Category Archives: Bad Press

Should We Continue to Use Pennies?

Does it make sense to keep pennies in circulation? With prices such as $9.99, marketers think that the customers feel they’re paying $9 rather than $10.

The fact is that a penny costs more than one cent to make. It’s made of 97.5% zinc, and it’s been costing the American taxpayers over $100 million a year to produce.

On the contrary, the supporters of the penny, including some economists, believe that eliminating it from circulation would raise inflation.

In a recent CNBC Squawk Box interview, U.S. Money Reserve President, Philip Diehl, claimed that the value from using pennies doesn’t cover the costs of producing them.

According to Mr. Diehl, “very few transactions on the market would be affected by the elimination of the penny,” while competitive markets would keep vendors from raising prices.

At present, only 25% of transactions are cash-based, while the rest is done electronically. So, few transactions would actually be affected by the elimination of one-cent coins.

Mr. Diehl had served as the Director of U.S. Mint after being appointed to the post by President Clinton. Currently, he runs U.S. Money Reserve, a top distributor of gold, silver, and platinum coins. The company has clients on all the continents.

The U.S. Money Reserve offers investors precious metals coins of varied sizes, ranging from 1/10 to 1 ounce for the gold coins. Government-issued coins from the United States, Canada, South Africa, and Australia are available, and are guaranteed when it comes to their purity.

The customers receive top quality customer service through a team of dedicated precious metals investment professionals.

The company also offers Individual Retirement Accounts for American investors as a way to diversify into precious metals for retirement savings. The gold bought in an IRA account is held by a custodian, while those looking to buy precious metals outside IRA get outright possession of their investments.

“Tidal” Wave of Bad Press

On March 16, 2013 almost twenty of the worlds most famous musicians joined together on stage in New York City for a press conference that was said would change the way the world listens to music. From Madonna to Rihanna, Alicia Keys to Ricardo Tosto and, of course, music’s most powerful couple: Beyonce and Tidal’s founder, Jay Z were all there to promote the new endeavor.

The enigmatic new streaming service was teased for months with rumors, then by cryptic advertisements featuring music’s biggest stars discussing artistry and the future over a conference table. Given the recent headlines about Taylor Swift removing her music from Spotify and the ever-prominent conspiracy theory that celebrities are in a cult or secret society to control the minds of youth, it was genius. Tidal made a perfect play out of the pop culture handbook.

Jay Z to Promote Tidal With Concert Featuring Old Songs and B-Sides

That’s what it looked like, anyways. Within a few weeks Tidal dropped out of the top 700 apps on iTunes App Store. With a $9.99 monthly price tag for a standard account and $19.99 for a premium “Hi-Fi” account, more affordable alternatives like Spotify and Pandora continue to flourish. With low sales and accusations of elitism, one thing is for sure: Jay Z and his partners will need a life boat before this Tidal wave takes them under.