Why is the US Still Printing $1 Bills?

Why is the US still printing $1 bills? Despite repeated attempts over the past 140 years, US consumers refuse to embrace the $1 coin. Meanwhile, Euros, Pounds, Francs, and most currencies only produce banknotes above the 5-unit denomination.

The first attempt to replace the $1 bill was in the 1880s. The Treasury produced masses of Silver Dollars that no one wanted. And, when the Treasury cut $1 bill production to force coin adoption, people just bid up the price of notes, paying a premium for them.

In the 1920s, the Treasury tried again. Many Silver Dollars were produced. Again, there were no takers. The usual complaint was that the coins were too big and heavy, notes were a better option.

In 1978, the Treasury tried again, and a smaller Susan B. Anthony dollar coin was issued. The public turned these down, too. In 2000, the Treasury issued a gold-colored Sacagawea dollar. This had some popularity before being relegated to a commemorative.

Why has the US resisted dollar coins for so long? History. From the 1670s to the 1870s, coins were extremely scarce in the US, and notes were used instead. This usage pattern became engrained in the US psyche and its everyday usage. To introduce a dollar coin now is to fight the great inertia of history.