Counting in tens
On 14 February 1966, Australia introduced decimal currency. No longer
did you go shopping with pounds, shillings and pence but rather with
dollars and cents. It might be hard to believe today but there was some
apprehension about this revolution in consumerism at the time.
In this lesson, you learn about the introduction of decimal currency to
this country and the arguments for and against it in the early 1960s. You
discover conflicting ideas about national identity as Australians debated
the name of the new currency. Finally, you look at the impact of the
change in monetary systems and other ways in which Australia started to
count in tens.
The push for decimal currency
The prospect of Australia changing to decimal currency had been
suggested twice earlier in the century. It seemed logical to some people
that the more complicated Imperial system of pounds, shillings and pence
should be replaced. This system was geared to the number twelve, for
example there were twelve pennies in a shilling. Yet in both 1902 and
1937, the recommendation that Australia should adopt decimal currency
was ignored. The main reason given for not changing was that it would
have put Australia out of step with Britain, the Mother Country.
However the push gained momentum in 1957 with the formation of the
Decimal Currency Board. It argued that decimalisation would be a much
easier system for primary school children to learn as well as being more
simple and efficient at the shopping centre checkout.
The Board also pointed out that decimal currency was far more suitable
for new computer technology that was rapidly taking over business
around the country. Finally it argued that going decimal would put
Australia in line with most of her major trading partners.
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Australia in the 1960s
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Despite the Board winning majority support from the public, there was
still a sizeable minority who had reservations. Many Australians,
particularly older ones, were irritated at having to learn a new monetary
system different from the one they had grown up with. They believed it
would lead to confusion for shoppers and hence cause long queues and
delays. They suggested that ‘C-Day’, which stood for ‘Changeover Day’
would be better named ‘Chaos Day’.
Another concern held by this group was that decimal currency would
have an inflationary effect on prices. This argument was based on the
fact that the smallest unit of currency in the new system, the cent, was
more than double the value of the smallest Imperial unit, the halfpenny.
The decimal opponents suggested that this would lead to an increase in
costs for smaller items.
Activity 30
Demonstrate what you have learnt about the arguments for and against
decimal currency by completing the captions.
Check your responses by going to the suggested answers section.
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Changes in Australia, 1945-2000
After considering the opposition to decimal currency, Treasurer Harold
Holt announced in 1963 that Australia would adopt the new system.
After an intensive program of public education and awareness, the
change of currencies would take place in February 1966.
Over the next two or more years, Australians would become used to
seeing and hearing ‘Dollar Bill’, the cartoon character created to promote
the changeover. More than 15 million letters were sent to schools as part
of the education program. As well, Dollar Bill made regular appearances
in newspapers and on radio and television. The campaign was
particularly targeted at housewives.
Why do you think there was more emphasis given to women than men in
the advertising campaign? Write an answer on the following lines if you
wish.
In the mid-1960s, wives, especially mothers, did the majority of the
shopping. Therefore they would be more involved in dealing with the
old and new currencies.
What’s in a name?
In the end, the greater controversy was not whether decimal currency
should be adopted, but what would be the name of the basic unit of
money. What followed became a debate as much about national identity
as the actual name of the currency itself.
In the early 1960s, the government opened the door to the public,
requesting suggestions for a name for the new currency. A total of 998
ideas were put forward to the Federal Treasury. Some of the more
Australian-flavoured names were the abo, boomer, galah, goanna,
menzee, goodoil, oz and Phar Lap. More bizarre proposals included the
abcd, spondulik and zime. Can you imagine going to the shops with a
wallet or purse full of sponduliks!
Ultimately the debate was split three ways. Some people favoured an
identifiable Australian name, some wanted to remain loyal to a Britishsounding unit of currency, while others were keen to demonstrate our
ever-closer links with the United States.
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Australia in the 1960s
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Shortly, you will read an extract that explains how the public debate
evolved regarding a name for the new currency. Before you do, check that
you know the following words and their meanings.
Words to know
The following list of words and their meanings will help you
understand the text.
parlance
habits of speech
Federal Cabinet
the senior ministers in Federal Parliament
Anglophile
a person loyal to England
Read the following extract. As you read, you will notice the conflicting
ideas on Australia’s national identity in the 1960s.
There was a nationwide debate over what the best name would be. Some
favoured keeping the name ‘pound’ … For a long time ‘austral’, a
suitably nationalist name, was the favourite until someone pointed out
that it would become a ‘nostril’ in local parlance. The question finally
came to the notice of Federal Cabinet; under the influence of the then
Immigration Minister, Sir Alec Downer, a noted Anglophile … and Sir
Robert Menzies, himself no less of a traditionalist, the name ‘royal’ was
chosen. This was too much for the Australian populace, which is
noticeably less Royalist than its leaders; a newspaper poll revealed that
90 per cent of its readers preferred ‘dollar’, though whether from
common sense or from a desire to imitate America, nobody was sure.
With a election in the offing the Government swiftly changed to ‘dollar’
– and ‘dollar’ it is.
Source:
McGregor C, Profile of Australia, London, Hodder and Stoughton,
1966, p.58.
The debate certainly indicated a strong shift away from the old British
ties.
Activity 31
Answer the following questions based on the McGregor extract.
1
4
What was the most popular ‘Australian-sounding’ name, and why
was it rejected?
Changes in Australia, 1945-2000
2
Who supported the name ‘royal’ for the new currency?
3
Why was the name ‘royal’ criticised?
4
In the end, how well supported was the name ‘dollar’?
5
Why, according to the author, was the dollar finally chosen as the
name for the new currency?
Check your responses by going to the suggested answers section.
The strong opposition to the ‘royal’, with its clear reference to Britain,
was indicative of the fact that it seemed that Australia was now seeking
its own national identity. Yet there were some people unhappy about
adopting the American name ‘dollar’ as well. They pointed to the name
as further evidence that Australia was fast becoming a dependency of the
United States.
The design of the new coins and notes however, met with widespread
public approval. The coins featured native animals like the echidna,
platypus and lyrebird. The notes commemorated Australian pioneers like
Sir Charles Kingsford-Smith, Henry Lawson and John MacArthur as well
examples of Aboriginal art.
The new currency demonstrated that at least one traditional link would
not be broken. The reminder of Australia’s British origins could be seen
on the one dollar note and on the back of all the coins. Indeed if you look
in your purse or wallet, you’ll still see that reminder today.
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Do you know whose image was on the original one-dollar note and the
back of all the coins, then and now? Write the answer if you know.
A portrait of Queen Elizabeth II appeared on these denominations.
You can still see an image of the reigning monarch on Australia’s coins
to this day.
C-Day and beyond
After two years of public education and awareness, and years more of
planning, C-Day finally arrived. Immediately prior to the big day, banks
and financial institutions had remained closed for four days in
preparation for the transition.
Contrary to some people’s concerns, the changeover from Imperial to
decimal currency was a very smooth one. Newspapers the following day
reported few problems and congratulated the Australian people on their
adaptability and knowledge of the new system.
There were a few instances of storekeepers giving the wrong change after
a purchase and some were reported for trying to take advantage of unsure
customers. There were also some older people who weren’t confident
with the new currency. Yet these cases were isolated. Clearly the
program that heavily promoted the changeover had succeeded.
The Government had planned for a conversion period of two years.
During this time, both currencies would be accepted as legal tender. In
fact, there was a saturation of decimal coins and notes in the public arena
much sooner than that.
Examine the following illustration. Shoppers got used to seeing signs
like this at all retail outlets.
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Changes in Australia, 1945-2000
SAVE HERE
SAVE HERE
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You are probably unfamiliar with the first price given for each item. It is
showing the price in shillings and pence.
Activity 32
During what period, would signs like this have been seen in public?
Why?
Check your responses by going to the suggested answers section.
The conversion of Australia’s coins and notes to decimalisation was just
the first step in the plan to modernise units of measurement. In 1967,
measurement of weights was converted to a decimal, or metric, system.
Over the course of time, other areas would follow suit.
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Australia in the 1960s
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The following table shows just how many units of measurement changed
during this time.
Imperial units
Decimal units
Item being measured
Pounds, shillings and
pence
Dollars and cents
Currency
Ounces, pounds and
stones
Grams and kilograms
Weight
Inches, feet, yards and
miles
Centimetres, metres
and kilometres
Distance
Acres
Hectares
Area
Fluid ounces, pints and
gallons
Millilitres and litres
Liquid
Fahrenheit
Celsius
Temperature
No wonder some people were reluctant to change. Indeed, some older
people still use the old Imperial units when speaking today.
The conversion of Australia’s currency and other units of measurement
was an indicator of more general trends in the 1960s. Firstly, Australia
was modernising, and secondly, another connection with Britain had
been removed.
Go to the exercises section and complete Exercises 2.20 to 2.21 as
directed by your teacher.
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Changes in Australia, 1945-2000