COVID-19 Coin Shortage Challenges Cash-Based Businesses

The US is experiencing a coin shortage, prompting the Treasury to ask the public to spend, deposit, or exchange coins. Businesses are adapting by moving to token-based systems. Despite increased coin production, consumer spending is still below pre-pandemic levels. The rise in contactless payments, driven by COVID-19, benefits credit card companies. The US Mint suggests that spending spare change can help alleviate the shortage.

What is the US Mint encouraging Americans to do to help with the coin shortage?

• Spend, deposit, or exchange coins

• Use only digital payments

• Save their coins

• Avoid using coins altogether

Which businesses are primarily transitioning to token-based operations due to the coin shortage?

• Laundromats and car washes

• Restaurants

• Grocery stores

• Movie theaters

What is one reason for the ongoing coin shortage according to Ken Shaner?

• Decrease in online shopping

• Rise in contactless payments

• Increased coin production

• High consumer spending

How are credit card companies benefiting from the current economic situation?

• Rise in online and contactless payments

• Increased cash transactions

• Decreased competition

• Lower interest rates

What does the US Mint suggest as a solution to the coin shortage?

• Increase coin production

• Ban cash transactions

• Encourage digital payments

• Consumers spending their spare change