quote:

Originally posted by tony54 and me:
No- it certainly is not just Aussies. After all everyone on this board from all nations has been having a whinge about rising costs. We all do it. We should never forget though how much luckier we are than most in the greater scheme of things. I am googling cameras at the moment and cannot believe how much the good ones cost. So unfair!!!

I believe this is what Brenda was trying to say, that we Australians are charged more than other countries for photographic equipment, and we should complain if that is the case.

I wonder why we are charged more?????

We pay more for lots of things- including, if one looks at the Uk site, our Traflagar tours. now that is something to grump about.

quote:

Originally posted by tony54 and me:
We pay more for lots of things- including, if one looks at the Uk site, our Traflagar tours. now that is something to grump about.

Yes but you look at the strength of our $ to the UK£.

True.

One of the reasons that we pay more for goods is what currency the goods are purchased in and then imported into the country.

Imports into Australia are not necessarily paid for in AUD by the importing company. So, for example, goods coming to Australia from China may not be paid for in AUD...more often than not it is in USD.

An import company will negotiate MOA's (Memorandum of Agreement) with the manufacturer for a period of time, eg 12 months. The contract price may be negotiated in USD, which the importer then has to exchange AUD for. If our AUD is not travelling well against the USD, as in the past, our goods will be costlier.

One of the reasons that we have not seen a fall in the cost of goods in Australia is that some of the MOA's in operation were set whilst our dollar was not as strong against the USD. This may change for future imports and is already occuring in some goods, such as cast iron which has risen in price but not as much as it has for the American market.

One of the recent movements in MOA's is for shorter contracts so that both importer and exporter can take advantage of the volitile money market. No exporter wants to be locked into a contract that sees them losing money after a few months. Just as importers want full advantage of the stronger AUD.

Clear as mud??????

The upshot of all this is that an Australian company may actually have to pay a Chinese manufacturer in USD...this is advantageous for us at the moment. However that has not been the case up until recent times.

quote:

Originally posted by Penny1:
One of the reasons that we pay more for goods is what currency the goods are purchased in and then imported into the country.

...One of the recent movements in MOA's is for shorter contracts...

Clear as mud??????

Perfectly clear, thanks, Penny. It'd be interesting to know how much exposure our insurance companies and/or one of our four banking pillars has to long MOAs. They themselves probably don't know. Hang on to your cash, lords, ladies and commoners!

A further reason why goods are more expensive here is purely volume.

When the importer is negotiating prices for a market his price will be determined by the number of units he buys. How many times have you asked for a better price if you are buying 2 or 3 of the same item?

So an importer to Australia is limited to our 23 million population. The importer will buy enough untis for that 23 million.

An importer for the USA will buy at least 10 fold the number an Australian importer will buy. Volume. Buy 23 million and get it for $10. Buy 230 million and get it for $5.

quote:

Originally posted by Penny1:
A further reason why goods are more expensive here is purely volume.

True. There's also the question of excise. I haven't checked, but I believe that it's pretty high in Australia for both cameras and computers, so digital cameras would be hit no matter where they hid. I should go and check that statement, but plead the necessity to go shopping for groceries.

There are lots of reasons why goods are more expensive here in Australia...we have just highlighted a few.

We do like to have a reason for whingeing though. It would be dreadful if we just whined for no reason.

As to why we can afford the goods and travel at the same time? Who knows. Maybe it is all a matter of choice of how surplus money is spent.

Maybe we don't have to save as much for those hellishly expensive degrees that North Americans do and so we splurge on digital gear and travel. Maybe we just don't save. Maybe we are stinking rich. Maybe, maybe, maybe.

quote:

I am googling cameras at the moment and cannot believe how much the good ones cost. So unfair!!!

I paid $4000 for my new one 2 weeks ago (ouch!!) - but I have vowed to push the cost to the back of my mind and just revel in the wonders of this marvellous camera.
As the old saying goes "you can't take it (money) with you" so you may as well enjoy it while you are alive.
As others have said, there are so many forces that effect prices of imported goods here - you either buy them or you don't - there is no middle road. I have looked at Duty Free and so-called 'grey imports' etc and there is either a/no real saving, b/no enforcable warranty or c/serious concerns over what you may indeed get for your money.

quote:

Originally posted by Penny1:
Maybe we just don't save.

Well the young certainly don't! They live for the NOW! As for the middle group - where is the encouragement? Enter retirement not qualifying for a pension & you don't qualify for the benefits either. So best to take care not to put to much aside. Go Colleen, buy another camera....but don't forget to whinge about it.

I saw a fascinating dissection of the Generations at a conference this week. It was quite amusing.

A couple of excerpts from it are:

Money

Baby Boomers... Earn it.
Gen X... It's not everything
Gen Y.... Give it to me

Loyalty to employer
Baby Boomers... Work my way to the top
Gen x... Short cut to the top
Gen Y... Give me Saturday off or I will quit

Sex

Baby Boomers...after Marriage
Gen x... On the backseat
Gen Y...online

Influencer
Baby Boomers...Evedential experts
Gen X.. Pragmatic practitioners
Gen Y... Experiential Peers

I think our young people here in Australia are very fortunate to be able to acquire one or two University degrees without sending their parents broke.

I know a lot of young people upper twenties early thirties who are buying their own homes, own their own cars and furniture, have excellent well paying jobs and travel.

I guess it is all about priorities when they are growing up, plus good direction and support from their parents.