Based on that article, the US$ has already fallen from 0.9 to ~1.3 against the Euro since 2001 (down >40%).
Against the Yen, it has fallen from 130 to today's 105 (down 20%).
The Eurozone, however, is currently at risk of slipping back into recession, and has never really recovered from its post-2001 circumstances.
Also, the matter of Greece falsifying or fudging its deficit figures in order to come within the 3% deficit ceiling for Euro management purposes, is quite worrying.
As for A$ consequences, these are relatively simple to discern: 1. higher A$ towards 90c; 2. improving foreign debt situation when measured in A$ terms (ie: US$400B in foreign debt @70c translates to A$571B, but at 90c, translates to A$444B); 3. deteriorating current account /trade deficits (no prospect whatsoever here for the trade account to go into surplus); 4. import substitution for domestically produced goods resulting in a possibsle reduction in domestic economic activity; 5. increased profit warnings by any company trading overseas; 6. re-location of more Australian businesses overseas; 7. relaxation of pressure on domestic interest rates (due theorectically to the lower priced imports); and 8. a clash by mid-2005 between a rampaging A$, a deteriorating rural sector, and a slowing domestic economy (circa, possible domestic recession by late 2005, early 2006); 9. alternatively, a currency under siege by mid-2005 once foreign support for the A$ slips away, and global circumstances dictate.
Our current account deficit is already much higher than that of the USA measured in GDP terms. Trouble is, ours is growing faster than the USA, whilst apart from our commodity based past, we have little else with which to cushion the deficit going forward.
Prognosis - the US$ may well continue to fall (due to manipulation and determination rather than to the interaction of differing market forces). But the US economy still accounts for >25% of global economic output whilst the Eurozone /EU share of global economic output is starting to shrink.
