Inkscape and GIMP are two different types of graphic applications.
Inkscape is for vector graphics. It is similar in concept to Adobe Illustrator. It has some great functionality, a few annoying bugs, and is definitely worth trying. Version 0.47 is just about to come out. Search for the tutorial videos by heathenx.
GIMP is for bitmap graphics, similar to Adobe Photoshop. I haven't used it, but I think I've heard good things about it.
GIMP is definitely a good alternative for PhotoShop because Adobe products are very expensive. I have tried both PhotoShop and GIMP and the similarities are very close. GIMP is like having a free version of PhotoShop.
Gimp is a great alternative for those who would like to get into graphics yet can't afford Photoshop. I will say that after using Gimp for so many years and having tried Photoshop at a friends, it is somewhat difficult to learn and I think it is because it is so much different than Gimp.
GIMP is pretty good. My favourite was Fireworks though, although it isn't as feature-full as Photoshop, it is much more user friendly in my opinion.
The only annoying thing about GIMP though is its interface. The windows are not bonded together like your usual apps, and that can take some getting used to. I think there is a modification of GIMP which implements the photoshop interface...
If you do some searching around the internet you can find both Photoshop and Illustrator for very cheap. I downloaded Photoshop CS4 for just $99 and just found Illustrator CS4 for only $89. I'd post a link, but don't know if that's allowed or not.
Serif software is also good for converting flat images into 3-D objects, which is great for logo creation. I've got their desktop plus software and this is definitely it's best feature.
Linear Mode
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