Precious Metal?

Israeli Coins
Israeli Coins

I’ve found that in countries using currencies different from the US dollar, making change is not difficult until you get down to the small coin level.  The Israeli currency is based on the New Israeli Shekel (“NIS”), which has a rate of exchange with the US dollar of roughly 4:1; i.e. it takes 4 shekels to make a dollar.  In other words, a shekel is worth a quarter.

The 4:1 exchange rate is a much easier (mentally) than the British Pound, but it still becomes a problem when small change comes into play.  The smallest bill in Israel is a 20 Shekel note ($5) so you quickly get into the coins when buying a pack of gum. The top row of coins in the photo are shekels: ten, one and half-shekel coins.  Not pictured is the five and two shekel coins.  After that you get into agorat, where 100 agorat make a shekel.  The two coins in the bottom row are ten and one agora coins.

If a shekel is worth a quarter, then an agora is worth only 1/4 cent.  Whoa!  Like the US penny, how is it economical to even produce them?  Easy, the argorat are made of aluminum.  Bronze, nickel and steel are used for other coins.  Precious metal?

Thought for the Day:  The hardest thing in the world to understand is the income tax.                                                                                                                                  Albert Einstein

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s