Why is the Australian dollar so low if our economy is so strong? This is the case for two reasons. Firstly overseas investors see Australia as a big quarry, and as a result they link our currency to commodity prices. Because commodities have gone down, the Aussie dollar has also been marked down.
The second reason is overseas investors are pulling their money out. This is because of the drop in interest rates, which means investor money is getting a lower rate of return sitting in Australia. It's also because they're probably facing a bit of financial pressure at home, so they're moving their money home to help prop themselves up.
Why hasnt the price of petrol dropped with the price of oil? When you're looking at the price of petrol it's important to always look at the oil price, plus the state of the currency. These are the two things that combine to influence petrol. While the oil price has dropped, the Aussie dollar has taken a hammering, so the price of importing has gone up. This has wiped out any gains with the oil price drop.
Are our bank accounts safe? Should I take my money out? Don't take your money out. You are more likely to get robbed at home than to have your bank go bust; your bank accounts are safe. Of the 18 banks in the world that have a AA credit rating, four of them are the 'Big 4' Aussie banks. Australian banks are as safe as any bank in the world.
Where is the money for the US bailout coming from? The money is coming from the US government so from US taxpayers. The $800 billion that has been poured in is actually not as big as it sounds terms of the size of the US. Behind the scenes in Australia our Reserve Bank is actually pumping a lot of money into Aussie bank system, so our banks can keep lending us money.