You have been warned... Long term the Aussie$ has nowhere to go but down. The US will be raising rates while Australia is forced to keep rates on hold with the fall-off in mining investment hitting the economy hard and with the RBA trying to engineer a soft landing to prevent a huge calamity thanks to our massive level of personal debt that has been used to bid up house prices. Needless to say, if there are any hiccups with the Chinese economy then things will go from bad to worse very quickly for the AUD. With a growing population, increasing energy and food costs, a slowing economy, decaying infrastructure, accelerating unemployment and a critical lack of competitiveness against low cost and technologically progressive economies, we could see the quality of life in Australia begin to drop. Those of us with sufficient gold and silver, or offshore investments, should be relatively okay as long as things don't get too bad in the cities (or wherever we live). No guarantees though as social cohesion is lost and growing numbers of angry, disenfranchised, unemployed (and unemployable) residents decide to take what they believe they are entitled to. In the end, the piper will be paid for decades of economic ineptitude and greed.