. The only thing I mention in 1A is that it costs way too much to produce. 2. Even the German Finance Ministry can only say that confidence in the Euro "might" decline as a result of not producing a penny. Education could easily combat this, assuming the risk even exists. Furthermore, the movement to eliminate the penny in the U.S. is well-documented, as indicated in the sources cited in the Pro case. Introducing a penny piece and taking away a penny piece that has been accepted by a vast majority of a society as useless are two entirely different scenarios. Pro Contention 1A: Counterplan 1. Of course, the more sensible solution would be to eliminate such a useless coin entirely, which is the only way to actually save all that money I talk about in my 1st contention. I am the only side that can maximize effective usage of resources. 2. What the counterplan does not address at all is the cost of pennies within a transaction. If we keep pennies, we still waste $10 billion in the transaction process if we keep pennies of any material. 3. My opponent proposes a nebulous, abusive counterplan. What material does he propose we use? I can't adequately refute it if I don't know the text. For example, if he picks another metal that is similarly controlled by a foreign market, he bites every harm in my 2nd contention. Just replace "China" with the name of another country. If he picks a metal that is marketed primarily in the U.S. (good luck finding one of those that another foreign market can't beat us at in price, as this is the problem with zinc in the first place), then a whole other host of practicality concerns would surface. However, I can't address any of them because my opponent is being overly vague. Pro Contention 1B: Cash Transactions Are Actually Cheaper 1. Cheaper than what? 2. Though the cost of receiving a cash transaction is less expensive to store profit than checks, debit cards, or credit cards, it does not at all follow that the use of pennies isn't increasing this cost. Yes, your 1st source states that a single cash transaction costs a store around 7 cents per transaction. However, my analysis of 2-2.5 cents wasted is not contradicted anywhere in your source. This debate compares cash transactions with and without pennies, not cash transactions to other kinds of transactions. Pro Contention 1B: NACS "Report" 1. You should know the NACS website quite well by now, since you cited the statistic in the first place. 2. Never claimed it was a report. 3. The statistic I use is cited by my first source from RD 1. Front page. CTRL "F" Walgreen. Pro Contention 2: Cross-Apply Counterplan 1. Cross-apply my vagueness analysis on the counterplan. We could very easily have the exact same problem, but my opponent refused to name an alternative material. Pro Contention 2: Bright-line for China Dependency 1. Sure can. As of January 2009, China had bought more than $1 Trillion of U.S. total debt [1]. Considering total U.S. debt is around $12 Trillion [2], and considering that China is the world's third most powerful economy, they represent a gigantic piece of our power struggle pie. If this were Mexico or something, I wouldn't be raising as much of a fuss (at least, not in terms of sheer capital power), but China is already a top world superpower contender. Furthermore, China is the second largest foreign owner of the US Treasury. Though they are slightly behind Japan in terms of foreign investment, I'd say that China is a far greater risk to the US than Japan will ever be, especially considering that their economy is improving, while ours is, in comparison, stagnating. They've become leaders in the global economic recession. We haven't. Pro Contention 2: China & Human Rights 1. Of course we have no pull right now. We've been obligated to China for quite some time now, and what's the incentive for China to bend to US pressure when we have no foreign policy leverage? Reducing trade and debt commitments to China clearly gain benefits for the sole reason that we stop giving some amount of money to China. =============== Neg Case: =============== Neg Contention1: 1. Do some math with me. Lombra predicts a $600 million round tax per year. I am going to assume that my opponent made a grammatical error when he said "paid by each consumer," as I doubt each individual will pay $600 million a piece. I estimate that $10 billion is wasted by the consumer each year in penny transactions alone, not including the $50 million lost by the consumer in the production process. $10 billion > $600 million. I save the consumers more money. Neg Contention 2: 1. Inflation will occur with or without the penny, so until my opponent can give decent analysis on actual inflation, and not just an increase in government spending which is not explained well at all, this is a wash. 2. The author of his source admits that "the inflationary impact of rounding will probably be small." Furthermore, the $2 billion in spending my opponent refers to was a projection for 2010 in the even that the penny was eliminated at the time of publication. That number is in no way representative of consequences within the current economy. Neg Contention 3: 1. The NACS also suggested a slight raising of prices in order to off-set the 30% profit loss. Keep in mind that this is 30% of 6-7 cents. That's not much to off-set, now is it? 2. Furthermore, the elimination of the penny, which would save 2-2.5 cents per cash transaction, would make up for this 30% loss. 3. Cross-apply my response to Con's 1st contention. $10 billion > $600 million. Until he can prove that we will spend more as consumers, as business owners, and as a government eliminating pennies than keeping them, you are still gaining more net financial benefit by voting Pro. 4. Considering current societal trends, the theft argument is outdated and relatively unwarranted. First of all, card transactions are becoming exponentially more preferable for the consumer. Despite Lombra's assertions otherwise, firms are not discouraging card usage at all. Think about the last merchant you visited that refused to take debit, Visa, or Mastercard. Furthermore, merchants are not being stopped from using change all together—just the penny. The likelihood of carrying pennies vs. carrying any other change hasn't been established at this point, but if card transactions are becoming increasingly preferred, the likelihood of carrying any change is getting worse and worse, which means I probably won't even bite these harms. [1] http://www.nytimes.com... [2] http://useconomy.about.com...