Australians should only buy Australian made goods as this helps boost the economy. Research has confirmed that every £10 spent on locally supplied goods generates £25 for the local economy, thus helping other local businesses, creating more business, local jobs and making other local services more sustainable (Winter, 2007, 12 ). Many consumers believe that purchasing Australian goods will benefit the Australian economy and favor the imposition of higher tariffs to reduce Australian import penetration (Fisher & Bryan, 1997, 7). When the demand for local products increases, the terms of trade will improve as there is low demand for imported goods. More money will circulate locally. Additionally, suppliers who only supply Australian-made goods will encourage the development of new technology. Suppliers should only supply Australian-made goods because this encourages the development of new technologies. Hall & Khan (2002, p. 8) stated that the obvious determinants of the adoption of new technologies are the benefits received by the user and the costs of adoption (Hall & Khan, 2002, 8). Technological innovation is recognized as a central factor in the development of modern economies (Foucher & Fitzgibbons, 1992, p.552 (22)). Suppliers need to use advanced manufacturing methods to reduce production costs and generate a reasonable profit whenever there is an increase in demand. Therefore, most suppliers will tend to adopt capital incentives. Furthermore, purchasing locally produced goods also helps the local and nascent industry to survive. Australians should be encouraged to purchase Australian-made goods as this will help the local and nascent industry compete locally and internationally. i) Most domestic purchasing campaigns are launched with the intention of generating a particular propensity for buyers to select domestically produced goods and, therefore, to increase sales of domestic goods over imported goods (Fenwick; Wright 1999, 2). While free trade might be a good thing in theory, as some mercantilists have noted, in practice protectionist measures were seen as the best way to defend domestic industries from low-cost foreign competition (Witzel, 2004, 82(3)).