This is only a preview of the December 2000 issue of Silicon Chip. You can view 33 of the 96 pages in the full issue, including the advertisments. For full access, purchase the issue for $10.00 or subscribe for access to the latest issues. Items relevant to "Build A Bright-White LED Torch":
Items relevant to "2-Channel Guitar Preamplifier, Pt.2: Digital Reverb":
Items relevant to "Driving An LCD From The Parallel Port":
Items relevant to "A Morse Clock - Look Mum, No Hands!":
Articles in this series:
Purchase a printed copy of this issue for $10.00. |
PUBLISHER’S LETTER
www.siliconchip.com.au
Publisher & Editor-in-Chief
Leo Simpson, B.Bus., FAICD
Production Manager
Greg Swain, B.Sc.(Hons.)
Technical Staff
John Clarke, B.E.(Elec.)
Peter Smith
Ross Tester
Rick Walters
Reader Services
Ann Jenkinson
Advertising Enquiries
Rick Winkler
Phone (02) 9979 5644
Fax (02) 9979 6503
Mobile: 0408 34 6669
Regular Contributors
Brendan Akhurst
Louis Challis
Rodney Champness
Garry Cratt, VK2YBX
Julian Edgar, Dip.T.(Sec.), B.Ed
Mike Sheriff, B.Sc, VK2YFK
Philip Watson, MIREE, VK2ZPW
Bob Young
SILICON CHIP is published 12 times
a year by Silicon Chip Publications
Pty Ltd. ACN 003 205 490. ABN 49
003 205 490 All material copyright
©. No part of this publication may
be reproduced without the written
consent of the publisher.
Printing: Hannanprint, Dubbo,
NSW.
Distribution: Network Distribution
Company.
Subscription rates: $69.50 per
year in Australia. For overseas
rates, see the subscription page in
this issue.
Editorial & advertising offices:
Unit 8, 101 Darley St, Mona Vale,
NSW 2103. Postal address: PO Box
139, Collaroy Beach, NSW 2097.
Phone (02) 9979 5644.
Fax (02) 9979 6503.
E-mail: silchip<at>siliconchip.com.au
ISSN 1030-2662
* Recommended and maximum price only.
2 Silicon Chip
Australia can do well
in the new economy
Over the last few months there has been much
moaning and groaning from the economic com
mentators about the state of Australia’s currency;
the beleaguered Aussie dollar. For months now, it
has been out of favour with the currency dealers
and commentators have been coming up with
reasons why.
One of the favourite arguments is that Aus
tralia is perceived as an “old economy” and that
since it does not have any large manufacturers
of IT (information technology) or telecom
munications equipment, no-one from overseas is interested in investing
here. In a further development of this argument, some commentators go
on to lambast the government for abolishing the Research & Development
grant scheme. The theory is that this reinforces the perception overseas that
Australia is stuck in the past as an “old” economy.
Well, most of these arguments are utter rubbish. For a start, as far as most
of the rest of the world is concerned, if they ever think about Australia at all,
it is in terms of kangaroos and koalas or worse, they confuse it with Austria.
The truth is that, relative to the economies of Japan, the USA or the major
economies of Europe, Australia just doesn’t get above the noise level. So in
the current climate when everything American is seen as the place to invest,
Australia is ignored and our dollar languishes.
And isn’t that great? It represents the greatest opportunity that Australia
has had for many years to grow its economy really strongly. Because our
dollar is low, it makes our exports much cheaper and many companies are
making great profits because of it.
At the same time, imports to Australia are dearer and that discourages
companies and individual consumers from buying as much overseas-sourced
products as they would have. And each month that translates into a current
account surplus rather than the current account deficit we have been running
almost forever. In the long term, that means that less of Australia’s gross
national product (GNP) goes to servicing our overseas debt. All of which is
good for our economy, in the long term. Remember that Japan grew enor
mously in those decades while its currency was deliberately undervalued.
To my way of thinking, the longer Australia has an undervalued currency,
the better.
And what about the “old” economy versus the “new” economy? Anyone
who has been following the sharemarket since April will know that most of
the “new economy” companies, mainly based in the USA, are not looking
too brilliant. And the picture in Asia, where they are strong in IT manufac
turing, is not so rosy either; so much for the benefits of having a strong IT
manufacturing base.
Australia has the best of both worlds. IT equipment is generally cheap and
Australian companies have invested heavily in it. We’re right up there with
the best in the world in that aspect, regardless of what the commentators
might say (most of them have never worked in real companies anyway).
And we can use our broad-based knowledge of IT systems to enhance our
ability to export goods and services to the rest of the world.
So when you hear yet another news bulletin about the parlous state of
the Australian currency remember that it is good news disguised – it will
do us good in the long run.
Leo Simpson
|