AUSTRALIA

Commonwealth of Australia

CAPITAL: Canberra

FLAG: The flag has three main features: the red, white, and blue Union Jack in the upper left quarter, indicating Australia's membership in the Commonwealth of Nations; the white five-star Southern Cross in the right half; and the white seven-pointed federal star below the Union Jack. The flag has a blue ground. Of the five stars of the Southern Cross, four have seven points and one has five points.

ANTHEM: God Save the Queen is reserved for regal and state occasions and whenever singing is appropriate; the national tune is Advance Australia Fair.

MONETARY UNIT: The Australian dollar (a$) is a paper currency of 100 cents. There are coins of 5, 10, 20, and 50 cents and 1 and 2 dollars, and notes of 5, 10, 20, 50 and 100 dollars. a$1 = us$0.76336 (us$1 = a$1.31) as of 2005.

WEIGHTS AND MEASURES: Metric weights and measures are used. The Australian proof gallon equals 1.37 US proof gallons.

HOLIDAYS: New Year's Day, 1 January; Australia Day, last Monday in January; Anzac Day, 25 April; Queen's Birthday, second Monday in June; Christmas, 25 December; Boxing Day, 26 December. Numerous state holidays also are observed. Movable religious holidays include Good Friday, Easter Saturday, and Easter Monday.

TIME: Western Australia, 8 pm = noon GMT; South Australia and Northern Territory, 9:30 pm; Victoria, New South Wales, Queensland, and Tasmania, 10 pm. Summer time is 1 hour later in all states except Western Australia, Queensland, and the Northern Territory.

LOCATION, SIZE, AND EXTENT

Lying southeast of Asia, between the Pacific and Indian oceans, Australia, the world's smallest continent, is almost completely surrounded by ocean expanses. Australia is slightly smaller than the United States, with a total area of 7,686,850 sq km (2,967,909 sq mi). The five mainland states are New South Wales, 801,600 sq km (309,500 sq mi); Queensland, 1,727,200 sq km (666,900 sq mi); South Australia, 984,000 sq km (379,900 sq mi); Victoria, 227,600 sq km (87,900 sq mi); and Western Australia, 2,525,500 sq km (975,100 sq mi). The island state of Tasmania has an area of 67,800 sq km (26,200 sq mi); the Northern Territory, 1,346,200 sq km (519,800 sq mi); and the Australian Capital Territory, 2,400 sq km (900 sq mi). The country, including Tasmania, extends about 4,000 km (2,500 mi) e–w and 3,180 km (1,980 mi) n–s.

Australia is bounded on the n by the Timor and Arafura seas, on the ne by the Coral Sea, on the e by the Pacific Ocean, on the se by the Tasman Sea, and on the s and w by the Indian Ocean, with a total coastline of 25,760 km (16,007 mi). Neighboring areas include Irian Jaya (part of Indonesia) and Papua New Guinea to the north, New Zealand to the southeast, and Indonesia to the northwest.

Australia's capital city, Canberra, is located in the southeastern part of the country.

TOPOGRAPHY

The continent of Australia is divided into four general topographic regions: (1) a low, sandy eastern coastal plain; (2) the eastern highlands, ranging from 300 to more than 2,100 m (1,000–7,000 ft) in altitude and extending from Cape York Peninsula in northern Queensland southward to Tasmania; (3) the central plains, consisting largely of a north-south series of drainage basins, including the Great Artesian Basin, which underlies about 1,751,480 sq km (676,250 sq mi) of territory and is the most extensive area of internal drainage in the world; and (4) the western plateau, covered with great deserts and "bigger plains" (regularly spaced sand ridges and rocky wastes), rising 300 to 600 m (1,000–2,000 ft) high and constituting most of the western half of the continent.

Australian mountains have eroded over recent geological periods, and only about 6% of the continent is above 600 m (2,000 ft); the average elevation is less than 300 m (1,000 ft). The highest point is Mt. Kosciusko, 2,228 m (7,310 ft), in the Australian Alps of the southeastern corner of New South Wales; the lowest point is Lake Eyre in South Australia, 15 m (49 ft) below sea level. In 1983, grains of rock from Western Australia were dated at 4.1–4.2 billion years old, making them the oldest ever found on earth.

The most important river system, and the only one with a permanent, year-round flow, is formed by the Murray, Darling, and Murrumbidgee rivers in the southeast. The Murray River, Australia's largest, rises in the Australian Alps of New South Wales and flows some 2,600 km (1,600 mi) west and southwest to empty into the sea below Adelaide, South Australia. Several other rivers are important, but for the most part they carry great amounts of water in the wet season and are dry for the rest of the year. The largest lakes have no outlet and are usually dry. The coastline is smooth, with few bays or capes. The two largest sea inlets are the Gulf of Carpentaria in the north, between Arnhem Land and the Cape York Peninsula, and the Great Australian Bight in the south. The Great Barrier Reef, the longest coral reef in the world, extends for about 2,000 km (1,243 mi) off the east coast of Queensland.

CLIMATE

Although it has a wide diversity of climatic conditions, Australia is generally warm and dry, with no extreme cold and little frost, its temperatures ranging from comfortably mild in the south to hot in the central interior and north. July mean temperatures average 9°c (48°f) in Melbourne in the southeast and 25°c (77°f) in Darwin in the north. January mean temperatures average 20°c (68°f) in Melbourne and 30°c (86°f) in Darwin. Summer readings often reach 38°c (100°f) or more in almost any area of the continent and may exceed 46°c (115°f) in interior regions. Winds are light to moderate, except along the coasts, where severe cyclones have occurred. On 25 December 1974, a cyclone and flood devastated most of Darwin; at least 49 people were killed, and some 20,000 were left homeless.

The continent is subject to great variations in rainfall, but except for a few areas rainfall is insufficient, and the rate of evaporation is high. Mean annual rainfall is 42 cm (17 in), much less than the world mean of 66 cm (26 in). About 18% of the land area is desert. Only about 20% has more than 76 cm (30 in) of rain annually, but these areas suffer from a long dry season, while others have too much rain. Only Tasmania, Victoria, and parts of New South Wales have enough rainfall all year round. Droughts and floods occur irregularly but frequently over large areas. Drought conditions became very severe in the early 1980s, leading to dust storms, fires, and multibillion-dollar crop losses. Again in 1994–95, a severe drought devastated eastern agricultural regions.

FLORA AND FAUNA

Many distinctive forms of plant and animal life are found, especially in the coastal and tropical areas. There are some 500 species of eucalyptus and 600 species of acacia (wattle). Other outstanding trees are the baobab, blackwood, red cedar, coachwood, jarrah, Queensland maple, silky oak, and walnut. Native trees shed bark instead of leaves. Numerous types of wild flowers grow in the bush country, including boronia, Christmas bush, desert pea, flanner flower, Geraldton wax plant, kangaroo paw, pomaderris, and waratah. There are 470 varieties of orchids. About 200 kinds of mammals, 200 kinds of lizards, and 350 kinds of birds are indigenous. Apart from marsupials (bandicoots, kangaroos, koalas, possums, Tasmanian devils, tree kangaroos, and wallabies), the most unusual animals are the dingo, echidna, flying fox (fruit bat), platypus, and wombat. Birds include the anhinga, bellbird, bowerbird, cassowary, emu, galah, kookaburra (laughing jackass), lyrebird, fairy penguin, rosella, and many types of cockatoos, parrots, hawks, and eagles.

Many species of trees, plants, and domestic animals have been imported, often thriving at the expense of indigenous types. Herds of wild buffalo, camels, donkeys, horses, and pigs, descendants of stock that strayed from herds imported by pioneers, roam the sparsely settled areas. The proliferation of rabbits resulted in a menace to sheep, and in 1907, a thousand-mile-long fence was built to keep rabbits out of Western Australia. Subsequently, a similar fence was erected in the east to prevent the incursion of dingos.

ENVIRONMENT

The principal government institutions responsible for environmental matters are the Department of Home Affairs and Environment, the Australian Environment Council, and the Council of Nature Conservation Ministers. A national conservation strategy, developed by the states, the Northern Territory, and the federal government, in cooperation with the International Union for the Conservation of Nature and Natural Resources, the World Wildlife Fund, and the UNEP, became national policy in 1980.

The Environment Protection (Impact of Proposals) Act of 1974 establishes procedures for ensuring that environmental impact is considered in governmental decision making. The Whale Protection Act of 1981 prohibits killing, capturing, injuring, or interfering with a whale, dolphin, or porpoise within Australia's 200 mi economic zone or, beyond the zone, by Australian vessels and aircraft and their crews. The Environment Protection (Nuclear Codes) Act of 1978 mandates the development of uniform safety standards for uranium mining and milling and for the transport of radioactive materials. The Protection of the Sea (Discharge of Oil from Ships) Act of 1981 and the Protection of the Sea (Prevention of Pollution from Ships) Act of 1983 prevent or limit pollution from oil or noxious substances.

Water being a scarce resource in Australia, problems of water quality and availability are a constant concern. As of 2001, the country had only 352 cu km of renewable water resources, although safe drinking water was available to all urban and rural dwellers. A cause for concern has been the increased salinity in the Murray Valley, caused by diverting water inland from the coast for irrigation, as well as the rise in saline water tables in Western Australia, due to excessive land clearing for dry-land farming. Another significant environmental problem is inland damage due to soil erosion. The quality of the soil is also affected by salinization. In the mid-1990s Australia was among the top 20 world producers of carbon dioxide emissions from industry, which totaled 267.9 million tons per year, or 15.24 tons per capita. In 2000, the country produced 344.8, million metric tons of carbon dioxide emissions.

As of 2000, about 20% of the total land area of Australia was forested. The country has the third most extensive mangrove area in the world, covering over one million ha. In 2003, about 13% of the total land area was protected, including 11 natural UNESCO World Heritage Sites and 64 Ramsar wetland sites.

In 2002, there were about 252 species of mammals, 497 species of birds, and over 15,500 species of higher plants. According to the 2004 IUCN Red List Report, the number of threatened species included 63 types of mammals, 60 species of birds, 38 types of reptiles, 47 species of amphibian, 74 species of fish, 176 types of mollusks, 107 other invertebrates, and 56 species of plants. Endangered species include the banded anteater, greater rabbit-eared bandicoot, Leadbeater's opossum, northern hairy-nosed wombat, woylie, bridled nail-tail wallaby, five species of turtle (western swamp, green sea, hawksbill, leatherback, and olive ridley), Tasmanian freshwater limpet, granulated Tasmanian snail, African wild ass, western ground parrot, paradise parakeet, helmeted honey eater, noisy scrub-bird, western rufous bristlebird, Lord Howe wood rail, Lord Howe currawong, small hemiphlebia damselfly, Otway stonefly, giant torrent midge, and Tasmanian torrent midge. Lord Howe stick insect, Gray's marble toadlet, the dusky flying fox, the Tasmanian wolf, and the banded hare wallaby are among the country's 42 extinct species.

POPULATION

The population of Australia in 2005 was estimated by the United Nations (UN) at 20,351,000, which placed it at number 52 in population among the 193 nations of the world. In 2005, approximately 13% of the population was over 65 years of age, with another 20% of the population under 15 years of age. There were 98 males for every 100 females in the country. According to the UN, the annual population rate of change for 2005–2010 was expected to be 0.6%, a rate the government viewed as satisfactory. The projected population for the year 2025 was 24,233,000. The population density was 3 per sq km (7 per sq mi).

The UN estimated that 91% of the population lived in urban areas in 2005, and that urban areas were growing at an annual rate of 1.11%. The capital city, Canberra, had a population of 373,000 in that year.

The 2005 population totals of the six state capitals were estimated as follows: Sydney, New South Wales, 4,388,000; Melbourne, Victoria, 3,663,000; Brisbane, Queensland, 1,769,000; Perth, Western Australia, 1,484,000; Adelaide, South Australia, 1,137,000; and Hobart, Tasmania, 202,138. Four other large cities are Newcastle, New South Wales, 494,400; Gold Coast, Queensland, 469,214; Wollongong, New South Wales, 274,072; and Geelong, Victoria, 190,000.

One-third of Australia is virtually uninhabited; another third is sparsely populated. The total population is quite small compared to the large land mass. Most of the cities are located in the east and southeast, with many inhabitants living on the coast.

MIGRATION

After World War II, the government promoted immigration of the maximum number of persons Australia could absorb without economic disequilibrium. In 1979, however, with the unemployment rate rising, the government tightened immigration requirements so that Australians would not lose jobs to the newcomers. Under the new system, assessments of applications are based on such factors as age, skills, and family ties, with priority given to reunion of families sponsored by Australian residents. In 2001, the Migration Program allowed 80,610 entry visas, most granted under the family and skill based categories.

Most of the 4.2 million immigrants to Australia between 1945 and 1985 were from the United Kingdom, Italy, and Greece. The government encouraged immigrants of working age to settle in rural areas, but many immigrants preferred to work in the cities. The record high for new settlers was 185,099, in 1969–70. The number of permanent settlers arriving in 1991 was 116,650, up from a postwar low of 52,748 in 1975–76. From World War II to 1991, over 460,000 refugees settled in Australia. These included more than 130,000 Indochinese. In 2003–2004 citizenship was granted to 788 onshore applications, the largest numbers granted to Iranians, Chinese, and Iranians, respectively. In 2003, the foreign labor force was 24.9% of the total labor force

As of the end of 2004, Australia had 63,476 refugees and 5,022 asylum-seekers, primarily from Afghanistan, Iraq, China, and Serbia and Montenegro. The majority of illegal immigrants are those who entered the country legally but remained beyond the expiration of their visas. From mid-year 2003 to mid-year 2004 there were 50,900 overstayers. The government is undertaking more stringent measures to identify and remove illegal aliens. Australia has also set up programs to assist the integration of migrants and refugees by providing services and education.

As of 2005 the estimated net migration rate was 3.91 per thousand. The government views the migration levels as satisfactory.

ETHNIC GROUPS

Most Australians are of British or Irish ancestry. In 2005, approximately 92% of the population was Caucasian. The Asian-born population tally stood at 7% while aboriginal and other groups comprised only 1% of the population.

After the coming of the Europeans, the aboriginal population declined drastically, from about 300,000–1,000,000 to some 60,000 by the early 1920s. By the 1950s, however, the decline was reversed. In the 1991 census 265,492 people identified themselves as being of aboriginal or Torres Strait Islander origin, or 1.5% of the population. (Of these, the latter numbered 26,902.) Many of them live in tribal conditions on government reservations in the north and northwest; some 39,918 were in the Northern Territory in the 1991 census and 41,792 in Western Australia. Queensland had 70,130, and New South Wales, 70,020. Their social organization is among the most complex known to anthropologists. They do not cultivate the soil but are nomadic hunters and food gatherers, without settled communities. Anthropologists believe the aboriginals, also known as Australoids, are relatively homogeneous, although they display a wide range of physical types. Their serological, or blood-group, pattern is unique, except for a faint affinity with the Paniyan of southern India and the Veddas of Sri Lanka. The aboriginals probably originated from a small isolated group subject to chance mutation but not to hybridization. There seems to be a sprinkling of Australoid groups in India, Sri Lanka, Sumatra, Timor, and New Guinea. In 1963, aboriginals were given full citizenship rights, although as a group they continued to suffer from discrimination and a lower living standard than European Australians generally.

Beginning in the 1960s, the government abandoned its previous policy of "assimilation" of the aboriginals, recognizing the uniqueness of aboriginal culture and the right of the aboriginals to determine their own patterns of development. From the passage of the Aboriginal Land Rights (Northern Territory) Act in 1976 to mid-1990, aboriginals in the Northern Territory were given ownership of about 34% of territorial lands (461,486 sq km or 178,180 sq mi). The South Australia state government and its aboriginals also signed a land-rights agreement, and similar legislation was developed in other states during the 1980s. In all, aboriginals held 647,772 sq km (250,104 sq mi) of land under freehold in mid-1989 and another 181,800 sq km (70,193 sq mi) under leasehold. A reservation in Western Australia consisted of 202,223 sq km (78,078 sq mi). By the mid-1990s, however, more than two-thirds of the aboriginals had left rural lands to settle in urban areas.

LANGUAGES

According to a 2001 census, about 79% of the population speaks English. Chinese is spoken by about 2% of the population and Italian is spoken by another 2%. About 11% listed other languages and nearly 6% of respondents were unspecified.

Many languages or dialects are spoken by the aboriginal tribes, but phonetically they are markedly uniform. There is no written aboriginal language, but the markings on "letter sticks," sometimes carried by messengers from one tribe to another, are readily understood by tribal headmen. Aboriginal languages are in use in certain schools in the Northern Territories and, to a lesser extent, in schools of other states.

RELIGIONS

According to the 2001 census, 67% of citizens were nominally Christians, including 26% Roman Catholic and 20% Anglican. About 15% of Australians consider themselves to have no religion, an increase of over 35% from 1991. About 2% of the population were Buddhist, 1.5% Muslim, and less than 1% were Hindu and Jewish. A 1996 census indicated that almost 72% of Aborigines practiced some form of Christianity with indigenous beliefs. The 2001 census did not provide comparable updated information.

Constitutionally, there can be no state religion or state aid to any religion; the exercise of any religion cannot be prohibited, and a religious test as qualification for public office is forbidden. However, in a 1998 report on freedom of religion in Australia by the federally funded but independent Human Rights and Equal Opportunity Commission (HREOC), the Commission reported that many Australians have complained that the dominance of Christianity has marginalized large numbers of citizens in public life. Since then the HREOC and a Parliamentary Committee have been working on antidiscrimination measures and legislation. Though the HREOC recommended that the government enact a specific federal religious freedom act, the government refused to do so in 2002.

Organizations promoting tolerance and mutual understanding between faiths include the Columbian Center for Christian-Muslim Relations, the National Council of Churches in Australia, and the Australian Council of Christians and Jews.

TRANSPORTATION

As of 2004, Australia's total railway trackage (both government and private) totaled 54,439 km (33,861 mi) of which 33,819 km (21,015 mi) was government owned as of 2002. Private railways are primarily used by the iron ore industry in Western Australia. Australia's railway systems do not interconnect well because the system is made up of three track gauges: standard (1.435-m); broad (1.600-m); and narrow(1.067-m). Of the three, the majority is standard gauge with 34,110 km (21,216 mi) of track, followed by narrow gauge track at 14,895 km (9,265 mi), and by broad gauge at 5,434 km (3,380 mi). As a result, rail travel between principal cities can involve changing trains. Modern equipment is gradually replacing older stock. As of August 1991, all interstate freight movements by rail were brought under the control of the National Rail Corporation (NRC).

Inland water transport is limited to about 2,000 km (1,241 mi) of navigable waterways, mainly on the Murray and Murray-Darling river systems, and is mostly used for recreational purposes. However, ocean shipping is important for domestic and overseas transport. Most overseas trade is carried in non-Australian ships, while most coastwise vessels are of Australian registry. Although the fine natural harbors of Sydney and Hobart can readily accommodate ships of 11 m (36 ft) draft, many other harbors have been artificially developed. Other international shipping ports include Adelaide, Brisbane, Cairns, Darwin, Devonport, Fremantle, Geelong, Launceston, Mackay, Melbourne, and Townsville. All main ports have ample wharfage, modern cargo-handling equipment, and storage facilities. There are some 70 commercially significant ports. The nation's merchant marine in 2005 included 55 vessels of 1,000 GRT or over, with a combined GRT of 1,531,461. Highways provide access to many districts not served by railroads. As of 2002, there were 811,601 km (504,816 mi) of roads, of which some 316,524 km (196,877 mi) were paved. Motor vehicles in 2003 totaled about 12,305,000, including 10,100,000 passenger cars and 2,205,000 commercial vehicles.

In 2004, Australia had an estimated 448 airports. As of 2005, a total of 308 had paved runways, and there was also a single heliport. Principal airports include Adelaide, Brisbane, Cairns, Darwin, Melbourne International at Melbourne, Perth International at Perth, and Kingsford International at Sydney. In 1997, the government began privatizing many of the country's airports. The first round of such sales early in 1997 included the Melbourne, Brisbane, and Perth airports, which raised a$3.34 billion (us$2.5 billion)—far exceeding government projections. The main Sydney airport was explicitly excluded from the privatization plan. Domestic air services are operated primarily by the privately owned Ansett Airlines. The Australian overseas airline, Qantas, carries more than three million passengers per year to and from Australia, nearly 40% of the total carried by all airlines serving Australia. The Commonwealth government owned the airline until it was privatized in 1995. In 2003 Australian air carriers had 41.386 million passengers and carried 1.355 million freight ton km.

HISTORY

Stone objects that were found in 1978 but are still only tentatively dated suggest that human beings may have inhabited what is now Australia as long as 100,000 years ago. The Aboriginals migrated to Australia from Southeast Asia at least 40,000 years before the first Europeans arrived on the island continent. In 1999, scientists estimated a male skeleton found at Mungo Lake in 1974 to be between 56,000 and 68,000 years old. Covered in red ochre, this skeleton presents the first known use of pigments for religious or artistic purposes. Living as hunters and gatherers, roaming in separate family groups or bands, the Aboriginals developed a rich, complex culture, with many languages. They numbered approximately 300,000 by the 18th century; however, with the onset of European settlement, conflict and disease reduced their numbers.

Although maps of the 16th century indicate European awareness of the location of Australia, the first recorded explorations of the continent by Europeans took place early in the 17th century, when Dutch, Portuguese, and Spanish explorers sailed along the coast and discovered what is now Tasmania. None took formal possession of the land, and not until 1770, when Capt. James Cook charted the east coast and claimed possession in the name of Great Britain, was any major exploration undertaken. Up to the early 19th century, the area was known as New Holland, New South Wales, or Botany Bay.

The first settlement—a British penal colony at Port Jackson (now Sydney) in 1788—was soon enlarged by additional shipments of prisoners, which continued through the mid-1800s, until approximately 161,000 convicts had been transported. With the increase of free settlers, the country developed, the interior was penetrated, and six colonies were created: New South Wales in 1786, Van Diemen's Land in 1825 (renamed Tasmania in 1856), Western Australia in 1829, South Australia in 1834, Victoria in 1851, and Queensland in 1859.

Sheep raising and wheat growing were introduced and soon became the backbone of the economy. The wool industry made rapid progress during the period of squatting migration, which began on a large scale about 1820. The grazers followed in the wake of explorers, reaching new pastures, or "runs," where they squatted and built their homes. Exports of wool increased from 111 kg (245 lb) in 1807 to 1.1 million kg (2.4 million lb) in 1831. With the increased flow of immigrants following the Ripon Land Regulations of 1831, the population grew from about 34,000 in 1820 to some 405,000 in 1850. The discovery of gold in Victoria (1851) attracted thousands, and in a few years the population had quadrupled. Under the stimulus of gold production, the first railway line—Melbourne to Port Melbourne—was completed in 1854. Representative government spread throughout the continent, and the colonies acquired their own parliaments.

Until the end of the 19th century, Australia's six self-governing colonies remained separate. However, the obvious advantages of common defense and irrigation led to the federation of the states into the Commonwealth of Australia in 1901. (The British Parliament had approved a constitution in the previous year.) The Northern Territory, which belonged to South Australia, became a separate part of the Commonwealth in 1911. In the same year, territory was acquired from New South Wales for a new capital at Canberra, and in 1927, the Australian Parliament began meeting there. Liberal legislation provided for free and compulsory education, industrial conciliation and arbitration, the secret ballot, female suffrage, old age pensions, invalid pensions, and maternity allowances (all before World War I). Child subsidies and unemployment and disability benefits were introduced during World War II.

Australian forces fought along with the British in Europe during World War I. In World War II, the Australian forces supported the UK in the Middle East between 1940 and 1942, and played a major role in the Pacific theater after the Japanese attack on Pearl Harbor. After the war, a period of intense immigration began. The Labour government was voted out of office in 1949, beginning 23 years of continuous rule by a Liberal-Country Party (now known as the National Party) coalition. During that period, Australian foreign policy stressed collective security and support for the US presence in Asia. Australian troops served in Vietnam between 1965 and 1971.

When Labour returned to power in December 1972, it began the process of disassociating Australia from US and UK policies and strengthening ties with non-Communist Asian nations; in addition, it established diplomatic relations with the People's Republic of China. In 1975 a constitutional crisis resulted when Senate opposition successfully blocked the Labour Party's budgetary measures, thereby threatening the government with bankruptcy. The governor-general dismissed the Labour prime minister, Gough Whitlam, and called for new elections. The Liberal-National Party coalition swept back into power, where it remained until 1983. The Australian Labour Party (ALP) returned to power in 1983, following a campaign in which such economic issues as unemployment and inflation predominated.

In 1993, the Mabo Ruling on Native Title recognized the land rights of the indigenous people (Aborigines) inhabiting Australia prior to the arrival of the Europeans. The Mabo Ruling did not void existing leases, but could allow the Aborigines to reclaim land when the leases granted by the national or state governments expired. The Mabo Ruling applied only to non-pastoral leases, but the Wik Judgment of 1996 extended the land rights of indigenous people to include their use of pastoral land for religious purposes.

In the March 1996 elections, the ALP was unseated by a coalition of the Liberal Party and the National Party, who chose Liberal MP John Howard to be prime minister. The newcomer Howard pledged to change the government, to make it more "rational." To that end, he cut ministries and cabinet posts, made budget cuts affecting higher education, Aborigine affairs, and jobs, and instituted an a$15 billion privatization program. Many government employees opposed these changes; violent demonstrations took place when the budget was made public. While the revised budget was less radical, social unrest continued through 1997–1998, and the October 1998 election found Howard's coalition party's majority greatly reduced, while the ALP gained in influence, winning 18 more seats than it did in the 1996 election.

In July 1998, after twice being rejected by the Senate, the government passed amendments to the 1993 Native Title Act. The amendments removed the time limit for lodging native claims, but weakened the right of Aboriginal groups to negotiate with non-Aboriginal leaseholders concerning land use. In 1999 the government issued an official expression of regret for past mistreatment of Aborigines, but has opposed issuing the formal national apology sought by Aborigine leaders, fearing that would encourage claims for compensation.

In September 1999, Australian troops led the United Nations-sanctioned peacekeeping forces into East Timor, to protect civilians and control the militia violence following East Timor's referendum decision to seek full independence from Indonesia. Australian civilian and military personnel form part of the United Nations Mission of Support in East Timor (UNMISET), which was established to ensure the security and stability of East Timor after it became an independent nation-state on 20 May 2002. After 2002, unresolved maritime boundary disputes between Australia and East Timor, over unexploited petroleum resources in the Timor Sea, hampered revised maritime boundary disputes with Indonesia. Regional concerns were incorporated into these disputes when Australia declared a 1,000-nautical mile-wide maritime identification zone, and asserted land and maritime claims to Antarctica in 2004.

Parliamentary elections held on 10 November 2001 saw Howard's coalition increase its strength by over 3%. The ALP recorded its lowest primary vote since 1934. The Australian Greens recorded a substantial increase in strength. Two events stood out in the election campaign that swung the vote to the Liberal Party-National Party coalition. The first was the controversy over refugees and asylum-seekers. In August 2001, a Norwegian freighter that had rescued a boatload of asylum-seekers was denied permission to land the human cargo in Australia. The Howard government also tightened its border protection laws since then, making it nearly impossible for any asylum-seeker landing in the remote island outposts of Australia to claim refugee status. Instead, the would-be refugees are either turned back to Indonesian waters or transported to detention centers on Pacific nations such as Nauru or Papua New Guinea. John Howard declared, "We will decide who comes to this country and under what circumstances." The ALP criticized the government for this policy, which remained a major campaign issue. The terrorist attacks on the United States on 11 September 2001, and the subsequent US-led bombing campaign on the Taliban and al-Qaeda forces in Afghanistan, also were issues that dominated the Australian election campaign.

Asylum and detention issues continued to make headlines, as in December 2002 a Sydney center had an attempted mass breakout and riot, another had an armed standoff, and fires burned at two other centers. In November 2003, an Indonesian fishing boat, the Minasa Bone, with 14 Kurds aboard sought asylum on Melville Island, but was forced to return to Indonesia. However, between July and October 2003, in "Operation Helpem Fren" an Australian-led peacekeeping force headed on a mission to restore law and order in the Solomon Island.

In August 2002, Australia instituted a regional alliance with Malaysia to work together to fight suspected Islamic militants. On 12 October 2002, two popular nightclubs in Kuta on the Indonesian island of Bali were bombed, killing 202 people, 88 of them Australians. The bombings have been linked to the terrorist organization Jamaah Islamiah. They have been referred to as "Australia's September 11th." Australia added four more Islamic groups to its list of banned "terrorist" organizations, groups that would be targeted by police and security forces. In November 2002, in this same climate of terror some 1,000 Australian protesters demonstrated against globalization and a possible war with Iraq. By January 2003, Australia deployed troops to the Gulf ahead of a possible war. Public protest was immediate and in the first-ever vote of no-confidence against a serving leader, the Senate passed the motion against Prime Minister John Howard over his handling of Iraq crisis. In early 2003, possible involvement in the war with Iraq spawned massive protests. Some were unprecedented, like the protest of 750 women in Byron Bay who formed a heart around the words "No War." A senior intelligence analyst resigned in protest over the government's uncompromising policy on Iraq. Although claiming respect for the views of the protesters, Howard said his government would commit 2,000 military personnel to any US-led strike aimed at disarming Iraq. In October 2003, US president George W. Bush was heckled at his appearance in Australia's Parliament. Anti-Iraq war protests continued in 2004. However, in an online message in July 2004, a group representing itself as al-Qaeda's European branch threatened to turn Australia into "pools of blood" if troops were not withdrawn from Iraq. In September 2004, a car bomb exploded outside the gates of the Australian Embassy in Jakarta, Indonesia, killing 8 people and wounding more than 160. Australia continued to bolster its security with a US cruise missile program that provided the "most lethal" air combat capacity in the region.

In October 2004, Prime Minister John Howard achieved a strong victory in Australia's federal election, winning a historic fourth term. Results of the Senate elections of 9 October 2004 were: Liberal Party-National Party coalition, 39; Australian Labor Party, 28; Democrats, 4; Australian Greens, 4; and Family First Party, 1. The next Senate elections were scheduled for no later than June 2008. Results of the House of Representatives election held 9 October 2004 were: Liberal Party-National Party coalition, 87; Australian Labor Party, 60; and independents, 3. The next House of Representatives election was scheduled for no later than November 2007.

In January 2005, Australia's free-trade agreement with the United States that had been in the making for over a year became effective. In February 2005, Howard continued the government's support of the war in Iraq promising 450 extra troops to help reinforce Iraq's transition to democracy. By July 2005, 150 special forces troops were sent back into Afghanistan to resist rebel attacks. In 2005 Australia further bolstered regional security with a NATO agreement to cooperate in the fight against international terrorism, weapons proliferation and other global military threats, and with a security pact with Indonesia.

In the mid-2000s various natural disasters struck Australia. In 2003, after a 10-year drought in New South Wales, the lower reaches of the Great Anabranch of the Darling River ran dry. Between 2002 and 2005, brush fires devastated acreage, destroyed more than 380 homes, and killed 13 people. In 2004, locusts devastated crops as they swarmed through the Outback. In 2004, an earthquake measuring 8.1 on the Richter scale struck off the coast of the island state of Tasmania. This, the world's biggest earthquake in almost four years, caused no injury or damage. In 2005, tropical cyclone Ingrid ruined a tourist resort built to show off the beauty of northern Australia. Also between 2002 and 2005, massive accidental and purposeful animal kills occurred. About 60 beached, false killer whales died or were euthanized. The Australian military killed nearly 15,000 kangaroos to prevent overgrazing of an army base. To reduce their numbers, thousands of wild camels in the Outback were shot from helicopters. In 2002, Matilda, Australia's first cloned sheep died unexpectedly of unknown causes.

In 2004, Australia's Great Barrier Reef became the most protected reef on earth when Parliament passed a law putting a new zoning plan, banning commercial and recreational fishing, into effect. Increasing protection of the reef system, from 4.6 % to 33 % of the existing Marine Park and World Heritage area, adding more than 109,000 sq km (42,000 sq mi) to the current setting, the park became the world's largest marine protected area.

Australian authorities seized several major drug shipments. In 2003, an Australian navy vessel captured a us$48 million heroin shipment transported on a North Korean ship. In 2005, authorities made a world-record haul of the party drug, ecstasy, with the seizure of 5 million tablets worth us$14 million. In that same year a shipment of heroin packed in containers of plastic chairs from China was seized worth us$46 million and weighing 253 pounds.

In 2003–04 gay and lesbian issues were politicized. In May 2003, the resignation of Governor-General Peter Hollingworth followed his revelation that, as an Anglican archbishop in the 1990s, he permitted a known pedophile to remain a priest. In July of that same year, a congregation protested an Australian Christian church vote to allow homosexuals to become priests. In May 2004, the government introduced legislation to prohibit same-sex marriages and sought immigration rules to prevent gays and lesbians from adopting foreign children. The government also announced that same-sex partners would be recognized for the first time by federal authorities as dependents.

GOVERNMENT

The Commonwealth of Australia, an independent, self-governing nation within the Commonwealth of Nations, has a federal parliamentary government. The federation was formed on 1 January 1901 from six former British colonies, which thereupon became states. The constitution combines the traditions of British parliamentary practice with important elements of the US federal system. Powers of the federal government are enumerated and limited.

The government consists of the British sovereign, represented by a governor-general, and the Australian Parliament. Major General (Retired) Michael Jeffery became the new governor-general in August 2003, succeeding The Reverend Dr. Peter John Hollingsworth, who had held the post since 2001. Nominally, executive power is vested in the governor-general and an executive council, which gives legal form to cabinet decisions; in practice, however, it is normally exercised by a cabinet chosen and presided over by a prime minister, representing the political party or coalition with a majority in the House of Representatives. The number of cabinet ministers is variable.

Legislative power is vested in the Parliament, which is composed of a 76-member Senate, representing the states and territories, and a 150-member House of Representatives, representing electoral districts. Members must be Australian citizens of full age, possess electoral qualification, and have resided for three years in Australia. Twelve senators are elected by proportional representation from each state voting as a single electorate, and two senators each from the Northern Territory and Capital Territory. They are elected for six years, with half the members retiring at the end of every third year. House membership is not quite double that of the Senate, with a minimum of five representatives for each state. House members are elected according to population by preferential voting in specific electoral districts; they serve for three years, unless the House is dissolved sooner. There are two members each from the Australian Capital Territory and the Northern Territory; they have been able to vote on all questions since 1968. Parliament must meet at least once a year. Taxation and appropriation measures must be introduced in the lower house; the Senate has the power to propose amendments, except to money bills, and to defeat any measure it may choose.

The parties in the House elect their leaders in caucus. The party or coalition with a majority of seats forms the government. The leader of the majority party becomes prime minister and selects his cabinet from members of his party who are members of Parliament, while the leader of the principal minority party becomes leader of the official opposition. The party in power holds office as long as it retains its majority or until the governor-general decides that new elections are necessary; he exercised this inherent constitutional power during the 1975 crisis when he dismissed Prime Minister Whitlam and called for new elections.

In the 1990s, the Labour Government, under the leadership of Prime Minister Paul Keating, proposed a referendum to change Australia to a republican form of government. The idea gained wide support. After the 1996 federal elections, the coalition majority decided to host a constitutional convention to decide the issue. The constitutional convention met in February 1998, and voted in favor of replacing the British monarch as the head of Australia's government (73 voted in favor, 57 against), and Australia becoming a republic by the year 2001 (89 voted in favor, 52 against). But in November 1999's popular referendum, the proposal to convert Australia to a republic failed to carry even a single state.

Suffrage is universal for all persons 18 years of age and older, subject to citizenship and certain residence requirements. Voting is compulsory in national and state parliamentary elections.

POLITICAL PARTIES

Since most Australians have been shaped by the same language and by a similar cultural and religious heritage, their internal differences are largely based on economic issues. Attachments to the United Kingdom are compounded of sentiment, tradition, and economic advantage. Australian nationalism has been associated more closely with the Australian Labour Party (ALP) than with its rivals, who tend to regard Australian interests as almost identical with those of the United Kingdom. Because of Australia's geographical position as a "European people on an Asian limb," the economic element in its nationalism has been mixed with the fear of external conquest or domination.

Except in 1929–31, when a Labour government was in office, interwar governments were dominated by non-Labour groupings. When war seemed certain in 1939, the government was resolutely imperial, considering Australia to be at war automatically when the UK went to war. The Laborites challenged this view. While they did not oppose a declaration of war on Germany, they wanted the step to be taken so as to show Australia's independence.

Labour was in office from 1941 to 1949. The Liberal and Country Parties were in office as a coalition for a long period afterward, from 1949 to 1972, and again beginning in December 1975 (by that time, the Country Party had become the National Country Party, and it later became the National Party).

In the general elections of 13 December 1975, a caretaker government, formed the preceding month by the Liberal-National Country Party coalition after the dismissal of the Labour government of Prime Minister Gough Whitlam, obtained large majorities in both houses of the legislature. Although its majorities were eroded in the elections of December 1977 and October 1980, the coalition remained in power until March 1983, when Labour won 75 out of 147 seats in the House of Representatives. Robert Hawke, leader of the Labour Party, took office as prime minister; he was reelected in 1984, 1987, and 1990. Paul Keating replaced Hawke as Labour's leader, and as prime minister, in December 1991. This was the first time an Australian prime minister had been ousted by his own party. Keating led the ALP to an unprecedented fifth consecutive election victory in the 1993 general election, increasing both its percentage share of the vote and its number of seats in the legislature. In 1996, a Liberal-National Party coalition headed by John Howard ousted the ALP from the majority, with the Liberal-National coalition winning 94 seats compared to the ALP's 49 seats. John Howard was reelected prime minister in 1998, 2001, and 2004.

A direct descendant of the governments of the 1920s and 1930s, the Liberal-National coalition is principally linked with business (Liberal) and farming (National) and is officially anti-socialist. In economic and foreign affairs, its outlook is still involved with the Commonwealth of Nations, but it supports the United Nations, as well as the alliance with the United States in the ANZUS pact. It is sympathetic toward the new Asian countries and values the link with these countries afforded by the Colombo Plan. The Labour Party is a trade-union party, officially socialist in policy and outlook. It initially maintained an isolationist posture, but since the early 1940s, its policy has been a mixture of nationalism and internationalism.

Smaller parties include the Democratic Labour Party, the Communist Party, the Australian Democrats Party, the Green Party, and the One Nation Party. Since its formation in 1997, the One Nation Party's platform has featured racial issues. In the 1998 Queensland state elections, it won 11 of 89 seats. In the federal elections of that same year, the One Nation Party called for an end to Asian immigration and a restriction to Aboriginal welfare programs, but failed to win any seats. The Green Party increased its strength by 2.3% in the 2001 elections, while the One Nation Party lost 4.1% of its strength.

LOCAL GOVERNMENT

Powers not specifically granted to the federal government in the constitution are reserved to the states, although some powers (such as health, labor, and social services) are held concurrently. Each state has an appointed governor who serves as the representative of the sovereign. Except for Queensland, which has a unicameral legislature, the parliament in each state is composed of two houses. The lower houses—the dominant legislative bodies—are popularly elected; the upper houses are elected by franchise limited to property holders and to those with certain academic or professional qualifications. The state prime minister achieves office and selects his cabinet in the same fashion as does the Commonwealth prime minister. The Australian Capital Territory and the Northern Territory have unicameral legislative assemblies.

Local communities (variously designated as boroughs, cities, district councils, municipalities, road districts, shires, and towns) have limited powers of government, but they are responsible for some health, sanitation, light, gas, and highway undertakings. Even the largest cities do not provide their own police protection, nor do they conduct or support education; these are state functions. Local aldermen or councilors ordinarily are elected on a property franchise, and mayors are elected annually or biennially by the aldermen from among their own number or by taxpayers. State departments of local government regulate the organization of local government. State governments directly control some large interior areas.

JUDICIAL SYSTEM

The constitution vests federal jurisdiction in a High Court of Australia which consists of a chief justice and six associate justices appointed by the governor general. The High Court has the authority to conduct constitutional review of state and federal legislation and is the supreme authority on constitutional interpretation. The High Court also has original jurisdiction over interstate and international matters.

Until 1985, in certain cases involving state law, appeals from courts below the High Court could be taken to the Privy Council in the United Kingdom, the final court of the Commonwealth of Nations. Special cases may be referred to a 25-member federal court that deals with commercial law, copyright law, taxation, and trade practices. There is also a family court.

States and territories have their own court systems. Cases in the first instance are tried in local or circuit courts of general and petty sessions, magistrates' courts, children's courts, or higher state courts. Capital crimes are tried before state supreme courts.

The state and federal courts are fully independent. The High Court ruled that indigent defendants have a right to counsel at state expense. Criminal defendants are presumed innocent, and a plethora of due process rights include the right to confront witnesses and the right to appeal. In 2002 the High Court ruled on various Aboriginal cases. Aborigines were denied rights to oil or minerals found under tribal land now being used by mining companies. Two long running land claim cases were settled: in the northwest a remote area slightly larger than Greece was granted to an Aboriginal tribe; however, a claim in eastern Australia in the Murray River area, land now occupied by farmers, was denied.

The law provides for the right to a fair trial. In local courts, the magistrates sit alone. In the higher courts, trials are usually conducted by judge and jury. The law prohibits arbitrary interference with privacy, family, home, or correspondence.

ARMED FORCES

The Australian armed forces numbered 52,872 active personnel in 2005. The Army consisted of 26,035 active members, whose weaponry included 101 main battle tanks (30 are in storage), 619 armored personnel carriers, 566 artillery pieces, and 22 attack helicopters. The Navy had 13,167 active personnel, including 990 naval aviation personnel. Major naval units included six tactical submarines, 10 frigates, 15 patrol/coastal vessels, two amphibious land ships (with a helicopter landing platform), and 27 amphibious landing craft of various types. The Navy's aviation arm operated 23 anti-submarine warfare helicopters. The Air Force in 2005 had 13,670 active personnel. The service operated 140 combat capable aircraft, that included 22 bombers and 104 fighter ground attack aircraft. Reserve forces numbered 20,800 for all three services. Australia contributed to peacekeeping missions in East Timor, Ethiopia/Eritrea, Egypt, and the Middle East.

Australia's defense budget in 2005 was us$13.2 billion.

INTERNATIONAL COOPERATION

Australia is a charter member of the United Nations, to which it gained admission on 1 November 1945. It belongs to ESCAP and all the nonregional UN specialized agencies, such as the FAO, IFC, ILO, UNESCO, WHO, and the World Bank. Australia became a member of the WTO on 1 January 1995. The country participates in the Commonwealth of Nations and ANZUS (Australia, New Zealand, United States Treaty).Other regional memberships include the Asian Development Bank, the European Bank for Reconstruction and Development, APEC, the ASEAN Regional Forum, Colombo Plan, OECD, South Pacific Commission, the Pacific Community, the South Pacific Regional Trade and Economic Cooperation Agreement, the Pacific Island Forum, and the Paris Club (G-10). Australia also has a position on the Permanent Court of Arbitration.

The country belongs to the Australia Group, the Nuclear Energy Agency (of the OECD), the Nuclear Suppliers Group (London Group), the Zangger Committee, and the Organization for the Prohibition of Chemical Weapons. Australia sent troops as part of the coalition forces in the Persian Gulf War (1991), in Afghanistan (2002), and in Iraq (2003). The country has also supported UN efforts in Ethiopia and Eritrea (est. 2000) and East Timor (est. 2002).

In environmental cooperation, Australia is part of the Antarctic Treaty; the Basel Convention; conventions on Biological Diversity, Whaling, and Marine Life Conservation; Ramsar; CITES; the London Convention; the International Tropical Timber Agreement; the Kyoto Protocol; the Montréal Protocol; MARPOL; the Nuclear Test Ban Treaty; and UN Conventions on the Law of the Sea, Climate Change, and Desertification.

ECONOMY

Australia has a prosperous Western-style capitalist economy with a high per capita gross domestic product (GDP), on par with the four dominant Western European nations of Germany, France, the United Kingdom, and Italy. Economic activity is focused on the country's eastern seaboard, where most of the population lives. New South Wales generates about 35% of Australia's GDP, while Victoria generates 26% and Queensland 17%. There is a clear divide in economic performance between the states: typically, growth in South Australia and Tasmania is considerably below the overall national rate, and Western Australia is heavily dependent upon the volatile mining industry.

Since the late 1980s, the government has been engaged in a program to transform the economy's orientation from import substitution industrialization (ISI) to export-driven, high-tech globalization. This helped introduce an economic expansion from 1991 that as of 2005 had continued uninterrupted—the longest economic expansion in Australia since 1945—despite slowdowns occasioned by the 1997 Asian financial crisis, the 2001–02 global economic downturn, and one of Australia's worst-ever droughts in 2003. Strong consumption growth provided the momentum for Australia to withstand the Asian financial crisis, as the buoyant domestic economy offset the deterioration in regional demand for Australian exports. Together with a large increase in spending on private housing, consumption growth also served to cushion the economy against the effects of the 2001–02 economic downturn and the 2003 drought.

As in most developed countries, the service sector accounts for the largest portion of GDP, at nearly 70% in 2004. The largest service industry is finance, property, and business services. Other major service industries include retail and wholesale trade, transportation and communications, and construction. The most rapidly growing service industry from 2000–05 was communications (with an average annual growth rate of 6.4%), while the construction sector showed great volatility. The largest segment of the manufacturing sector is production of machinery and equipment. Mining and agriculture account for most exports.

Australia's flexible exchange rate regime has helped the economy rapidly adjust to the vicissitudes of international commodity markets. It is the world's largest wool-producing country. The country is one of the great wheat exporters, and also exports large quantities of dairy and meat products. In minerals, Australia is a major world supplier of iron ore, bauxite, lead, zinc, and copper; coal, beach sand minerals, and nickel have become major industries as well. Since the 1960s manufactured goods have provided an ever-increasing share of the country's exports, with elaborately transformed manufactures (ETMs), like automobiles, high-speed ferries, and telecommunications equipment, making up a significant percentage of exports (approximately 20%).

Australia's last economic recession was in 1990, from which it began to recover in mid-1991. Economic growth, supported by rising consumption and higher export demand, reached 4% in the fourth quarter of 1993. However, the unemployment rate of about 11% was near a postwar record. From this high point, unemployment has been on a steady decline in Australia—to 8.5% unemployment in 1995, 7.5% in 1999, and 6.3% in 2000, albeit with an increase in 2001 to 6.7%. The unemployment rate fell, from 6.3% in 2002 and 5.9% in 2003, to an estimated 5.1% in 2004. Real GDP growth fell to 3.7% in 1997, but recovered in 1998 and 1999 to an average of 5%, helped by reforms that included currency depreciation and a redirection of exports to non-Asian countries. Real GDP growth fell to 3.1% in 2000 and 2.6% in 2001. It climbed to 3.6% in 2002, before falling to 2.7% in 2003. GDP was expected to increase by a healthy 3.8% in 2005 and by 3.6% in 2006. The inflation estimate for 2005 was 2.8%—up from 2.3% in 2004—which reflected the increased price of petroleum that year. Inflation was forecast to average 2.7% in 2006 and 2.6% in 2007.

INCOME

The US Central Intelligence Agency (CIA) reports that in 2005 Australia's gross domestic product (GDP) was estimated at us$642.7 billion. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange based on current dollars. The per capita GDP was estimated at us$32,000. It was estimated that agriculture accounted for 4% of GDP, industry 26.4%, and services 69.6%.

According to the World Bank, in 2003 remittances from citizens working abroad totaled us$2.259 billion or about us$114 per capita and accounted for approximately 0.4% of GDP.

The World Bank reports that in 2003 household consumption in Australia totaled us$245.91 billion or about us$12,357 per capita based on a GDP of us$522.4 billion, measured in current dollars rather than PPP. Household consumption includes expenditures of individuals, households, and nongovernmental organizations on goods and services, excluding purchases of dwellings. It was estimated that for the period 1990 to 2003 household consumption grew at an average annual rate of 3.6%.

LABOR

As of 2005, the Australian workforce numbered an estimated 10.42 million people. In 2004, the occupational pattern was estimated as follows: services 70%, industry 26.4%, and agriculture 3.7%. The unemployment rate stood at an estimated 5.2% in 2005.

As in many other highly developed industrial nations, union membership has declined significantly: from around 53% of the workforce in 1980 to 22.7% as of 2005. The drop has resulted in a consolidation of labor unions: there were 300 unions in 1989, but only 188 in 1993. The traditionally de facto right to strike was legalized in 1994. The Federal Workplace Relations Act (WRA) puts limits on strikes and unfair dismissal.

Although there is a standard minimum wage (us$362.35 per week as of 2005), 80% of workers have their pay determined by minimums that apply to their particular industry or profession. All of these wages are sufficient to support a family. The standard workweek is under 40 hours, generally from Monday through Friday. Nearly all Australian workers receive four weeks of annual vacation, many at rates of pay 17.5% above regular pay. There is no nationally mandated minimum age for employment, but state-imposed compulsory education effectively precludes children under 16 years old from full-time work.

AGRICULTURE

Australia is an important producer and exporter of agricultural products and a major world supplier of cereals, sugar, and fruit. Arable land in 2002 comprised about 48.6 million ha (120 million acres), representing about 6.3% of total land area. However, approximately 90% of the utilized land area is in its natural state or capable of only limited improvement and is used largely for rough grazing. Droughts, fires, and floods are common hazards. The area actively cultivated for crops is 6.9% of all land area. Lack of water is the principal limiting factor, but unsuitable soil and topography are also important determinants. As of 2002, some 4.9% of cropland was irrigated. Agriculture has declined from 20% of GDP in the 1950s to about 4% in 2002. Agricultural exports, which accounted for 60% of Australia's exports in the 1960s, now account for 25%. Gross farm product in 2003 was a$32.9 billion. New South Wales and Queensland account for half of the total crop value.

Grain crops have been cultivated since the first year of European settlement. In November 1790, plantings around Sydney of wheat, barley, and corn totaled 34 ha (84 acres). Today, winter cereals are cultivated in all states. Three cereals are often grown on one farm for grain, green fodder, and hay for livestock. Most wheat, barley and about half the oats are grown for grain. The estimated wheat area sown for grain increased from 11,135,000 ha (27,515,000 acres) in 1986/87 to 13,800,000 ha (34,000,000 acres) in 2004/05. Production of wheat in 2004/05 was an estimated 22.6 million tons. Western Australia and New South Wales are the chief wheat-producing states. In 2004/05, Australia produced 7.7 million tons of barley, 1.3 million tons of oats, and 2.2 million tons of sorghum. In 2003, 1.2 million tons of potatoes were produced.

Sugarcane is grown along a 2,000 km (1,200 mi) stretch of coastal land in New South Wales and Queensland. About 95% of sugar production comes from Queensland. A normal crushing season is from June to December. The estimated 2005 harvest from 441,000 ha (1,090,000 acres) yielded about 38.6 million tons of sugar cane. The industry faces problems of excessive supply and price elasticity; sugar is sold primarily to Japan, the United States, Canada, South Korea, Malaysia, China, and Singapore. In 2005, some 1,350 ha (3,340 acres) were planted with canola (rapeseed), and about 1,500 tons were produced.

Cotton has been grown in the coastal river valleys of Queensland for more than a century but on a limited scale, and it has provided only a small percentage of Australia's lint requirements. In the 1980s, however, successful development of cotton-growing areas in New South Wales and Western Australia resulted in spectacular production increases. In 1985/86, 685,000 tons of cotton were produced (almost triple the amount in 1979/80); in 2004, production amounted to 490,000 tons.

Australia's wide climate differences permit the cultivation of a range of fruits, from pineapples in the tropical zone to berry fruits in the cooler areas of temperate zones. Orchard fruit trees included orange, 7.1 million; apple, 8.4 million; pear, 1.3 million; and mango, 1.0 million. About 11 million ha (27 million acres) are cultivated for bananas. Production of fruit in 2004 included (in thousands of tons): oranges, 407; bananas, 265; pineapples, 105; pears, 150; peaches, 115; tangerines, 97; lemons and limes, 31; apricots, 20; grapefruit, 13; mangoes, 39; and plums, 30. Australia's wine industry is also growing; viticulture engaged 143,000 ha (353,400 acres) and produced 1,497,000 tons of grapes for winemaking, drying, and other uses in 2003.

ANIMAL HUSBANDRY

About 52% of Australia's land is used in stock raising. Animal husbandry is concentrated in the eastern highlands, but it spreads across the wide interior spaces and even to low-rainfall areas, in which up to 12 ha (30 acres) are required to support one sheep and from which cattle must be taken overland hundreds of miles to coastal meat-packing plants.

Sheep raising has been a mainstay of the economy since the 1820s, when mechanization of the British textile industry created a huge demand for wool. In 1800, there were 6,124 sheep in Australia; by 1850 there were 17.5 million; by 1894, some 100 million; and in 1970, a record high of some 180 million. Sheep numbers fell to 120 million in 1994/95 (the lowest since 1953/54) due to severe drought. Australia's flocks, some 102.7 million in 2005, now constitute approximately 10% of the world's sheep but produce about 25% of the world's wool supply. That year, New South Wales and Western Australia accounted for 35% and 25% of the nation's sheep, respectively. Wool production, the largest in the world, was an estimated 528,000 tons in 2004. About 95% is exported (mostly to China); nevertheless, wool, which represented 50% of Australia's merchandise exports (by value) in 1957/58, constituted only 6% by the mid-1990s. Since 1990, wool production has fallen by 35%, due in part to declining world demand. Australia accounts for 75% of the world's exports of wool apparel. During periods of great drought, such as the early 1980s, the number of sheep has diminished by 40 million or more. (A drop of 60 million occurred in the droughts of 1993/94.) In the better lands, however, animal husbandry ranks high on a world scale. Large, scientifically managed stations have produced some of the world's finest stock. Sheep of the Merino breed, noted for its heavy wool yield, make up about three-quarters of Australian flocks.

In 2005 there were an estimated 2.5 million hogs and 24.7 million head of beef cattle and 3 million head of milk cattle. In 2004, meat production totaled an estimated 3,750,000 tons. Of these, beef and veal constituted 2,033,000 tons; poultry, 681,000 tons; mutton and lamb, 561,000 tons; and ham, pork, and bacon, 406,000 tons. Butter production in 2004 (in factories) amounted to an estimated 130,000 tons; whole milk was estimated 10.4 million tons; and cheese (factory production) was about 364,000 tons. In 2000, the government implemented a dairy deregulation plan removing price supports. Egg production is around 155,000 tons per year, predominantly for domestic consumption. Australia produces some 25,000 to 30,000 tons of honey per year, half of which is exported. Beef exports in 2003 were a$3.9 billion. Nearly 60% of total beef production is exported annually, most of it going to the United States, South Korea, and Taiwan.

FISHING

Fishing is relatively unimportant, even though the Australian Fishing Zone is the third-largest in the world. Even with a low per capita fish consumption, Australia must import about half its normal requirements. Pearl and other shell fishing are relatively significant. The 2003 catch of fish, crustaceans, and mollusks totaled 258,032 tons, 99% from marine waters. Exports of fishery products in 2003 were valued at us$894.6 million.

FORESTRY

Forests and woodlands cover 162.7 million ha (402 million acres), or about 21% of the total land area; most timberland is neither exploited nor potentially exploitable. Native forests cover 50.2 million ha (124 million acres), 31% of the forested area, of which 23% is privately owned and 77% is state forest, crown land, and permanent national parks or reserves. National parks and wildlife preserves occupy about 3.8 million ha (9.4 million acres), or 9% of the total forestlands. About 60% of the state forest areas are available for sustainable logging; crown lands are mostly leased for cattle grazing with limited timber production. Native forests consist principally of hardwood and other fine cabinet and veneer timbers; eucalyptus dominates about 35 million ha (86.5 million acres). Limited softwood resources had become seriously depleted, but new plantations were established in the 1980s at a rate of 33,000 ha (81,500 acres) annually. Plantation forests cover 1,666,000 ha (4,117,000 acres), of which 59% is softwood. Softwood plantations supply more than half the timber harvested annually. Since 1990, plantings have shifted from primarily softwood to mostly hardwood. About 90% of the standing hardwood plantations have been planted since 1990. Although Australia is a net importer of forest products, the forest and wood products industries contribute 2% to GDP.

Roundwood production in 2003 totaled about 29.9 million cu m (1.06 billion cu ft), with exports of 1,374,000 cu m (48.5 million cu ft). Softwood log production in 2004/05 was estimated at 16.5 million cu m (582 million cu ft). Softwood log production grew over 5% during 1995–2005, as a response to historically high levels of building activity driven by strong economic growth and low interest rates. Australia's leading forest products are softwood logs and chips. Whereas all of the softwood log production is consumed at home, all commercial woodchip production is exported.

MINING

Australia is one of the world's leading producers of minerals, ranking among the world's top nations in terms of economic demonstrated resources (EDR) for lead, mineral sands, nickel, silver, tantalum, uranium, and zinc. In addition, its EDR ranked the country among the top six for bauxite, black coal, brown coal, cobalt, copper, gem and near-gem diamonds, gold, iron ore, lithium, manganese ore, and rare-earth oxides, The country is virtually self-sufficient in mineral commodities, commercially producing more than 60 minerals and metals. In 2003, Australia was the world's leading exporter of alumina, bauxite, coal, diamond, ilmenite, iron ore (the country's fourth-largest minerals earner), refined lead, rutile, and zircon.

Gold production in 2003 was 282,000 kg, down from 296,410 kg in 2000. Western Australia was the largest gold producer. Australia has around 8% of the world's gold resources, and in terms of output ranks third in the world, behind the Republic of South Africa and the United States, respectively.

In 2002, Australia produced 16,382,000 tons of alumina and 54,135,000 tons of bauxite (for the 30th consecutive year). Bauxite deposits in northern Queensland were among the world's largest; those in the Northern Territory were also in production.

Australia also ranked second in iron ore (with 15% of world production), mined cobalt, and mined zinc; ranked third in mined gold (with 10% of the world's output) and mined nickel; and was fourth in mined copper. Australia produced 2,077 metric tons of mined silver in 2002.

In 2002, Australia produced 15,136,000 carats of gem diamond (14,656,000 carats in 1998), and 18,500,000 carats of industrial diamond (11,992,000 carats in 1998). Reserves were estimated at 82.4 million carats of gem and near-gem diamond, and 85.5 million of industrial diamond. Argyle's principal diamond ore body, the AK-1 lamproite pipe, near Kununurra, Western Australia, produced nearly twice the amount of diamond as any other in the world, able to supply 42 million carats a year, including some of the highest diamond grades—about 5% was of gem quality, including a small number of very rare pink diamonds; 40% was of near gem quality; and 55% was of industrial quality.

The value of opal produced in 2002 was a$62 million. Lightning Ridge, in New South Wales, was the world's major source of black opal. Australia also produced 30% of the world's rough sapphire, valued at a$1 million in 2002; commercial production came from alluvial deposits. Jade was discovered in the form of nephrite, at the world's largest identified resource, in the Eyre Peninsula. Australia produced most of the world's chrysoprase, known as Australian jade. Other gemstones produced in the country include agate, amethyst, chiastolite, emerald (aquamarine), garnet (25,000 metric tons annually, from 1999 through 2002), rhodonite, topaz, tourmaline, turquoise, and zircon.

Iron ore production in 2002 was 187,219,000 tons, 97% percent of iron ore came from the Pilbara region. Reserves were estimated to be 15,500 million tons.

The country produced 883,000 tons of contained copper in 2002, up from 560,000 in 1997. Reserves were estimated to be 22.2 million tons. WMC's Olympic Dam underground mine, in South Australia, was the country's largest copper mine, and a us$1.1 billion expansion program was expected to increase production from 200,000 tons per year to 245,000 tons. Production of gold and silver at the mine in 1999 was 2,426 kg and 26,438 kg, respectively.

Zinc output in 2002 was 1,469,000 tons, 16% of world output, with reserves of 32 million tons. The McArthur River base-metal mine, in the Northern Territory, had record-setting tonnages of bulk concentrate.

In 2002, the country produced 2,187,000 tons of manganese ore (48% manganese content), with reserves of 134 million tons. Groote Eylandt Mining Co. mined about 10% of the world's manganese at its 2.4-millionton capacity Eylandt open cut operations, in the Gulf of Carpentaria. Lead output, 683,000 tons (reserves of 14.6 million tons); nickel, 208,000 tons, all from Western Australia, with reserves of 10.6 million tons; and tin, 6,268,000 tons, all by Australia's only producer, Renison Bell Mine, in Tasmania, with reserves of 100,900 tons.

Australia had a substantial portion of the world's mineral sand resources—about 29% for ilmenite, 31% for rutile, and 46% for zircon—and in 2002 produced 28% of the world's ilmenite (1,917,000 tons, with reserves of 180.9 million), 55% of the world's rutile (218,000 tons, with reserves of 19.8 million), and 42% of the world's zircon, with reserves of 26.3 million tons. The dominant producer of zircon was Iluka Resources, with a capacity of 300 tons per year. Australia was also one of the world's leading producers of titanium and zirconium (373,000 tons in 2000). Gwalia Consolidated was the world's largest producer of lithium minerals (spodumene) and of tantalum in the form of concentrates, supplying a quarter of the world's annual tantalum requirements. Reserves were estimated at 156,000 tons lithium and 24,700 tons of tantalum. In 2000, the Greenbushes Mine, south of Perth, was the world's largest and highest-grade resource for spodumene, 64,983 tons of which was produced in the country, down from 117,094 in 1996. Gwalia controlled the world's largest stock of tantalum resources and produced 415 tons from two operations in Western Australia.

Other industrial minerals produced in Australia in 2002 included clays, diatomite, gypsum (3.8 million tons), limestone (20 million tons), magnesite (484,314 metric tons, with reserves of 246 million tons), phosphate rock (2,024,580,000 tons), salt, sand and gravel, silica (4.5 million tons), and dimension stone (120,000 tons).

ENERGY AND POWER

Between 1982/83 and 1993/94, energy consumption increased 36% for industrial, commercial, and residential use, according to the Australian Bureau of Statistics. Because of its relatively scant hydroelectric resources and only recently discovered oil, Australia has had to rely on coal-burning steam plants for about three-quarters of its public power requirements. The remainder has been supplied by hydroelectricity, gas turbines, and internal combustion generators. In 2002, electricity generation totaled 209.616 billion kWh, of which 91.2% came from fossil fuels, almost 7.1% from hydropower, none from nuclear energy, and 1.2% from other sources. In the same year, consumption of electricity totaled 194.943 million kWh. Total capacity in 2002 was 45.267 million kW.

Major electric power undertakings, originally privately owned and operated, were by 1952 under the control of state organizations. In the early 1990s however, many of the Australian state governments began privatizing sections of their energy utilities. Manufacturing has been developed most extensively in or near coal areas, and distribution of electricity to principal users is therefore relatively simple. All major cities except Perth use 240-volt, 50-cycle, three-phase alternating current; Perth has 250-volt, 40-cycle, single-phase alternating current.

The Snowy Mountains hydroelectric scheme in southeast New South Wales, Australia's most ambitious public works project, comprises 7 power stations, a pumping station, 16 large and many smaller dams, and 145 km (90 mi) of tunnels and 80 km (50 mi) of aqueducts. It provides electricity to the Australian Capital Territory, New South Wales, and Victoria. The project took 25 years to complete and has a generating capacity of 3,740 MW (about 10% of Australia's total generating capacity). The Snowy Mountains scheme and other large power projects in New South Wales, Victoria, and Tasmania have greatly increased the nation's aggregate installed capacity. The only state with water resources sufficient for continuous operation of large hydroelectric power stations is Tasmania, which possesses about 50% of Australia's hydroelectric energy potential. Production and use of such power is on the increase throughout the country, however.

As of 2002 Australia was the world's fourth-largest coal producer. Since 1986, it has been the world's largest exporter of coal. In that time exports have doubled, reaching 162 million tons by 1997. Exports of black coal alone totaled about 85 million tons in 2001. In that year exports account for more than half of total coal production. The major market is Japan, which imports about 50% of Australia's coal exports. At home, coal supplied 44% of the country's energy as of 2002. Production in 2002 amounted to 376.8 million tons; around 80% of Australia's coal was bituminous and 20% was lignite. New South Wales and Queensland account for more than 95% of Australia's black coal production and virtually all its exports. Australia has over 55 billion tons of recoverable reserves of bituminous coal, an amount that could satisfy production levels for about 260 years at current levels of demand.

In early 1983, Alcoa Australia signed a contract with the Western Australian State Energy Commission, at an estimated cost of a$11.2 billion, to supply natural gas from the Northwest Shelf (the North West Gas Shelf Project—NWGSP). In 1985, eight Japanese companies agreed to buy 5.84 million tons of liquefied natural gas (LNG) a year from 1989 to 2009. Capacity has continued to increase thanks to completion of additional offshore platforms and onshore facilities. The a$4 billion expansion of the North West Shelf LNG Project added seven million tons to LNG production when it began operation in 2003. Proven natural gas reserves totaled 2.46 trillion cu m (86.9 trillion cu ft) as of end 2004. In early 1992, petroleum exploration began in the Timor Sea; the area had been off limits for over a decade in order to establish a zone of cooperation with Indonesia. In 2001 Australia, Phillips Petroleum, and the newly independent state of East Timor renegotiated arrangements for development of the Bayu Undan oil field in the Timor Sea, with 90% of the royalties going to East Timor.

Oil production, which began in 1964, totaled 541,000 barrels per day in 2004; proven reserves at the end of 2004 totaled 4 billion barrels. Commercially exploitable uranium reserves are estimated at 474,000 tons. Rapid increases in demand for oil have outpaced supply, leaving Australia with a growing oil deficit. It is estimated that self-sufficiency in oil could plummet to only 40%.

INDUSTRY

In proportion to its total population, Australia is one of the world's most highly industrialized countries. The manufacturing sector has undergone significant expansion in recent years and turns out goods ranging from traditional textiles and processed foodstuffs to automobiles, chemicals, specialty steels and plastics, to elaborately transformed manufactures (ETMs), such as high speed ferries, telecommunications equipment and motor vehicles. The leading manufacturing industries are food and beverage processing; machinery and equipment manufacturing; metal product manufacturing; and petroleum, coal, chemical and associated product manufacturing. In 1995, manufacturing accounted for us$48.8 billion, or about 15% of GDP. By 2000, the value of manufactures had fallen in absolute and relative terms, to us$45.5 billion, or about 13% of GDP, continuing 20 years of post-industrial transformation to a services-dominated economy. In 2000, however, manufacturing grew by 4%, above the overall economy's rate of 3.2%. In 2004, industry accounted for 26.4% of GDP, and the industrial growth rate was 1.9%.

Australia is self-sufficient in beverages, most foods, building materials, many common chemicals, some domestic electrical appliances, radios, plastics, textiles, and clothing; in addition, most of its needed communications equipment, farm machinery (except tractors), furniture, leather goods, and metal manufactures are domestically produced. Recent years have seen the rapid growth of high-tech industries including aircraft, communications and other electronic equipment, electrical appliances and machinery, pharmaceuticals, and scientific equipment, and the government has supported the growth of these new sectors. High-tech industry contributes a substantial amount to the economy, with an annual growth rate of 20% expected until 2010. Many manufacturing companies are closely connected—financially and technically—with manufacturers in the European Union, the United States, or Asia.

SCIENCE AND TECHNOLOGY

Two organizations support most of Australian government research and development. The Commonwealth Scientific and Industrial Research Organization (CSIRO), headquartered in Melbourne and founded in 1926, is an independent government agency that supports research and development in all fields of the physical and biological sciences except defense science, nuclear energy, and clinical medicine. The Defense Science and Technology Organization (DSTO), headquartered in Canberra, supports military research and development by providing scientific and technological assistance to the Australian Defence Force and Department of Defence.

Several issues dominate current Australian science and technology policy: the concentration of research and development (R&D) in national research centers; tensions among and between university researchers over allocation of R&D funding resources; effective communication between industry, government, and university researchers; the growing role which industry is playing in support of national R&D development; and the role which Australia is playing in international science and technology collaboration. High-technology exports totaled us$2.945 billion in 2002 or 16% of manufactured exports.

In 2000, R&D spending totaled us$7,759.748 million, or 1.55% of GDP, of which the government funded 45.7% of all R&D and industry about 46.3%. Higher education accounted for 4.8%, with 3.3% coming from foreign sources. In 1996, there were 73 agricultural, medical, scientific, and technical professional associations and societies, the foremost of which is the Australian Academy of Science, founded in 1954 by royal charter. The Australian Academy of Technological Sciences and Engineering was founded in 1976. The Australian Science and Technology Council (ASTEC) provides an independent source of counsel for the Australian Prime Minister; its role was augmented in 1986 by the creation of a post for a Minister Assisting the Prime Minister with portfolio for science and technology.

In 1996, Australia had 36 universities offering courses in basic and applied science. In 1987–97, science and engineering students accounted for 24% of college and university enrollments. In 2001, 23.1% of all bachelor's degrees awarded were in science (natural sciences, mathematics and computers, and engineering). The Powerhouse Museum in Sydney, the largest museum complex in Australia, has 25 exhibitions in the areas of science, technology, social history, and decorative arts.

DOMESTIC TRADE

There are many small specialty shops, but in the larger cities department stores sell all kinds of items. Supermarkets have been widely established and telephone shopping and delivery services are becoming popular. The number of franchise companies is growing. Reports indicate that in 1988, there were 184 business-format franchised companies in the country. By 2004, there were about 850 business franchise systems, a 21% increase over 2002. In 2004, there were approximately 54,000 franchise units, 14% more than in 2002. Ninety-two percent of franchisee systems are of Australian origin. These franchised businesses are about 2.5 times more successful than non-franchised businesses. Installment selling, called hire purchase, is used in the sale of many products. In the past few years, direct marketing has grown at an annual rate of about 7%. Reliable commercial credit agencies cover all the main cities and many smaller towns.

The usual business hours are from 9 am to 5 pm, Monday–Friday, with some businesses also open from 9 am to noon on Saturday. Retail shops generally stay open later, usually with evening hours at least one day a week. Restaurants and convenience stores are open to later hours. Many retail establishments are open on Saturday and Sunday. Banks are generally open from 9 am to 4 pm, Monday to Friday. Travelers checks and credit cards are widely accepted. A 10% goods and services tax (GST) replaced wholesale and state sales taxes as of 1 July 2000. The GST applies to most goods and services with a few exceptions, including basic foods, education, and health care.

Most advertising is done through the press, radio, and television. Principal advertising agencies are in Sydney and Melbourne.

FOREIGN TRADE

Measured by foreign trade volume per capita, Australia is one of the great trading nations, and it continues to show a steady rise in trade volume. Throughout the 1970s, exports regularly exceeded imports. In the early 1980s, however, there was a trade deficit, which continued into the 1990s and 2000s.

Australia is mainly an exporter of primary products and an importer of manufactured and semi-finished goods, although the export of manufactured goods increased by 10% per year during the 1990s. Transport or re-export trade is negligible. In recent years, Australia's foreign trade has tended to shift from European markets to developing Asian nations, which now account for nearly 60% of Australia's exports, compared with about 10% in 1975.

Although mining and agriculture are small in terms of GDP (under 5% each), they account for a large share of exports. Rural and mineral exports (including processed goods) account for about two-thirds of total merchandise exports. Australia's commodity exports are dominated by fossil, mineral, and plant fuels, including coal, lignite, and peat (11%). Wool may only amount to a small percentage (2.5%) of Australia's exports, but Australia supplies the world with almost half of its imported wool. Food products such as wheat, sugar, and meat exports tie with fuel exports as one of the top commodities leaving the country.

In percentage terms, Australia's main exports in 2004 were: metal ores, minerals, and metals (20%); coal, coke, and petroleum (19%); machinery (12%); and gold (6%). Its major imports in 2004 were machinery (23%); consumer goods (23%); transportation equipment (20%); and fuels and lubricants (8%). Australia's leading markets in 2004 were Japan (18.9% of total exports); ASEAN (11.7%); the European Union (EU) (11.2%); China (9.3%); and the United States (8.1%). Leading suppliers in 2004 were the EU (23.7% of all imports); ASEAN (16.4%); the United States (14.5%); China (12.6%); and Japan (11.8%).

BALANCE OF PAYMENTS

In 2004, merchandise exports rose to us$87.1 billion (balance-of-payments basis), but imports of goods grew much faster, to us$105.3 billion, widening the trade deficit to us$18.2 billion, from us$15.3 billion in 2003. This led to an increase in the current account deficit from us$30.4 billion (6% of GDP) in 2003 to us$40 billion (6.5% of GDP) in 2004. The current account balance over the period 2001–05 averaged–5% of GDP. The current account deficit was expected to narrow to around 5.4% of GDP by 2007, from 6.5% of GDP in 2004.

Australia's exports in the early 2000s reflected the increasingly value-added direction of Australian industry. From 1993 to 2000,

manufactured exports grew at an average rate of around 8% per year. Primary products remain the dominant export sector in value terms, however. Nearly half of services credits are accounted for by tourism, while services debits are dominated by transportation services and outbound tourism.

BANKING AND SECURITIES

The Reserve Bank of Australia, the central bank reconstituted in 1960, functions as a banker's bank and financial agent of the federal and some state governments, issuing notes, controlling interest and discount rates, mobilizing Australia's international reserves, and administering exchange controls and government loans. It was formerly connected with the Commonwealth Trading Bank—a general bank, the Commonwealth Savings Bank, and the Commonwealth Development Bank. The banking system has undergone progressive privatization and foreign investment since the deregulation of financial markets in the 1980s under the Wallis Inquiry into the Australian financial system of 1981. In 1996, the government privatized the Commonwealth Banks in the Reserve Bank Act, separating the Commonwealth Banks from the Reserve Bank. Rural credits, mortgage banking, and industrial financing are now administered wholly by private-owned banks. Fifty banks operate in Australia, 35 of which are foreign-owned; the largest banks include National Australia Bank, ANZ, Commonwealth Bank, and Westpac. The Australian Prudential Regulation Authority (APRA) regulates the banks and other financial institutions.

The Australian currency has floated freely since 1983, and was allowed to fall dramatically from 1984 to 1987. The Reserve Bank pointed to an expected upturn in economic activity in 1997 and anticipated a continuation of low inflation. It also indicated that firming economic growth, together with the uncertainties surrounding wage outcomes, made changes to monetary policy settings unlikely. Interest rate cuts were not on the bank's policy agenda, as it waited to see the impact of reductions made in late 1996. From 1996 to 2000, the Australian dollar fell by almost 30% against the US dollar, losing 12% in the first half of 2000 alone. The Reserve Bank increased interest rates a number of times in order to stave off inflation, but the introduction of the 10% GST in July threatened to raise inflation despite monetary policies. The International Monetary Fund reports that in 2001, currency and demand deposits—an aggregate commonly known as M1—were equal to us$85.3 billion. In that same year, M2—an aggregate equal to M1 plus savings deposits, small time deposits, and money market mutual funds—was us$258.7 billion. The money market rate, the rate at which financial institutions lend to one another in the short term, was 5.06%.

The Australian stock market is where equity (shares), units in listed trusts, options, government bonds, and other fixed-interest securities are traded. It is operated on a national basis by the Australian Stock Exchange (ASX), which is responsible for the day-to-day running and surveillance of stock market trading. The ASX was established on 1 April 1987, with the passage of the Australian National Guarantee Fund Act through the Commonwealth Parliament. This Act converted the six former capital city Stock Exchanges into state subsidiaries of the ASX. As of 2004 there were 1,515 companies listed on the ASX. Market capitalization as of December 2004 stood at us$776.403 billion, with the ASX up 22.8% from the previous year at 4,050.6.

INSURANCE

Australia has one of the most competitive insurance markets in the world, with a large number of insurers competing for business from a small population base. Established in 1987, the Insurance and Superannuation Commission (ISC) was the ultimate regulatory authority for the insurance industry in Australia. It was replaced by the Australian Prudential Regulation Authority. Life insurance firms, through premiums on policies and interest earned on accumulated funds, account for substantial annual savings. The companies invest in government securities, in company securities (including shares and fixed-interest obligations), and in mortgage loans and loans against policies in force. Most loans (to individuals and building societies) are for housing.

Motorvehicle third-party liability, workers' compensation, professional indemnity for certain professions, and Medicare coverage are compulsory. As of 2003, the value of direct premiums written totaled us$40.385 billion, with life premiums accounting for the largest portion at us$22.341 billion. The country's top non-life insurer that same year was QBE Group, with earned premium income from domestic business, including reinsurance (excluding public sector insurers) of us$3.919 billion, while the top life insurer that year was AMP, with gross life written premiums of us$4,908.7 million.

PUBLIC FINANCE

The fiscal year begins 1 July and ends 30 June. After World War II, the Commonwealth government assumed greater responsibility for maintaining full employment and a balanced economy, as well as for providing a wide range of social services. Social security and welfare payments are the largest category of government expenditure. The central government has financed almost all its defense and capital works programs from revenue and has made available to the states money raised by public loans for public works programs.

Deficits are common. In the latter half of the 1980s, however, five consecutive years of significant surpluses occurred as a result of expenditure restraints. The late 1990s also saw consistent surpluses. In 2000, the government implemented a 10% goods and services tax (GST) on all items, while income tax and corporate tax rates were cut.

The US Central Intelligence Agency (CIA) estimated that in 2005 Australia's central government took in revenues of approximately us$249.8 billion and had expenditures of us$240.2 billion. Revenues minus expenditures totaled approximately us$9.6 billion. Public debt in 2005 amounted to 16.2% of GDP. Total external debt was us$509.6 billion.

The International Monetary Fund (IMF) reported that in 2003, the most recent year for which it had data, central government revenues in millions of Australian dollars were a$213,386 and expenditures were a$206,858. The value of revenues in millions of US dollars was us$32,733 and expenditures us$31,656, based on a market exchange rate for 2003 of 6.519 as reported by the IMF. Government outlays by function were as follows: general public services, 26.6%; defense, 6.5%; public order and safety, 0.9%; economic affairs, 6.2%; environmental protection, 0.2%; housing and community amenities, 0.7%; health, 14.2%; recreation, culture, and religion, 0.9%; education, 9.3%; and social protection, 34.5%.

TAXATION

The main taxes (personal and corporate income, payroll, and goods and services tax (GST) are levied by the federal government, but the states and municipalities impose other levies. Federal rates are determined in legislation that is foreshadowed in the budget, presented each August; rates apply to the fiscal year beginning in July, except for company tax rates, which apply to the previous year's income.

In July 2000, the Australian government implemented a complete tax system overhaul with the introduction of a 10% GST on most goods and services, with the exception of basic foods, education, health and some other sectors. The GST replaced most sales taxes and was followed in 2001 by a cut in the corporate tax rate to 30% for both public and private firms. Undistributed profits of private firms are taxed at a higher rate. Nonresident companies pay an additional tax of 5%. Both the federal government and states can levy land taxes, and states levy both stamp duties on various documents and payroll taxes. Excise taxes are levied on alcoholic beverages, tobacco products, luxury cars, coal, kerosene, liquefied petroleum gas, and indigenous crude oil.

As part of the new tax system, federal, state, and territorial governments agreed to fund a First Home Owners Scheme (FHOS) to offset the impact of the new GST on first-time home buyers. A grant of a$7000 was made available for first-time purchases of new and existing housing. On 9 March 2001 the grant was extended to contracts entered into before 1 January 2002. In December 2001 the additional grant was extended to June 2002 but reduced to a$3000, but in July 2002, the grant reverted to its original amount of a$7000 as it was again extended.

Personal taxation is levied by the Commonwealth on a sharply progressive basis. The pay-as-you-earn system (called PAYE) is used. As of 2000, individual tax rates ranged from zero on income up to a$6,000 to 47% on income over a$60,001. Social security taxes are included as part of income taxes. Deductions are allowed for dependents, donations, medical expenses, and children's educational expenses, and for payment of life insurance or pension premiums. There is also a pensioner rebate that varies depending on income. There is also a 1.5% levy on residents to fund the nation's healthcare program, plus a 1% surcharge for those in high income brackets.

In early 1990, the Australian Taxation Office and the US Internal Revenue Service (IRS) formalized a simultaneous audits agreement to investigate suspected noncompliance with tax laws in both countries.

CUSTOMS AND DUTIES

Before the 1980s, federal policy was to use the tariff to protect local industries (especially the automobile industry), but a three-decade long program of tariff reduction led to tariff rates of 5% or below in 2000. Textiles and clothes (25%), shoes (15%), and automobile products (15%) had higher duties, but those were reduced to 17.5%, 10%, and 10%, respectively, in 2005. The GST of 10% applies for most imports and exports in addition to the duty. Tariffs on industrial machinery and capital equipment ordinarily are low where they do not compete with Australian enterprise and machinery and equipment required by new industries may be imported duty-free or at concessional rates under the Project-By-Law Scheme (PBS).

As a contracting party to GATT, Australia consented to a number of tariff reductions after 1947. Under the South Pacific Regional Trade and Economic Cooperation Agreement (SPARTECA), which went into effect on 1 January 1981, Australia and New Zealand offered the other South Pacific Forum members duty-free or concessional access to their markets. The Australia New Zealand Closer Economic Relations Trade Agreement (ANZCERTA, abbreviated to CER) opened bilateral trade between the two countries in 1983. Australia is also a member of the Asia Pacific Economic Cooperation (APEC) forum.

The only free-trade zone is the Darwin Trade Development Zone (TDZ), located in the Northern Territory. In 1997, the government introduced a Manufacturing-in-Bond (MIB) zone, allowing firms to import goods duty-free to a warehouse for further manufacturing and ultimate export. The first MIB site approved was the Steel River Facility in Newcastle.

FOREIGN INVESTMENT

The United States accounts for the biggest share of total foreign investment; in 2004, total US investment in Australia (direct and portfolio) amounted to us$227 billion, which accounted for nearly 30% of total investment in Australia that year. The United Kingdom is second, followed by Japan, the Netherlands, Germany, and Canada. Other substantial foreign investors include France, Switzerland, Singapore, and New Zealand. In 2003, the level of foreign direct investment (FDI) in Australia was us$158.8 billion, or 31% of GDP. Over the period 2001–05, FDI inflows averaged 3.5% of GDP. In 2003, the level of Australian investment abroad was us$110.5 billion. Most Australian investment abroad goes to the United States, New Zealand, the United Kingdom, Singapore, Canada, Germany, and Switzerland.

Almost half of total foreign investment, has been in finance and insurance, with investments in manufacturing, other industries, and mining making up another third. The most recent focus of foreign investment has been the booming tourist industry, and commercial and residential property development. Hotels and resorts on the north New South Wales and Queensland coasts are attracting capital from abroad, as are large office block and hotel projects in the capital cities.

Australia prefers the inflow of long-term development capital to that of short-term speculative capital. It also welcomes the technical competence usually accompanying foreign investment. Investment incentives include tariff protection, and bounties for the manufacture of certain products. Total foreign ownership is permitted, but ownership in certain sectors is subject to restrictions. The Federal Department of the Treasury regulates foreign investment with the assistance of the Foreign Investment Review Board (FIRB), which screens for conformity with Australian law and policy. The major legislation governing foreign investment is the Foreign Acquisitions and Takeovers Act of 1975, as amended in 1989, and administered according to regulations issued in 1991, as the country was embarking on its program of economic liberalization.

ECONOMIC DEVELOPMENT

Commonwealth and state governments devoted special attention to the production and marketing of main primary products, and after 1920, legislation provided subsidies or other marketing aids to certain commodities. Federal and state aid was given to industries established in approved fields of manufacture during the 1970s. The Export Market Development Grant Acts of 1974 provided government assistance in the development of export markets. Recipients were eligible for up to 50% reimbursement for expenses incurred establishing foreign markets for domestic goods. In 1975, the government set up the Export Finance and Insurance Corp. (replacing the Export Payments Insurance Corp.) to provide Australian exporters with insurance and other financial services not readily available commercially, to provide insurance against political risk.

The government endeavors to prevent undue fluctuation in the economy. Price controls were in effect during World War II and part of the postwar period and are now imposed on a few essential household items. As an alternative to price controls, the Commonwealth government, in mid-1975, introduced a policy of wage indexing, allowing wages to rise as fast as, but no faster than, consumer prices. Major labor unions, however, opposed this restraint, which was ended in 1981, in the wake of the second oil shock and the onset of global recession. Monetary policy supported recovery from the recession of the early 1980s by holding to a low inflation rate. From the mid-1980s, Australia's government embarked on a basic re-orientation of the economy from inward-looking import substitution industrialization (ISI) to outward-looking export-led growth and liberalization. Key reforms have been unilateral reduction of high tariffs and other protective barriers; letting the Australian dollar float; deregulating the financial services sector; rationalizing and reducing the number of trade unions; privatizing many government-owned services and public utilities, including establishing a fully competitive electricity market, one of only two (with the United Kingdom) among economically developed countries. The transformation and opening of the economy is credited with helping produce, as of 2006, 15 years of uninterrupted expansion exceeding in duration the expansions of the 1960s, 1970s, and 1980s. After August 1993, the focus of fiscal policy shifted towards deficit reduction. During this period, the national debt declined from a peak of 19% of GDP in 1995–96, to less than 7% of GDP in 2000–01. However, by 2004, the public debt was estimated at 17.4% of GDP.

The government has been particularly aggressive in promoting Australia as an "information economy." It is second in the world after the United States in PC use. Australia has been ranked as second (only to the United States) among 60 countries surveyed in terms of providing an environment conducive to the development of e-business opportunities. In 2000, the new tax system aimed at increasing the government budget while stimulating economic growth in such sectors as tourism/services and high technology.

Although the Australian economy as of 2006 enjoyed healthy growth, low inflation, the lowest unemployment rate it had had for almost 30 years, negligible government debt, and regular budget surpluses, improvements to the economy may still be made. They include: more labor-market reform, tax reform, investment in people and infrastructure, and better relations between the federal government and Australia's six states and two territories. A growing current account deficit must be managed. Reform of the public health, higher-education, and welfare systems, and funded pension programs are also assuming greater importance.

SOCIAL DEVELOPMENT

Social Security measures have been in effect since 1908 and cover all residents. Old age pensions are payable to men 65 years of age and over, and to women 62.5years of age and over, who have lived in Australia continuously for at least 10 years at some stage in their lives. The continuous-residence requirement may be waived for those who have been residents for numerous shorter periods. Disability pensions are payable to persons 16 years of age and older who have lived at least five years in Australia and have become totally incapacitated or permanently blind. The family allowance legislation provides for weekly payments to children under 16 years of age. Widows' pensions are also provided. Employed persons are covered by workers' compensation, and unemployment assistance is provided for those aged 21 to 65. Youths aged between 16 and 20 are eligible for the youth training allowance, administered by the Department of Employment, Education and Training. Work-related sickness and maternity benefits are provided, as well as medical benefits for all residents. There are numerous programs in place for families of limited means, including child care and rent assistance.

The Sex Discrimination Act bars discrimination on the basis of sex, marital status or pregnancy. The Office for Women was created to monitor the position of women in society. Sexual harassment is specifically prohibited by law, and is aggressively addressed by the government. Sex discrimination complaints were down in 2004 by seven percent. Domestic violence remains a problem, particularly in Aboriginal communities. The government has a strong commitment to the welfare of children.

Discrimination on the basis of race, color, descent or national or ethnic origin was prohibited in the Racial Discrimination Act of 1975. Despite these measures, aboriginal Australians have poorer standards of living, are imprisoned more often, and die younger than white Australians.

HEALTH

Australia is one of the healthiest countries in the world. The common cold and other respiratory infections are the most prevalent forms of illness; arteriosclerosis is the most common cause of death. Water in most cities is good and safe for household purposes and garbage and trash are collected in cities and towns.

All levels of government are concerned with public health, with the municipalities functioning largely as agents for the administration of state policies. State health departments are responsible for infant welfare, school medical and dental services (provided free of charge), treatment and eradication of infectious and contagious diseases and tuberculosis, industrial hygiene programs, maintenance of food and drug standards, public and mental hospitals, and the regulation of private hospitals. The Commonwealth government makes grants for medical research, coordinates state health programs, and maintains specialist medical research institutions and laboratories.

Public sector funding accounts for over two-thirds of health care expenditure in Australia; some is allocated via the central government and some via local authorities. Since the introduction of Medicare (the national health insurance program) in 1984, the share of funding provided by the federal government has risen. Under the Medicare system, all Australians have access to free care at public hospitals. The plan also meets three-fourths of the bill for private hospital treatment, while patients pay the remainder (and can take out private health insurance to cover this, although comprehensive private medical insurance was abolished in the 1984 act). Total health care expenditure was estimated at 8.6% of GDP as of 1999.

Since 1950, certain drugs have been provided free of charge when prescribed by a medical practitioner. All patients other than pensioners must pay a set amount for every prescription supplied under the scheme; the remainder is met by the government. For those not eligible for free public health care and who have basic medical insurance, the government pays 30% of the scheduled benefit fee for each medical service. Such insurance, including the government contribution, covers 85% of scheduled fees. The federal government provides grants to the states and aboriginal organizations for the development of special health services for aboriginals. As of 1992, aboriginals and Torres Strait Islanders had unacceptably low levels of health. Though, they have access to the same health care system as any other Australian, they are often reluctant to take full advantage of it. Unemployed persons, recent immigrants and refugees, and certain low-income persons are entitled to health care cards that entitle the bearer and dependents to free medical and hospital treatment.

Health services are efficient. Hospitals are generally modern and well equipped, but space often is at a premium. In 1998, there were more than 1,015 acute-care hospitals, of which 734 were public hospitals. As of 1999, there were an estimated 8.5 hospital beds per 1,000 people. Most private hospitals tend to be fairly small and there are a large number of private hospitals run by religious groups. Hospital facilities are concentrated in the states of New South Wales and Queensland, which together account for about half the country's hospitals and hospital beds.

As of 2004, there were an estimated 249 physicians per 100,000 people in Australia. Additionally, there were approximately 42 dentists, 60 midwives, and 775 nurses per 100,000 people. Competent general physicians and specialists are available in most cities and the Royal Flying Doctor Service provides medical care and treatment to people living in remote areas.

Infant mortality in 2005 was 4.69 per 1,000 live births, one of the lowest in the world. The under-five mortality rate has steadily decreased from 24 in 1960 to 7 in 2000. Approximately 67% of married women (ages 15–49) used contraception. The 1999 birth rate was 13.2 per 1,000 inhabitants, and the fertility rate in 2000 was 1.8 per woman. The estimated life expectancy in 2005 was 80.39 years, the eighth-highest in the world. Estimated immunization of one-year-old children was as follows: diphtheria, pertussis, and tetanus, 88%; and measles, 89%. In 1999, the incidence of tuberculosis was 6.2 per 1,000 people.

The HIV/AIDS prevalence was 0.10 per 100 adults in 2003. As of 2004, there were approximately 14,000 people living with HIV/AIDS in the country. There were an estimated 100 deaths from AIDS in 2003.

HOUSING

According to 2001 national census figures, there were about 7,072,200 dwellings in the nation, representing over 7.3 million households. In Tasmania, there were about 208,704 dwellings. Nationwide, about 78% of all dwellings are separate, single-family houses (about 5.3 million houses). About 22% are classified as higher density housing, including row or terrace housing, town-houses, and apartment buildings. About 70% of all units are owner occupied. Central heating, formerly available only in the most modern and expensive homes and apartments, is now generally available in the coldest areas of the country. Most apartments and houses are equipped with hot-water service, refrigeration, and indoor bath and toilet facilities.

EDUCATION

Education is compulsory for children from the age of 6 to 15 (16 in Tasmania). Most children attend pre-school or kindergarten programs. Primary education generally begins at six years of age and lasts for six or seven years, depending on the state. Secondary schools have programs of four to six years. Free education is provided in municipal kindergartens and in state primary, secondary, and technical schools. There are also state-regulated private schools, which are attended by approximately one-third of Australian children. Correspondence courses and educational broadcasts are given for children living in the remote "outback" areas and unable to attend school because of distance or physical handicap. One-teacher schools also satisfy these needs. Although most aboriginal and Torres Strait Islander students use the regular school system, there are special programs to help them continue on to higher education.

Primary school enrollment in 2003 was estimated at about 97% of age-eligible students; 96% for boys and 97% for girls. The same year, secondary school enrollment was about 88% of age-eligible students; 87% for boys and 89% for girls. The pupil to teacher ratio for primary school was at about 18:1 in 2003. Also in 2003, private schools accounted for about 28% of primary school enrollment and 30.5% of secondary enrollment.

Although each state controls its own system, education is fairly uniform throughout Australia. As of 2003, public expenditure on education was estimated at 4.9% of GDP. Education is the joint responsibility of the federal government and each state government and territory. The federal government directly controls schools in the Northern Territory and in the Australian Capital Territory.

Australia has approximately 20 universities in addition to more than 200 technical institutes. There is a state university in each capital city and each provincial area; a national postgraduate research institute in Canberra and a university of technology in Sydney with a branch at Newcastle. There are also a number of privately funded higher-education institutions including theological and teacher training colleges. Adult education includes both vocational and non-vocational courses. Most universities offer education programs for interested persons. In 2003, it was estimated that about 74% of the tertiary age population were enrolled in higher education programs; 67% men and 82% women.

LIBRARIES AND MUSEUMS

The National Library of Australia traces its origins back to 1902, but it was not until 1961 that it was legislatively separated from the Commonwealth Parliamentary Library and made a distinct entity. The National Library is now housed in modern facilities in Canberra and has over 4.7 million volumes. Three other libraries in Australia of comparable size are the library of the University of Sydney (over three million volumes), founded in 1852; the State Library of New South Wales (over 1.9 million volumes), founded in 1826; the State Library of Victoria (over 1.5 million), founded in 1854, and the Library Information Service of Western Australia (2.7 million). The Australian Capital Territory (ACT) Library Service oversees nine public library branches and the ACT Government and Assembly Library. The state capital cities have large noncirculating reference libraries, as well as municipal public circulating libraries. The university libraries of Adelaide, Brisbane, Canberra, Melbourne, Monash, New South Wales, and Queensland all have sizable collections. Recent years have seen programs with increased cooperation between libraries, which has resulted in increased service. The Australian Institute of Aboriginal Studies in Acton has a specialized collection of 15,000 volumes, and dozens of museums and cultural centers house other specialized collections.

There are about 2,000 museums in Australia, of which over 200 are art museums. A national art collection has been assembled in the Australian National Gallery at Canberra, which was opened to the public in October 1982. The National Museum of Australia, founded 1980 in Canberra, exhibits Australian history and social history. In 2001 the museum opened new facilities in a stunning architectural structure on the shores of Lake Burley Griffin. There are eight other major museums, two each in Sydney and Melbourne and one in each of the other state capitals. Of note in Melbourne are a Performing Arts Museum (1978); the Ancient Times House (1954); and the Jewish Museum of Australia. The Melbourne Museum, completed in 2000, became the largest museum in the southern hemisphere. Sydney houses the Australian National Maritime Museum (1985), the Museum of Contemporary Art (1979) and the Nicholson Museum of Antiquities (1860). Some of the smaller cities also have museums. The National Gallery of Victoria in Melbourne has a fine collection of paintings and other artworks, and the South Australian Museum in Adelaide has excellent collections relating to Australian entomology, zoology, and ethnology. Botanical gardens are found in every capital city.

MEDIA

Responsibility for the nation's postal service is vested in the Australian Postal Commission and with the Australian Telecommunications Commission. Local and long-distance telephone services are rated highly. In 2003, there were an estimated 542 mainline telephones for every 1,000 people. The same year, there were approximately 719 mobile phones in use for every 1,000 people.

The government administers and supervises broadcasting through the Australian Broadcasting Commission, which operates a nationwide noncommercial radio and television service; the Australian Broadcasting Tribunal, which licenses and regulates commercial broadcasters; and the Special Broadcasting Service, which prepares and broadcasts multilingual radio and television programs. Federal government stations are financed from budget revenues, and the private commercial stations derive their income from business advertising. The primary news services are the Australian Associated Press and ABC Newsonline. As of 1999 there were 262 AM and 345 FM radio stations and 104 television stations. In 2003, there were an estimated 1,996 radios and 722 television sets for every 1,000 people. About 76 of every 1,000 people were cable subscribers. Also in 2003, there were 565.1 personal computers for every 1,000 people and 567 of every 1,000 people had access to the Internet. In 2004, there were 8,224 secure servers in the country.

In general, news is presented straightforwardly, and political criticism is considered fair and responsible. The Australian, one of only two national newspapers, was established in 1964 and is published in all state capitals. It is independent and had an estimated daily circulation in 1999 of 153,000. The other national daily, the Australian Financial Review, had a Monday–Friday average circulation of 78,000 in the same year. The Age is published in Melbourne with a daily circulation of 197,000 in 2004. The Sydney Morning Herald, a conservative daily, had a daily circulation of 225,861 in 2004. Major Sunday newspapers include the Sun-Herald (613,000) and the Sunday Telegraph in Sydney, and the Sunday Mail in Brisbane (598,070). The major news agency is the Australian Associated Press, founded in 1935; it has been associated with Reuters since 1946. Many international news services have bureaus in Sydney.

Though the Australian constitution does not have specific guarantees of freedom of expression, the High Court has, in two decisions, declared that freedom of political discourse is implied. The government is said to respect all such rights in practice.

ORGANIZATIONS

Chambers of commerce and chambers of manufacture are active throughout Australia, especially in the state capital cities; the Australian Chamber of Commerce (1091) coordinates their activities. The Australian Consumers' Association is active. There are also trade unions and business associations in a wide variety of fields. Agricultural producers and industry workers are represented through the Australian Dairy Corporation, the Aus-Meat, the Australian Food and Grocery Council, and the Australian Chamber of Fruit and Vegetable Industries, to name a few.

There are professional associations or scholarly societies in the fields of architecture, art, international affairs, economics, political and social science, engineering, geography, history, law, literature, medicine, philosophy, and the natural sciences. Many publish scholarly journals. Notable societies include the Australian Academy of Science,

The Australia Council (founded in 1943) encourages amateur activities in the arts and sponsors traveling exhibitions of ballet, music, and drama. Theatrical, musical, and dance organizations are present in the larger cities and towns. Other notable art and cultural groups are the Australia Council for the Arts, the Australian Academy of the Humanities, the Australian Film Institute, and the National Trust of Australia.

Health and welfare organizations include the National Health and Medical Research Council, the Australian Council on Healthcare Standards, the Australian Dental Association, the Australian Medical Association, and the Australian Medical Council, among others. There are numerous associations for specialized fields of medicine and science.

Several sports organizations are present. Skiing and tobogganing clubs function in the mountainous areas. Sydney, Melbourne, Hobart, and several other cities have large yacht clubs. Every state capital city has swimming and surfing clubs.

There are numerous youth organizations. One of the most prominent is the National Union of Students of Australia (NUSA), which was founded in 1987 by uniting the existing student unions in the Australian states. It now represents the concerns and interests of over 250,000 students. The President of NUSA has a position on the Higher Education Council, which advises the Australian Minister for Employment, Education, and Training. Other youth groups include the Australian Youth Hostel Association, Student Services of Australia, Tertiary Catholic Federation of Australia, the YMCA and YWCA, Young Liberal Movement, Young National Party, and Young Socialist League. Scouting organizations are also active throughout the country.

There are national chapters of the Red Cross Society, Caritas, Habitat for Humanity, the Christian Children's Fund, Doctor's Without Borders, World Vision, Amnesty International, and UNICEF.

TOURISM, TRAVEL, AND RECREATION

Among Australia's natural tourist attractions are the Great Barrier Reef, a mecca for scuba divers; the varied and unusual flora and fauna; and the sparsely inhabited outback regions, which in some areas may be toured by camel. Other attractions include Ballarat and other historic gold-rush towns near Melbourne; wineries, particularly in the Barossa Valley, 55 km (34 mi) northeast of Adelaide; Old Sydney Town, a recreation of the Sydney Cove Settlement north of Sydney as it was in the early 19th century; and the arts festivals held in Perth every year and in Adelaide every two years, featuring foreign as well as Australian artists.

The sports that lure tourists are surfing, sailing, fishing, golf, tennis, cricket, and rugby. Melbourne is famous for its horse racing (Australia's most celebrated race is the Melbourne Cup) and for its 120,000-capacity cricket ground, reputedly the biggest in the world.

Except for nationals of New Zealand, visitors must have a valid visa. Immunizations are required only of tourists coming from an infected area.

The government actively promotes tourism. In 2003, Australia attracted 4,745,855 foreign visitors. Typically, most visitors come from East Asia and the Pacific region. That year there were 204,461 hotel rooms with 580,252 beds and an occupancy rate of 60%. The average length of stay was two nights. Tourist receipts totaled over us$15 billion.

In 2005, the US Department of State estimated the daily cost of staying in Melbourne at us$288 and in Sydney, at us$248.

FAMOUS AUSTRALIANS

The most highly regarded contemporary Australian writer is Patrick White (1912–90), author of The Eye of the Storm and other works of fiction and winner of the 1973 Nobel Prize for literature. Other well-known novelists are Henry Handel Richardson (Henrietta Richardson Robertson, 1870–1946), Miles Franklin (1879–1954), Christina Stead (1902–83), and Thomas Michael Keneally (b.1935). Henry Lawson (1867–1922) was a leading short-story writer and creator of popular ballads. Germaine Greer (b.1939) is a writer on feminism. A prominent Australian-born publisher of newspapers and magazines, in the United Kingdom and the United States as well as Australia, is Keith Rupert Murdoch (b.1931).

Three renowned scholars of Australian origin are Sir Gilbert Murray, O.M. (1866–1957), classicist and translator of ancient Greek plays; Samuel Alexander, O.M. (1859–1938), influential scientific philosopher; and Eric Partridge (1894–1979), authority on English slang. Sir Howard Walter Florey (1898–1968) shared the 1945 Nobel Prize in physiology or medicine for the discovery of penicillin. An outstanding bacteriologist was Sir Frank Macfarlane Burnet, O.M. (1899–1985), director of the Melbourne Hospital and co-winner of the 1960 Nobel Prize for medicine. Elizabeth Kenny (1886–1952) made important contributions to the care and treatment of infantile paralysis victims. Sir John Carew Eccles (1903–1997) shared the 1963 Nobel Prize for medicine for his work on ionic mechanisms of the nerve cell membrane. John Warcup Cornforth (b.1917) shared the 1975 Nobel Prize for chemistry for his work on organic molecules. Peter C. Doherty (b.1940) shared the 1994 Nobel Prize in physiology or medicine for his work in immunology. Barry J. Marshall (b.1951) and J. Robin Warren (b.1937), both Australians, shared the 2005 Nobel Prize in physiology or medicine for their discovery of the Helicobacter pylori bacterium, which causes stomach ulcers and gastritis.

Among Australia's most prominent film directors are Fred Schepisi (b.1939), Bruce Beresford (b.1940), George Miller (b.1943), Peter Weir (b.1944), and Gillian Armstrong (b.1950); film stars have included Australian-born Errol Flynn (1909–59), Paul Hogan (b.1940), and US-born Mel Gibson (b.1956). Leading Australian-born figures of the theater include the actors Dame Judith Anderson (1898–1992) and Cyril Ritchard (1898–1977) and the ballet dancer, choreographer, and stage actor and director Sir Robert Murray Helpmann (1909–86). Musicians of Australian birth include the operatic singers Dame Nellie Melba (1861–1931), John Brownlee (1901–69), Marjorie Lawrence (1907–79), and Dame Joan Sutherland (b.1926) and the composers Percy Grainger (1882–1961), Arthur Benjamin (1893–1960), Peggy Glanville-Hicks (1912–1990), and Peter Joshua Sculthorpe (b.1929). Popular singers include Helen Reddy (b.1941) and Olivia Newton-John (b.UK, 1948). Alfred Hill (1870–1960) is regarded as the founder of the art of musical composition in Australia. Albert Namatjira (1902–59), an Aranda aboriginal, achieved renown as a painter, as did Sir Sidney Robert Nolan (1917–92) and Arthur Boyd (1920–99), who was a sculptor as well as a painter. The aviator Sir Charles Edward Kingsford-Smith (1897–1935) pioneered flights across the Pacific Ocean. A popular figure of folklore was the outlaw Ned (Edward) Kelly (1855?–80).

From about 1970 to 1990, the tennis world was dominated by such Australian players as Frank Sedgman (b.1927), Lewis Hoad (1934–94), Kenneth Rosewall (b.1934), Rod (George) Laver (b.1938), John David Newcombe (b.1944), and Evonne Goolagong Cawley (b.1951). Sir Donald George Bradman (1908–2001) was one of the outstanding cricket players of modern times. Record-breaking long-distance runners include John Landy (b.1930) and Herb Elliott (b.1938). Jon Konrads (b.1942) and his sister Ilsa (b.1944) have held many world swimming records, as did Dawn Fraser (b.1937), the first woman to swim 100 meters in less than a minute, and Murray Rose (b.1939).

A notable modern Australian statesman is Sir Robert Gordon Menzies (1894–1978), who served as prime minister from 1939 to 1941 and again from 1949 to 1966. Subsequent prime ministers have included Edward Gough Whitlam (b.1916), who held office from 1972 to 1975; John Malcolm Fraser (b.1930), who succeeded Whitlam late in 1975; Robert James Lee Hawke (b.1929), who served from 1983–91, Paul John Keating (b.1944), who succeeded Bob Hawke in 1991; and John Winston Howard (b.1939), who began his term as Australia's 25th prime minister in 1996; he has been the most electorally successful prime minister since Menzies.

DEPENDENCIES

Since 1936, Australia has claimed all territory in Antarctica (other than Adélie Land) situated south of 60°s and between 45° and 160°e, an area of some 6.1 million sq km (2.4 million sq mi), or nearly 40% of the continent. Three scientific and exploratory bases are now in operation: Mawson (established February 1954), Davis (established January 1957), and Casey (established February 1969).

Ashmore and Cartier Islands

The uninhabited, reef-surrounded Ashmore Islands, three in number, and Cartier Island, situated in the Indian Ocean about 480 km (300 mi) north of Broome, Western Australia, have been under Australian authority since May 1934. In July 1938, they were annexed as part of the Northern Territory. Cartier Island is now a marine reserve.

Christmas Island

Situated at 10°30′s and 105°40′e in the Indian Ocean, directly south of the western tip of Java, Christmas Island is 2,623 km (1,630 mi) northwest of Perth and has an area of about 135 sq km (52 sq mi). Until its annexation by the UK in 1888, following the discovery of phosphate rock, the island was uninhabited. The total estimated population in 2002 was 474, of whom 70% were Chinese and 10% were Malay. The only industry was phosphate extraction. The governments of Australia and New Zealand decided to close the mine in December 1987. Christmas Island was transferred from the UK to Australia on 1 October 1958. Abbott's booby is an endangered species on the island.

Cocos (Keeling) Islands

The Territory of Cocos (Keeling) Islands is a group of coral atolls consisting of 27 islands with a total land area of 14 sq km (5 sq mi) in the Indian Ocean, at 12°5′s and 96°53′e, about 2,770 km (1,720 mi) northwest of Perth. The estimated population of the two inhabited islands was 632 in 2002. A British possession since 1857, the islands were transferred to Australia in 1955 and are administered by the minister for territories. In 1978, the Australian government bought out the remaining interests (except for personal residences) of the Clunies-Ross heirs on the islands. The climate is pleasant, with moderate rainfall. Principal crops are copra, coconut oil, and coconuts. The airport is a link in a fortnightly service between Australia and South Africa.

Coral Sea Islands

The Coral Sea Islands were declared a territory of Australia in legislation enacted during 1969 and amended slightly in 1973. Spread over a wide ocean area between 10° and 23°30′s and 154° and 158°e, the tiny islands are administered by the minister for the Capital Territory and have no permanent inhabitants—although there is a manned meteorology station on Willis Island.

Territory of Heard and McDonald Islands

Heard Island, at 53°6′s and 72°31′ e, about 480 km (300 mi) southeast of the Kerguelen Islands and about 4,000 km (2,500 mi) southwest of Perth, is about 910 sq km (350 sq mi) in size. Bleak and mountainous, it is dominated by a dormant volcano, Big Ben, about 2,740 m (8,990 ft) high. There was a station at Atlas Cove from 1947 to 1955, but the island is now uninhabited and is visited occasionally by scientists. Just north is Shag Island, and 42 km (26 mi) to the west are the small, rocky McDonald Islands. The largest island of the group was visited for the first time, it is believed, on 27 January 1971, by members of the Australian National Antarctic Expedition. The territory was transferred from the UK to Australia at the end of 1947.

Macquarie Island

Macquarie Island, at 54°30′s and 158°40′e, is about 1,600 km (1,000 mi) southeast of Hobart. The rocky, glacial island, 34 km (21 mi) long and about 3 to 5 km (2 to 3 mi) wide, is uninhabited except for a base maintained at the northern end since February 1948. Macquarie Island has been a dependency of Tasmania since the early 19th century. At the most southerly point, the island has what is believed to be the biggest penguin rookery in the world. Two small island groupings are off Macquarie Island: Bishop and Clerk, and Judge and Clerk.

Norfolk Island

Norfolk Island, with an area of 36 sq km (14 sq mi), is situated at 29°3′s and 167°57′e, 1,676 km (1,041 mi) east-northeast of Sydney. Discovered in 1774 by Capt. James Cook, it was the site of a British penal colony during 1788–1814 and 1825–55. In 1856, it was settled by descendants of the Bounty mutineers. As of 2002, the estimated permanent population was 1,866. Transport is almost exclusively by motor vehicle. The soil is fertile and the climate conducive to the growing of fruits and bean seed, as well as the famed Norfolk Island pine. Tourism is also important. As of 2003, endangered species on Norfolk Island included the gray-headed blackbird, Norfolk Island parakeet, the white-breasted silver-eye, the green parrot, the Morepork (Boobook owl), and the Bird of Providence (Providence Petrel). In 1996, Phillip Island was added to the Norfolk Island National Park.

BIBLIOGRAPHY

Bassett, Jan. The Oxford Illustrated Dictionary of Australian History. New York: Oxford University Press, 1993.

Catley, Robert. Globalising Australian Capitalism. Cambridge, UK: Cambridge University Press, 1996.

Cotton, James. East Timor, Australia and Regional Order: Intervention and Its Aftermath in Southeast Asia. New York: RoutledgeCurzon, 2004.

Emerson, Arthur. Historical Dictionary of Sydney. Lanham, Md.: Scarecrow Press, 2001.

Heathcote, R. L. Australia. London: Longman, Scientific and Technical, 1994.

International Smoking Statistics: A Collection of Historical Data from 30 Economically Developed Countries. New York: Oxford University Press, 2002.

Kabir, Nahid Afrose. Muslims in Australia: Immigration, Race Relations and Cultural History. London, Eng.: Kegan Paul, 2004.

Kurian, George Thomas. Facts on File National Profiles. Australia and New Zealand. New York: Facts on File Publications, 1990.

Lilley, Ian (ed.). Archaeology of Oceania: Australia and the Pacific Islands. Malden, Mass.: Blackwell, 2006.

Lourandos, Harry. Continent of Hunters-Gatherers: New Perspectives in Australian Prehistory. Cambridge: Cambridge University Press, 1994.

McElrath, Karen (ed.). HIV and AIDS: A Global View. Westport, Conn.: Greenwood Press, 2002.

Oxley, Alan. Seize the Future: How Australia Can Prosper in the New Century. St. Leonards, N.S.W.: Allen and Unwin, 2000.

Summers, Randal W., and Allan M. Hoffman (ed.). Domestic Violence: A Global View. Westport, Conn.: Greenwood Press, 2002.

Ward, R. B. Concise History of Australia Drawings. St Lucia, Qld.: University of Queensland Press, 1992.

AUSTRALIA

Commonwealth of Australia

Major Cities:
Canberra, Brisbane, Melbourne, Perth, Sydney, Adelaide, Hobart

Other Cities and Areas:
Alice Springs, Darwin, Fremantle, Geelong, Gold Coast, Newcastle, Tasmania, Wollongong

EDITOR'S NOTE

This chapter was adapted from the Department of State Post Report dated July 1996. Supplemental material has been added to increase coverage of minor cities, facts have been updated, and some material has been condensed. Readers are encouraged to visit the Department of State's web site at http://travel.state.gov/ for the most recent information available on travel to this country.

INTRODUCTION

AUSTRALIA , the land "Down Under," is an island continent about the size of the United States mainland. Geologically, it is one of the oldest continents; in civilization, the most recent. Its 19.2 million people (2000 est.) enjoy a high standard of living in a country which is still in the process of developing its great natural resources.

Australia holds considerable interest and appeal for Americans: its culture, similar to that of the United States; its unique geology, flora, and fauna; its distinctive literature and history; and the striking contrast between the highly civilized foreground of the coastal cities and the outback of the bush. Its climate varies from tropical to temperate, and the contrasts in its landscape are from rolling plain to alpine height.

Australia and the U.S. share common goals and similar approaches to most major foreign policy questions. Their frequent exchanges of views on world affairs in general, and the Asian-Pacific area in particular, are characterized by a high degree of mutual confidence and understanding.

MAJOR CITIES

Canberra

The national capital, Canberra (an aboriginal word meaning "meeting place"), is in the Australian Capital Territory (ACT) in the southern tablelands of New South Wales. It is 1,900 feet above sea level with much of the surrounding mountainous terrain above 3,000 feet. Built to be the seat of the Federal government, Canberra is one of the most carefully planned and rapidly growing cities in Australia. It is often called the "garden city" because of its millions of trees and shrubs. The city is striving to become the nation's political, administrative, commercial, educational, and scientific hub. It is also a growing tourist center. Its lake, national buildings, parks, and wide avenues attract over 500,000 visitors a year. In the heart of the city is man-made Lake Burley Griffin. Always an integral part of the city's master plan, the lake (11 km long with a 41 km shore line) was completed in 1964. Planned community shopping centers are in each suburb. Modern new buildings attest to the fast growth of the capital.

Wheat and dairy products are produced in the ACT; the surrounding tree-studded upland country is used for the most part for sheep grazing. Development is strictly controlled, and Canberra is affectionately called the "bush capital." To the south are the Snowy Mountains hydroelectric development and Mount Kosciusko (about 7,810 feet), the highest point in Australia. The highlands are timbered mainly with native eucalyptus and radiata pine planted by the Forestry Commission. The Molonglo River flows through Canberra, but much of the city's water supply comes from the Cotter River dam about 12 miles away.

Canberra's climate is sunny year round with only short periods of rain or overcast skies. Summers are warm, with temperatures occasionally above 37°C (98°F), evenings are usually cool. Winters are cold, with early mornings often below freezing but warming up during the day. It almost never snows. January is the hottest month; July the coldest.

Food

There is an excellent range of food products at local markets and stores. Beef, lamb, pork, veal, chicken, fish and shellfish are of good quality and available year round, as are a wide range of fresh fruits, vegetables and dairy products. All types of baby formulas and most canned goods, including baby foods, are available. Some Stateside favorites are unavailable.

There are American-style supermarkets in major shopping areas for one-stop shopping, and in addition smaller grocery/convenience stores are found in each suburb.

There are also butcher shops, news-agents, and markets for fresh fruit and vegetables in many suburbs. No post exchanges, commissaries, or group-purchasing arrangements exist in Australia.

Clothing

Most clothing needs can be met in Australia, but the range of sizes and choice of styles are not as great as in the USA. Good quality clothing is available but more expensive than in the United States. Department and discount stores stock reasonably priced clothing. Availability of sizes and reduced selection are more a consideration than is price. It is difficult to find shoes in narrow widths, or in extra wide or large sizes.

Men: Dress in Australia is similar to that in Washington, D.C. Many American men wear medium-weight suits of wool or woolen-synthetic mixtures year round. Heavier suits are worn in winter with comfort, particularly in Canberra. Sport coats are also worn. Lighter weight suits are comfortable in summer. Bring a light-to medium-weight top-coat and/or raincoat.

Casual attire is very much the same as in the United States. Track suits are popular. A warm jacket is needed for winter, but there is little need for a heavy parka except for skiing. Hats are needed for sun protection.

Women: Clothing styles are current, and influenced by U.S. and European designs, as well as some excellent Australian designers. Good quality women's clothing is available but more expensive than in the USA, and the selection and size range are more limited. Tall sizes in women's clothes are not widely available but some shops carry petite sizes. Clothing needs are very similar to the USA—casual for the most part, but more formal for office and official events.

Warm clothing is needed for colder months in Canberra. Clothes that can be layered are very useful. Most houses are chilly in winter so bring warm clothes for indoor wear. Many wear wool sweaters; some, thermal underwear. A light to medium-weight coat is sufficient. Australians wear hats of all kinds to protect against the sun in all seasons. A wide range of women's sunhats is available.

Dressmakers are difficult to find as well as expensive. Good quality lingerie is available. Hosiery is available but quality and sizes are different. A wide variety of fabrics are available but fabrics, sewing materials and patterns are also more expensive.

Children: Bring clothing for all seasons, although heavy winter clothing is not necessary unless skiing trips are planned. Snow is a rarity in Canberra, though winter nights are often below freezing.

Most public schools through grade 10 have a school uniform, which children are encouraged to wear. Therefore, a large wardrobe is often not necessary. Sneakers are popular in Australia and are often worn to school. For attendance at private schools, black or brown oxford-type lace-up shoes are required; they may be purchased locally. Almost all private schools require students to wear the school uniform, which for older students often includes blazer (or suit) and tie in winter. After school clothing is much the same as is worn in the U.S. Jeans are popular but the name brands are expensive, so bring a supply.

Clothing for infants and preschool children is available, and at reasonable prices in the larger stores. Some U.S. brands are stocked but are expensive.

Supplies and Services

Some American-brand cosmetics, including Revlon, Elizabeth Arden, Lancome, Clinique, and Helena Rubenstein, are sold locally but are expensive. Paper products are available (albeit expensive), and the range is much greater than a few years ago. Table and bed linens are available in a limited range, sizes are slightly different, and high quality items are more expensive. Personal items for men, such as shaving supplies, etc., are sold locally; this includes several makes of electric razors. (If you bring an electric razor from the U.S., make sure it will run satisfactorily on the local current.)

Bring all needed baby furniture if practicable. Items such as bassinets, playpens, cribs, carriages, and high chairs are available but more expensive than in the U.S., as are large outdoor and indoor toys and play items.

Laundry and dry cleaning services are good. Dry cleaning services vary from 1 day to 1 week; 60-minute dry cleaners are also available. Coin-operated laundromats are available, and a few of these include coin-operated dry cleaning equipment.

Hair salon services are good, but hair dye colors are not the same even though they include name brands. Bring your own or have someone send from the U.S.

Religious Activities

Most faiths are represented in Canberra.

Education

Australian schools are a blend of British and American systems. The school year is the reverse of that in the U.S. It usually starts at the beginning of February and closes for a 6-8 week summer vacation in early to mid-December. There are short breaks of approximately 2 weeks at the end of each term in March/April, June/July and September/October.

Grade placement for children transferring from the Northern Hemisphere can sometimes be a problem. Each family and school assess each student individually, with placement related to the age of the student, and academic level. Some will advance half a grade, others will stay on in the same grade as in the USA. It is important to hand-carry up-to-date school records.

Australian schools through the secondary level fall into two broad categories: government-funded and operated public schools and private schools.

Public Schools: Schools are located in most suburbs of the city. In Canberra, children attend Preschool at age four, Primary School for Kindergarten through Year 6, and transfer to High School for Years 7 through 10. Students in Years 11 and 12 attend secondary colleges. Education is compulsory through age 15, but most students continue through Year 12. One secondary college in Canberra offers the international baccalaureate program for those students who are academically talented.

All five year olds and children turning five on or before April 30 in any year, enroll in Kindergarten at the beginning of that school year in early February. Public schools request a small parent contribution to cover the cost of special resources, sporting equipment and library books. Many primary schools in the ACT offer before and after school care.

Uniforms are not compulsory in public schools but most primary schools have a uniform and actively encourage students to wear it. High schools have a dress color code. All public schools are coeducational and nonselective.

Private Schools: Most private schools are church-sponsored by either the Catholic or the Anglican Church of Australia, although membership in the sponsoring church is not a requirement for admission. It can be difficult to enroll children in private schools, as waiting lists may be long. Some private-school fees are expensive; however the educational allowance is adequate to cover most costs. Some of the private schools provide educational facilities from kindergarten through grade 12, others follow a structure similar to that of the public schools.

Testing: In some states, teachers rely heavily on examinations to grade students. In the ACT, Year 10 and Year 12 Certificates depend on a system of continuing assessment of student progress, including performance, tests, and written work. In addition, Year 12 students who study a certain quota of accredited courses and pass the Australian Scaling Test (AST) receive a Tertiary Entrance Statement which is recognized for entrance to tertiary institutions.

The U.S. College Board achievement tests can be taken in Australia. In Canberra, the Scholastic Aptitude Test (SAT) and Achievement Tests are usually given twice a year.

Preschool: Preschool facilities, both privately run and government-sponsored, are available in most areas for four-year olds. The public preschools are generally located near the primary schools but operate separately with some parental help. There are Montessori, Steiner, French-Australian and Chinese-Australian preschools. In some areas there is a waiting list for pre-school admission, especially in private schools. Play-groups are plentiful for children under 4 years.

Special Education: Canberra has several schools for children with special educational needs from preschool through high school. Alternatively, students may be enrolled in small units attached to regular schools, or they may be mainstreamed. All public schools have some provision for needs of children with special skills and abilities as well as for children with learning or behavioral difficulties.

Higher education opportunities. There are two universities in Canberra—the Australian National University (ANU), an internationally recognized institution with a strong research orientation and large graduate program, and the University of Canberra (UC), with a full range of professional degree programs, including teacher and nursing degrees. Entry to both is competitive, but overseas students are accepted subject to satisfactory academic qualifications and availability of places. At present, both universities require U.S. educated students to have a U.S. High School diploma and a minimum of 1050 to 1100 in SAT scores, with much higher scores for entry to some degree courses. No "subsidized" fees exist for overseas students as for Australian students. Books, room and board are extra. Books, including school textbooks, are expensive.

Further educational opportunities are available through the Canberra Institute of Technology, which is a large multi-campus provider of a wide range of tertiary education and training courses. The CIT is part of the Australian TAFE (Tertiary and Further Education) system which is government-funded and provides vocational education and training programs to persons in the workforce, those who left school and members of the community. CIT offers more than 300 courses from certificate to diploma, through nine teaching schools. Fees vary by course. CIT opened a new hotel-management school in 1995, run in conjunction with Cornell University of New York. Planned to be a world-class provider, fees are substantially higher than regular CIT course programs.

Non-degree or diploma-level instruction is available in many subjects—through the Technical and Further Education Program at CIT, the Centre for Continuing Education at the ANU and many local secondary colleges. Costs are reasonable. Sports, computer training, arts, crafts, business courses, languages and homemaking skills are among the many subjects covered. Both evening and day instruction is available.

Recreation and Social Life

Once considered the "bush capital," Canberra is now a thriving, cosmopolitan city without the traffic, pollution and major crime problems of many larger cities. It has been well planned, has excellent recreational amenities, and is becoming a significant stop for international tourists. There are frequent festivals, fairs, and exhibitions, the Royal Canberra show, a thriving symphony orchestra and philharmonic society, and frequent touring companies. The Floriade festival in September/October is becoming recognized internationally.

Sports

Canberra is a very sports-minded city. Cricket, football, tennis, golf, swimming, and bowls are all popular. Also available are ice and field hockey, basketball, ballooning, rifle shooting, softball, horse riding, volleyball, cycling, fishing, ice skating, skiing, croquet, polo, squash, baseball, bushwalking (hiking), rowing, sailing, and soccer. Five versions of football are played—rugby league, Australian rules, rugby union, soccer and gridiron (American) football. The Canberra Raiders Rugby League team has a place in local culture similar to the Washington Redskins, and won the National Competition in 1994.

Dress for the various sports is similar to that in the U.S. and quality sports equipment is available but at higher-than-U.S. prices. Children's bicycles and sports items are available.

There are several public golf courses available as well as clubs that offer membership privileges.

Tennis, mostly hard court, is popular. Limited numbers of public courts are available but small clubs are inexpensive to join. Squash courts are also available.

The Australian Institute of Sport (A.I.S.) in Bruce is a world-class training facility with residential programs for athletes of many sports. Indoor and outdoor stadiums are located there and their swimming and other facilities are available for some public use.

Lake Burley Griffin in the center of the city is the focus of many water activities. There are several sailing clubs with races held each Saturday and Sunday during summer. The rowing clubs participate in regular rowing regattas, and dragon boat races have become a popular annual event for amateur teams. A tourist boat regularly provides cruises around the lake—some with meals. Powerboats are not permitted on the lake.

Some streams are stocked with rainbow and brown trout. Lake Burley Griffin is stocked annually with both species, which may be taken only with a line and rod. Good ocean fishing is available on the south coast of New South Wales, about 100 miles from Canberra. A fishing license is not necessary in the Territory or in New South Wales but both size restrictions and bag limits apply.

Swimmers have a choice of a number of pools in the city (indoor and outdoor) and a number of natural pools on rivers outside the city. Most offer swim lessons for children. Canberra is a 2-hour drive from the ocean and good, if chilly, surf beaches.

Most school children join one or more of the many sports clubs operating for children, which practice once or twice weekly, and compete on weekends. In addition the YMCA and YWCA cater to children 8 years of age and older. Activities include basketball, volleyball, squash, judo, trampoline, gymnastics, yoga, etc. Also active are various church groups, scouts, girl guides, and the Canberra Police and Citizen's Youth Clubs.

Touring and Outdoor Activities

The Canberra area has a wide range of options for every member of the family. In the city, the major sites include the new and old Parliament Houses, the High Court, Questacon (the Science and Technology Centre), the National Gallery of Australia, the War Memorial and Tomb of the Unknown Soldier, the Royal Australian Mint, the Australian National Library, and Regatta Point—a display center to explain Canberra's planned development. Also close by are a Dinosaur Museum, the National Aquarium and Australian Wildlife Sanctuary, the National Museum, Cockington Green (a miniature English village) and a number of other tourist attractions.

For those who like the outdoor life, there is Namadgi National Park plus many nature reserves and recreation areas for bush-walking, bird-watching, camping and barbecues. The Tidbinbilla game reserve, the NASA tracking station and a dry alpine slide are each about 45-minutes drive from Canberra. Many picnic spots with facilities at lake-side areas are available, as well as picnic grounds in the city, often equipped with free electric grills or firewood. There are also about 10 wineries to visit near the city. The only real problem with outdoor activities is the large number of flies in summer months, which can be bothersome.

There are many seaside resorts on the coast, 100-200 miles from Canberra, which are accessible by paved road. The beaches are beautiful and the drive, scenic. Accommodations are heavily booked during summer holidays.

Good skiing at about five resorts, as well as on cross-country trails, is available about 100-130 miles from Canberra in the Snowy Mountains. The ski season tends to be short. Equipment can be hired in Canberra, Cooma or at the ski resorts. The Snowy Mountains, location of the large Snowy Mountain hydro-electric development, is also an attractive area for summer recreation with camping, picnic and fishing areas, water sports, a llama farm, riding (both day or longer trail-rides) and other activities.

Entertainment

Except for opera, for which it is necessary to go to Sydney or Melbourne, it is possible to enjoy a wide range of cultural activities in Canberra very easily and relatively inexpensively. The Canberra Theatre Center, which has a theater seating 1,200 and a smaller playhouse, sponsors a full range of live theater with both local and touring companies and performers. The Canberra Repertory Group is one of several groups producing high-quality plays. The Canberra Symphony Orchestra and Musica Viva arrange a number of subscription concerts annually. Active music clubs and a number of other societies offer a wide variety of cultural and intellectual programs. The Canberra School of Music presents a number of concerts and recitals of near-professional caliber in Llewellyn Hall. Movie theaters show American, British, Australian, and continental films. Movie theater tickets are more expensive than the U.S.

Canberra has a casino, and a few nightclubs together with several discos and restaurants with live entertainment/dancing. There are more than 300 restaurants providing a wide range of ethnic cuisines. In addition, most Canberrans belong to social or sporting clubs which provide inexpensive restaurants for members as well as recreational facilities and slot/poker machine gambling.

Social Activities

Most social and official occasions enable Americans to mix freely with Australians. Americans residing in Canberra include US Government employees and their families, research fellows at ANU, American spouses of Australian officials, and business representatives. Spouses of the Embassy's American personnel meet regularly and the Australian American Association has a range of events. Canberra's social life varies with the wishes of the individual. Active, outgoing individuals find little effort is required to be accepted by Australians or American coworkers. Living in Canberra is similar to living and working in any modern, Western city.

Brisbane

Brisbane, with a population of about 1.6 million (1999 est.), is the capital of Queensland. It is 13 miles from the coast and 80 miles north of the New South Wales border. Situated on the Brisbane River, it is virtually at sea level and the city area covers 471 square miles.

Brisbane is surrounded by hills and nestled near beautiful Moreton Bay. The landscape rises from the river banks through hilly suburbs and on to the 3,000 foot peaks of mountain ranges less than 30 miles away. Ten miles of meandering river, parks and gardens and a unique blend of historical buildings and sophisticated architecture combine to create the charm that is Brisbane.

Brisbane was first settled in 1823 and has been the capital of Queensland since the foundation of the State in 1859. In the last ten years the city has developed rapidly and is now an attractive, modern urban center of over one million people. The city's population remains predominantly of British origin. However, the non-Anglo Saxon group has grown considerably since World War II as a result of the Australian immigration program. It includes Dutch, Italians, Greeks, Germans, East Europeans, Chinese and Vietnamese. Approximately 9,000 Americans also live in Queensland, most of those in the south east corner of the State in and around Brisbane. A large number of these are ex-servicemen who married Australians during World War II.

During the last decade, the face of Brisbane has changed markedly. There is the new Queen Street Shopping Mall, the new Queensland Cultural Centre Complex, State Library and Museum and a host of new international hotels.

Brisbane's other main advantage is as a gateway to Australia's popular tourist playgrounds in the sun, on the beach (not more than 2 hours drive to the north or south), in the tropical rainforest hinterland and agricultural farms. Brisbane is 483km (300 miles) south of the Tropic of Capricorn and 22 km (13 miles) up the Brisbane River from the Pacific Coast at Moreton Bay.

A number of U.S. business firms are locating in Queensland bringing engineers, technicians and supervisory personnel. The number of American tourists coming to the State continues to increase with the introduction of discount airfares on the Pacific routes and the attraction of the Great Barrier Reef, the beaches and the Australian out-back. Queensland has three international airports at Brisbane, Townsville and Cairns.

Queensland boasts a subtropical climate and is one of Australia's sunniest capitals enjoying an average of 7.5 hours of sunshine a day.

Summer: September-May—Average temperature ranges from 66°F to 86°F.

Winter: June-August—Average temperature ranges from 42°F to 66°F.

Queensland has summer rainfall and dry winters. Many of the older homes are well designed to be cool in summer and do not need air-conditioning. As there is also usually no central heating, these houses can be quite chilly during the short winter.

Clothing

As Queensland winters are short and fairly mild, dress appropriate for a Washington, D.C., spring/summer/fall will be appropriate year round for Queensland.

Supplies and Services

City Shopping: The main shopping streets in the city are the grid formed by Elizabeth, Queen and Ann Streets crossed by Edward, Albert and George Streets. The Queen Street Mall is located between Edward and George Streets and is the city heart for commerce, busy shoppers and workers. It features an information booth, outdoor restaurants, shaded seating and plenty of places to rest. Several large department stores in the city area offer most goods found in US department stores.

Suburban Shopping: Spacious drive-in suburban shopping complexes offer convenient air-conditioned shopping, including large supermarkets, clothing, electrical, and hardware stores, coffeeshops and delicatessens.

General Shopping Hours: In the city—8.15 am to 5 pm except on Fridays 8.15 am to 9 pm; Saturdays 8.15 am to 4 pm; on Sundays many (but not all) shops in the downtown area are open 9 am to 4 pm. In the suburbs—8.15 am to 5 pm except on Thursdays 8.15 am to 9 pm and Saturdays 8.15 am to 4 pm. Most larger stores are now open until 9 pm on weekdays.

Some small suburban "corner" stores have flexible hours and open from 7 am to 7 pm and often later. There are day and night chemists (drugstores) in the city and in most suburban districts.

Transport

The transport system in Brisbane is reasonably efficient with regular bus, train and ferry services. Taxis are also readily available for hire.

Education

State schools are considered very good at the elementary levels; some state high schools are also considered good. Students who have come from US schools with high academic standards may be advised to move ahead one grade in Queensland schools.

Churches play an important part in education in Brisbane and run most of the private schools.

School uniforms are generally worn at all junior schools, however they are not compulsory. The high schools normally require students to wear a uniform.

School holidays are of approximately 2 weeks duration with 6 weeks in December to January. Because of the school calendar, many families arriving from the northern hemisphere find a December/January transfer convenient.

Entertainment

Brisbane's Queensland Cultural Centre is situated on the south bank of the Brisbane River and was completed in 1988. The complex houses the Queensland Art Gallery, the Queensland Museum, the State Library of Queensland and the Performing Arts Complex. The latter has a Concert Hall and Lyric Theatre each with seating for 2,000 people. The Brisbane Entertainment Centre, which opened in 1986, has seating for 13,000.

Because of the presence of both the Queensland Cultural Centre and the Brisbane Entertainment Centre, touring groups of international repute increasingly include Brisbane on their Australian schedules, including ballet, opera, chamber groups, larger ensembles and popular music groups. The Queensland Symphony Orchestra gives regular concerts and has internationally known guest stars. Live theatre is very popular in Brisbane and the Queensland Theatre Company performs first class productions regularly.

Many larger concerts and shows are held at the Brisbane Entertainment Centre at Boondall, some 30 minutes drive from the center of the city, which can seat approximately. 13,000 people.

Restaurants: Brisbane restaurants are many and varied, ranging from large international class to small ethnic cuisine restaurants. Queensland's seafood and tropical fruits are a major feature in many restaurants.

Tipping: Tipping is not compulsory in Queensland, nor is it a widespread practice. It is usual, however, to tip hotel porters, restaurant service and taxi drivers if they have helped with luggage.

Radio/Television: For home entertainment, national and commercial radio networks offer a variety of programs. Five all-color TV stations, including one noncommercial channel, broadcast a mixture of US, BBC and Australian programs. The fifth channel offers a wide range of multi-cultural programs. The TV system is PAL and is not compatible with the U.S. system.

Library: The State Library of Queensland consists of a reasonably well-stocked central library housed in the Queensland Cultural Centre, with several suburban branches. The Brisbane City Council also offers a well-stocked library to Brisbane residents, with branches in many suburbs.

Sports

Brisbane's mild climate is extremely favorable for all forms of sporting pastimes and special events.

Australia's favorite sports—cricket, Rugby Union, Rugby League and Australian Rules football—are all readily available in Brisbane.

In the city, tennis, golf, squash, cricket, badminton, bowling, lawn bowls, rugby, soccer, baseball, swimming, and flying are available. Deep sea and surf fishing are popular throughout the State, and the Great Barrier Reef provides spectacular snorkeling and scuba diving. Water skiing and small boating are popular on the Brisbane River and inland lakes. Sailing and rowing competitions and regattas are held on the river and big boat enthusiasts may cruise the beaches of nearby Moreton Bay or the Pacific Ocean.

Camping or hiking (bushwalking) can be enjoyed in the rainforests or on the Darling Downs about 2 hours from Brisbane. There are camping sites with full facilities in all the National Parks in Queensland.

Waterfowl shooting in the Brisbane Valley is popular with hunters. Brisbane has an artificial ice skating rink, but skiing and other winter sports are not available.

Surfers Paradise on the Gold Coast is only one and a half hours drive south from the city and offers miles of golden beaches, good surfing, water slides, fun attractions, shopping and restaurants.

One hour to the north, the Sunshine Coast offers quieter relaxation on equally beautiful beaches.

Horse racing is well catered for in Brisbane and there are regular trotting and greyhound racing meetings.

Most sporting equipment is available in Brisbane. Depending upon quality preferred, it may be expensive. Bring an initial supply with you. No particular taboos or special requirements exist for sports attire except that whites are required for lawn bowls and cricket.

As Brisbane was host to the Commonwealth Games in 1982, special sporting facilities were built such as the covered Chandler Swimming & Sports Centre and the QE II Sports Stadium.

Social Activities

Business and sporting clubs and organizations such as the American Chamber of Commerce, State Chamber of Commerce and Industry, Rotary, Lions and the Australian-American Association offer excellent points of contact.

Melbourne

Melbourne is the capital city of the State of Victoria at the southeastern corner of the Australian continent and has a population of approximately 3.4 million (1999 est). The city sprawls on gently rolling terrain on the shores of Port Phillip Bay about 50 miles from the ocean. It is bisected by the Yarra River.

Melbourne's latitude of about 38 degrees south corresponds to that of Washington, D.C., and San Francisco; but the climate is more changeable, with warm days and cool nights. Although temperatures rarely drop below freezing, cold evenings and morning frosts do occur in the winter months. The usual summer pattern is a week of gradually rising temperatures culminating in a few hot days suddenly broken by the "cool change", which drops the temperature sharply and starts the cycle all over again. At any time of year the climate is highly changeable with rain, sunshine, heat, and cold sometimes all occurring in the same day. Because of the mild but variable climate, Victoria, South Australia, and Tasmania are well suited for a wide range of flowers and trees that bloom all year round. South Australia and Victoria are noted for their good wines. All three states are rich farming and livestock-producing areas. Victoria, and especially Melbourne and its nearby districts, is a major industrial area. There are several other important industrial areas in South Australia.

Melbourne is a major port city and rail hub, as well as a major center of industry, business, and finance. Its parks are magnificent, its streets are ample, and it is an easy city to get acquainted with and in which to move around. Because of its size and given the high number of cars per capita in Australia, traffic is a growing problem.

The center of the city, however, has numerous car parks and the local transportation system of trains, trams, and buses is extensive. Taxicabs are clean, reliable, and easy to obtain.

The city has an impressive skyline. A recent construction boom resulted in a large increase in modern office and apartment buildings in the 15 to 50-floor category.

Australia's post World War II program of immigration has brought to Melbourne many "new Australians" from western and southern European countries. These have injected a continental influence that is noticeable in many ways in delicatessens, restaurants, shops, sports, music and cultural programs, as well as in the frequency with which foreign languages are heard.

Since the late 1960's there also has been a substantial influx of Chinese, Vietnamese, Cambodians, Lao and Indonesians which has broadened the city's ethnic and cultural base even further.

Nearly 75 percent of the approximately 20,000 Americans in the consular district are located in the Melbourne metropolitan area, with the rest scattered throughout the district.

Food

In Melbourne there are many supermarkets comparable to U.S. stores, such as Safeway. Imported items from the U.S. and Europe are available, but at higher prices than in the U.S. In addition, because of the large foreign population in Melbourne, there is an immense variety of delicatessens, butchers, and green-grocers specializing in Italian, Greek, Eastern European and Asian produce. Also some neighborhoods have country-style markets which are open several days a week. The largest, the Victoria market, sells everything from fresh fruits and vegetables to live chickens and sides of beef and lamb. Local seafood is excellent and varied, including good fish, oysters and crustaceans. The large saltwater crayfish, known as "rock-lobster" in the U.S. is very expensive but worth it.

Many supermarkets such as Safe-way are open until midnight, but there are several Coles supermarkets operating 24 hours a day. Smaller supermarkets may close around 7 pm. Almost all stores close at 5 pm on Saturdays. City Center shops are open Sunday 10 am-5 pm. "Milkbars" usually exist in the small neighborhood areas. Not only milk, but also other dairy products and "emergency" food items are available at these small stores all weekend. Some grocery stores and butchers will take telephone orders and deliver either free or for a very small charge. For large shopping orders, there is a "half case" outlet next to the parking lot at Prahran Market just off Chapel Street and Malvern Road (see Melway). Similar stores exist in various suburbs; these are listed in the Melbourne telephone directory.

Education

The school year in the state of Victoria runs from late January or early February through early December. The year is divided into four terms with two to three week intervals between terms. The first term ends about Easter, and the other breaks are usually in late June and early October.

In Melbourne most American children attend private nondenominational or church-related schools which are generally considered to be academically superior to the public schools (known in Australia as "state schools"). There is a great variety of these schools, but most American students have attended only a few of these. Sometimes pre-admission examinations are required, but most schools reserve a number of places for the children of temporary consular or business residents, who are admitted without any special formalities. Admission, which depends on the child's scholastic record and existing vacancies in various grades, is most easily obtainable at the beginning of the school year in late January or February.

Students at most private schools wear school uniforms. A substantial initial outlay of approximately 300 U.S. dollars is usually needed to equip a child with the school basics, including regulation shoes, blazers, ties, socks, and gym equipment.

Differences between the American and Australian educational systems are most pronounced at the secondary level, particularly in the last two years of high school. Subjects are roughly comparable up until year ten, although there is probably a smaller choice of subjects in Australian schools.

At least two high schools and a small number of private schools in Melbourne have introduced the international baccalaureate, an internationally recognized high school diploma equivalent to most European secondary school leaving certificates. The international baccalaureate usually requires students to pursue a rigorous course of study in a number of academic areas. Many American universities grant advanced standing to students who obtain the international baccalaureate.

Recently the state of Victoria introduced a new high school diploma which requires students to follow a special course of study in both years 11 and 12. It is known as the Victorian Certificate of Education (VCE) and is being introduced over a period of years beginning in 1990. A controversial issue with many secondary and university educators in Australia, the VCE was introduced to allow more flexibility in subject matter for students in the last two years of high school. In addition to the regular course of study, it requires students to undertake a number of independent study projects, which are graded within the high school; but there is also a major external examination which students take upon completion of year 12 to obtain the VCE.

It should be emphasized that the VCE is intended to comprise a two-year study unit in years 11 and 12. Therefore, students planning to attend high school in Melbourne in either of these two years would be well advised to obtain specific information from the schools of their choice regarding their special circumstances.

A good grade in the VCE and good high school grades would normally enable a student to gain admission to most American universities.

Clothing

Clothing prices in Australia are high by U.S. standards.

No matter when one arrives in Melbourne there is always the question of what weight clothes to put on—and by the time a decision is reached, the weather has changed completely! Generally speaking, the sweater, light coat or jacket which can be removed is a successful formula, whether it is winter, spring or autumn. Even in the summer either a long-sleeved cotton or a sleeveless dress with light sweater or short-sleeved jacket will be useful.

In the winter months (June-August), skiing is possible about 160 miles from Melbourne, so some "winter" clothing would be appropriate to wear for weekends on the slopes or just looking.

Melbourne has been known to experience all four seasons in one day. There is quite a lot of wind most of the year. In summer, Melbourne has a typical Mediterranean climate, except that the summer is as changeable as the rest of the year, so that hot weather alternates after four or five days with a cool change, and then back again. The following is a rough estimate of temperatures (in degrees Fahrenheit):

• Winter—June 21st through September 21. Daytime averages 57 degrees, nights in low 40's, rarely down to 32 degrees (if so, only for an hour or so); considerable rain and wind, no snow.
• Spring—September 22nd through December 21. Weather very changeable with some beautiful days about 75 to 80 degrees then a spell of colder weather again; daytime average 67 degrees; can be windy.
• Summer—December 22 through March 21. A few hot days around 100 degrees with sudden changes to moderate weather. Nights generally cooler. Daytime average 77 degrees; breezes.
• Autumn—March 22 to June 21. Best weather; not much wind; average daytime 65 to 70 degrees. Nights around 60 degrees.

(These dates are obviously the reverse of seasons in the Northern Hemisphere which seems to be more easily understandable and logical to North Americans; the Australians tend to use the beginnings of the respective months, rather than the 21st in referring to their seasons.)

Sports

Australians are outdoor sports enthusiasts and Australia is noted for fielding "world class" sports teams. In Melbourne, golf and tennis are the most popular participant sports and are played year round. Sailing, swimming, fishing, surfing, and skin-diving are also popular. Good ski slopes abound in the mountains about 160 miles east of Melbourne. Australian-rules football is a spectacle which attracts huge crowds in the winter season, as does cricket in the summer. Soccer is increasing in popularity with the influx of "new Australians" from European countries. There is a growing national professional basketball association (similar to the American NBA) and amateur basketball and baseball are played at schools or various club organizations. Melbourne has both private and public golf courses and the best of these, such as the Royal Melbourne Golf Club, are among the world's finest.

Sports equipment of all kinds is available locally, including many well-known brands from England, Germany, Japan, and the U.S. The broad range of different types of equipment makes it difficult to compare local and U.S. prices, but most sporting goods, including golf carts and tennis gear, are much cheaper in the U.S.

Tennis clubs are numerous and excellent; both grass and composition courts are available. Some tennis clubs admit children. There are several yacht clubs on Port Phillip Bay.

Deep sea, lake and river fishing are possible in this vast consular district. Small boats may be chartered in Melbourne or the suburbs for any type of fishing. Trout fishing is especially good in Tasmania. Hunting (or "shooting" as it is called in Australia) of ducks, birds, and some animals is possible in many areas. Target shooting can be arranged through one of the various rifle clubs.

Australian regulations no longer allow the importation of firearms of any sort.

Touring and Outdoor Activities

There are many one or two-day trips to be made near Melbourne. Plans, maps and general tourist information for short or long tours may be obtained from the Royal Automobile Club of Victoria (RACV), which provides road and other services for its members similar to those provided by the American Automobile Association, and from Victour.

We also recommend Blair's Guide to Victoria.

Roads outside the major cities are generally two-lane and are well maintained and provided with services such as wayside stops and gas stations.

Among the outstanding attractions in Melbourne are the attractively landscaped Royal Botanical Gardens. Because of the climate here, all tropical, sub-tropical and temperate zone trees, plants and flowers can be grown. Most are informatively labelled. The National Gallery, part of Melbourne's new Arts Center, has a choice Far Eastern collection, as well as splendid representation from other parts of the world. There is an excellent group of Australian Impressionist paintings. The several National Trust Houses in and around Melbourne are well worth a visit. The National Museum has an excellent scientific collection.

In addition to a well-stocked zoo in Melbourne where one can find a good section of Australian fauna, as well as new and imaginative areas being built for animals from all over the world, there is an excellent wild-life sanctuary at Healesville about 40 miles northeast of Melbourne in the foothills of the Great Dividing Range. There one can see the shy lyre bird, emus, wombats, and opossums, walk among tame kangaroos and wallabies, see koala at close range, and watch the duck-billed platypus in a specially-constructed tank.

Taking the back road to Healesville one can get a splendid overall panorama of Melbourne from Kangaroo Ground War Memorial Tower, just 10 miles north of the City. (For kangaroo viewing go on to Sir Colin Mackenzie Sanctuary at Healesville referred to above.)

Phillip Island, about 85 miles southeast of Melbourne, is a popular summer resort where seals, fairy penguins, koalas and other wildlife can be seen in their natural habitat. Many people make at least one overnight trip to watch the fairy penguins march in from the sea at dusk.

The Dandenong Ranges, about 20 miles east of Melbourne are attractive to explore on short day trips. Gippsland, an area of wooded hills and rolling dairy country beginning just southeast of Melbourne, is relatively little-known as a tourist attraction, but drives through this nearby area provide many opportunities to see flora and fauna of Victoria in its natural state.

Further to the southeast, about 150 miles, is Wilson's Promontory, the southern extremity of the Australian mainland. It comprises 116,000 acres of National Park which makes an ideal spot for walkers and swimmers. Flats and lodges of varying bed capacities are also available for hire at Tidal River within the Promontory. Arrangements for the rental of these accommodations are made through Tourism Victoria. There are also several small towns nearby where one can find adequate motel accommodations.

Facilities for campers with tent or trailer are good in all populated areas of Australia. Most campsites have toilet and shower blocks with hot water and laundry facilities. Trailers can be rented on the spot as well. Skin divers will find ample opportunity to pursue their hobby. To recapture the flavor of the gold rush era, day trips are possible to Ballarat and Bendigo, two old Victorian mining towns an hour's drive west and northwest of Melbourne, respectively.

The beaches inside Port Phillip Bay run over 50 miles from Melbourne down the Mornington Peninsula; the nearest ocean surf beaches are just outside the Bay about 1 1/2 hours' drive. The drive along the Peninsula, inside or out, is quite lovely with varied views. Sharks do appear along some of these beaches, but are less of a problem here than elsewhere in Australia. Many of the more popular public beaches have "shark watch" personnel as well as lifeguards on duty.

An interesting day or weekend trip by car by to Lake Eildon, about 90 miles northeast of Melbourne. This is Victoria's biggest man-made lake which was built to irrigate a vast area of northern Victoria, reaching as far as the Murray River. Set in the Upper Goulburn River Valley, Lake Eildon has an area of 50 square miles and picturesque 320-mile shoreline. It is ideal for water sports. Houseboats can be rented for a weekend or longer for great family vacations. In this area there is also a chance to see native wildlife.

Auto trips to the Australian Alps to see the Snowy Mountain hydroelectric power project take about six hours and good overnight accommodation is available.

The Great Ocean Road along the southern coast of Victoria to the west is a delightful way to get to South Australia. Special scenic attractions are the "Twelve Apostles" and Loch Ard Gorge, stark rock formations set in the midst of surging tides. Inland from the cliffs and beaches are the rain forests of the Otway Range with their tall, stringy-bark eucalyptus trees and tree ferns. Over the South Australian state border are volcanic lakes, limestone caves with recent exciting finds of extinct marsupial lions and giant kangaroos. The inland marshes are full of black swans, egrets and ducks. Further to the north, Adelaide, the capital of South Australia, is a beautiful city set in an amphitheater of wooded hills. The new music and art center is the focus for the Adelaide Festival which attracts talent from all over the world.

Returning from Adelaide, or a special trip on its own, a stop in the Grampians, low ranges of rocky mountains in Western Victoria, is especially worthwhile during springtime when there is a vast array of wildflowers carpeting the area.

Entertainment

Melbourne has many theaters whose productions include many musicals and plays from Broadway and London, sometimes with imported casts or stars, but more often with excellent local talent. There are also several repertory companies which present regular seasons runs up to five or six weeks for each play. The Victorian Arts Centre has lavish facilities for concerts, theater, opera and dance on a par with the Kennedy and Lincoln Centers.

Melbourne has an excellent symphony orchestra with a regular season. There are also several music societies which regularly present good opera, ballet and symphony concerts. The Melbourne Arts Festival, modeled after Italy's Spoleto Festival, takes place in September. In addition, many times during the year there are visiting orchestras, chamber music groups and soloists. A series of outdoor "Music for the People" concerts is given by the Melbourne Symphony Orchestra in the summer months at the Sidney Myer Music Bowl. Top jazz, rock and roll, and country and western bands from the U.S. and Europe perform regularly.

Several film societies present old and new films on a monthly basis. Some have special film festivals of a week or so duration. Also, special programs featuring returns of old favorites are very popular. This is, of course, in addition to the usual run of contemporary films presented on a public basis throughout all of Greater Melbourne. There is a Melbourne Film Festival in May with films from all over the world.

In Melbourne there are five TV stations; many AM and several FM radio stations. Classical music and news programs are available throughout the day and evening as well as the usual "top ten" tunes.

The Melbourne Cup horse race in November is considered to be Australia's outstanding race meeting of the year and is a major holiday and social event. The Davis Cup playoffs or finals often are held in Melbourne in December. The Australian Tennis Open is held in January. The Royal Agricultural Show is held in September. The annual Moomba carnival, celebrated each year in March, is sponsored by the City of Melbourne, with many varied exhibitions during a week-long program. Memorial events include observance of the battle of the Coral Sea in May and ANZAC Day in April.

Social Activities

Social activities vary according to responsibilities, desires and opportunities within a personal or family pattern.

The Australian-American Association (AAA)—Its aim is to promote close ties between Australians and Americans. Coral Sea Week (now known as Australia-America Week) has been celebrated together for many years, either at balls, dinners, luncheons or all-day picnics. Other occasions follow a similar pattern.

The American Club of Victoria—Its principal purpose is to mark the main American holidays. It organizes for its members a Memorial Day Service at a church followed by a reception at the Consul General's residence. For Americans and their Australian guests, the Club arranges a Thanksgiving Dinner at a local hotel.

The American Women's Auxiliary to the Royal Children's Hospital—Its main objective is the raising of funds to support a ward, and to help pay for materials and equipment, in the Hospital. Members may also do volunteer work in the hospital canteen or with the children themselves. The Club also serves as a welcoming group for Americans coming into the community, particularly American businessmen's wives.

The Auxiliary is open primarily to women of the Consulate General. The main social activities of this group are monthly luncheons with speakers, a rummage sale once a year and a Fourth of July Ball (usually held on the 5th).

There are men's clubs in and around Melbourne; some offer honorary memberships. There are the usual service clubs for men as well.

Some Americans have joined the American Branch of the Australian Red Cross and some participate in the activities of the English Speaking Union. Melbourne also has Rotary, Lions, Toastmaster, Kiwanis, and Apex Clubs.

Perth

Perth, with a population of about 1,364,000 (1999 est.), is the capital of Western Australia, the largest of the Australian States.

Perth entered into a stage of modern development during the economic expansion of the 1960s and early 1970s. Prior to then, Perth was one of the most isolated cities in the world, separated even from Australia's Federal capital by more than 2,100 miles. Road, rail, ship, and air services now provide a constant and quick interstate and international link. Modern communications and technology provide the instantaneous information demanded by a modern community.

Foreign capital, much of it from Japan, China, South East Asia, and the U.S., is spurring this economic growth and Perth has become a commercial and industrial complex in its own right. Perth's function as an administrative center for the vast hinterland remains all-important.

Perth is an attractive, modern city in the midst of residential expansion. Large areas of natural bush have been bulldozed to meet the demands of growth, and freeways connect the towering office blocks of the central business district and the suburbs. Flanked by thousands of new homes, roads and highways radiate out from the city center. Attractive residential areas front the Swan River and the Indian Ocean.

White, sandy beaches are accessible from most parts of Perth.

All the consumer goods and the modern comforts of life are available in Perth, but they are expensive. Many goods are manufactured in the eastern States and reflect the high cross-country transport costs.

U.S. firms are well represented through branch offices, subsidiary companies and agencies. Their interest is primarily in the oil and gas, and alumina mining areas. Approximately 7,000 Americans live in Western Australia.

Perth has one of the best climates in Australia. It is the sunniest of the State capitals, receiving an average of 8 hours sunshine a day. It has the wettest winters and the driest summers, with an average rainfall of 33 inches. Temperatures average about 73°F in summer and about 55°F in winter. In summer a number of days of above 100°F temperatures are to be expected, but low humidity and evening sea breezes make most summer nights comfortable. With winter rainfall and a lack of central heating, winter can feel chilly.

Food

Perth supermarkets are similar to their U.S. counterparts and are stocked with most varieties of foodstuffs required by the American consumer. Meats, fresh fruits, and vegetables are plentiful and reasonably priced. Paper products and cleaning supplies are expensive.

Clothing

Perth is a relaxed city and clothing is similar to that of southern California. Sundresses, slacks, jeans, T-shirts, and shorts are all in evidence as are smart luncheon dresses, tailored suits, and, sometimes, hats. For work most men still wear coat and tie, even in hot weather. Evening attire is similarly varied, ranging from long gowns to short cocktail dresses.

Perth has a budding fashion industry. Clothing of all types, including many international brands, are available in Perth stores; however, the cost is greater and the selection smaller than in the U.S. The same is true for underwear and children's clothing.

Supplies and Services

Several large department stores in the downtown business district offer most goods found in U.S. department stores. Also, spacious suburban centers offer convenient shopping in air-conditioned malls. These shopping centers and downtown stores close at 5 pm on week-nights and Saturday, except Thursdays, on which there is "late-night shopping" until 9 pm. The downtown mall and larger suburban centers are open on Sundays. Convenience stores stay open longer but charge higher prices.

Stores are well stocked. With the growth of the State's population, more goods are being produced in western Australia instead of being shipped from eastern Australia or overseas. Consumer prices in Perth are higher than for the eastern U.S. and higher than the U.S. average.

Religious Activities

Religion in Perth is predominantly Christian. Of the population, 26 percent are Anglican, 25 percent Roman Catholic, and 5 percent Uniting. All churches hold regular services and Sunday school and offer religious instruction to their members. Judaism is the chief non-Christian religion; the Jewish community is active. Recent immigration from Indochina, the Middle East, and the U.S. has broadened religious philosophies, there are now several Moslem mosques as well as churches of Seventh-day Adventists and the Latter-Day Saints.

Education

Educational opportunities, both formal and informal, are available to suit practically all interests. Four major universities provide tertiary and post graduate degrees. Technical, vocational and recreational learning centers abound as Perth services both the burgeoning population of Western Australia as well as several countries of Southeast Asia.

Perth churches play an important part in education and operate the major private schools.

Sports

Sporting facilities are excellent for tennis, golf, sailing, and all water sports. Horse racing, trotting, and dog racing are popular year round. Car racing, Australian rules football, and cricket are also popular spectator sports. Many sporting associations and public facilities are available for golf, tennis, lawn bowling, surfing, boating, and sailing. Membership is obtainable and inexpensive. Fishing, water skiing, biking, hiking, ten pin bowling, and rollerblading are also popular. Indoor rinks also make it possible to pursue ice skating and ice hockey. Baseball, softball, basketball, and soccer are also very popular.

Touring and Outdoor Activities

Good highways can speed the motorist to most areas of the State. The West Australian outback has some magnificent and rugged scenery. With the onset of spring, the wildflowers bloom in abundance, blanketing the State in blossoms.

Entertainment

Entertainment facilities in Perth are much like those one would encounter in a U.S. city of similar size. The library system consists of a well-stocked central library with numerous suburban branches. The State library also provides an information service.

Perth's principal museum, the Western Australian Museum, is devoted mainly to natural history, but it also has an interesting collection from pioneering days. It runs a children's center during the school holiday. The Western Australian Art Gallery has an interesting collection by many Australian artists. The city also has several private galleries. The port city of Fremantle has an excellent maritime museum.

Perth's concert hall and entertainment center attract artists of international renown. Excellent theaters on the University grounds as well as the refurbished His Majesty's Theater offer all forms of entertainment from classical to popular.

The city has five color TV stations, nine AM radio stations, and five FM stations. Numerous movie theaters show movies throughout the city and suburbs.

The Festival of Perth, held annually in February, attracts artists, plays, and exhibits from all over the world.

Social Activities

Western Australians are known for their friendliness. Sporting clubs and organizations such as Rotary and Lions offer excellent points of contact. The Australian-American Association and the American Women's Club provide opportunities for social involvement. Large organized social affairs are more formal than in the U.S. and long dresses or formal cocktail attire is worn.

The backyard barbecue is an institution in Perth because of the great weather and many invitations can be expected.

Sydney

In many ways Sydney is like San Francisco, with old homes perched alongside modern apartment buildings on hills overlooking picturesque bays and coves. It has an international seaport with a scenic harbor, dominated by a famous bridge, and the world-famous opera house. In other ways, the city resembles Los Angeles, with its pleasant climate and informal outdoor life. The mean temperature in Sydney ranges from 56°F in winter to 74°F in summer.

Sydney is the capital of the State of New South Wales. It is also Australia's largest city (about 4 million people, 1999 est.), and is situated on the magnificent harbor of Port Jackson. It was the first European settlement in Australia, settled in 1788 as a penal colony. Sydney was named for Thomas Townsend, the first Viscount Sydney, Secretary of the Home Department, responsible for colonial affairs when New South Wales was founded.

The city grew rapidly with the arrival of free settlers; establishment of wool and wheat industries in New South Wales; gold rushes; building of road and rail networks focusing on Sydney Harbor; and the development of commerce, industry, and banking. The growth was largely unplanned, and the winding narrow streets and jumbled buildings add to Sydney's charm while aggravating traffic problems.

The city is built on an undulating low land south and west of Port Jackson and some steeply scarped sandstone plateaus north of the harbor and along the coast. The higher areas are 487-682 feet above sea level. The harbor has many bays, inlets, and coves with about 180 miles of shoreline. Most of the shoreline has been developed, but some areas have been set aside for parks, recreation areas, and reserves. Harbor Bridge, a single span steel arch known as the "coat hanger," and an underwater tunnel connect the north and south shores.

Food

As in Canberra, most foods are readily available. Supermarkets, as well as specialty shops, are found in the city and suburbs. Some "American" food staples, such as Crisco, Bisquick, corn meal, and Mexican specialties, can occasionally be found in more expensive "international food" sections of stores.

Clothing

Sydney has a milder climate than its sister cities to the south. However, personnel often travel to the other areas of Australia. We suggest bringing some clothing suitable for tropical climates to the north and for the southern winters. For Sydney, clothing suitable for San Francisco is appropriate most of the year, though summers tend to be hotter and muggier.

Education

All public or government schools in Sydney are controlled by the New South Wales Department of Education. Non-government schools are usually church-sponsored, but they must follow courses and conform to the examinations of the State government system. Uniforms are usually required.

The school year begins in February and is divided into four terms; a break of approximately 2 weeks occurs between each term (April, July, September), with the long vacation (summer holidays) occurring in December/January. Both public and private schools follow this yearly pattern with only minor variations.

Grade placement is usually determined by the student's age, previous experience, and overall academic ability.

Free passes for use on public transport on buses and trains are provided for all children traveling more than 1 mile if they are attending the nearest appropriate school. This service is also provided to children attending private schools with no restriction on distance but with restrictions as to the outer limits on the transport system.

Sports

Sydney's outdoor sports facilities are equalled by few cities of its size in the world. Beaches on the ocean north and south of the harbor entrance offer swimming, surfing, and beach sports from October through March. The harbors and rivers in the area are favorites for sailing and water skiing. The shark menace has been widely publicized, but no one has been attacked in the harbor for over 10 years, and beaches and offshore waters are patrolled.

Sydney is a sailor's paradise. The harbor is filled with small boats every weekend. Sailboats and power boats can be purchased locally, but prices are higher than in the U.S. prices.

Skiing is growing in popularity, though the season is limited to June-August and sometimes September. Ski resorts are 6 hours or more from Sydney by car. You can rent equipment.

The city is full of magnificent golf courses, both public and private, and tennis courts are numerous. Squash is a popular local pastime and squash courts are available at many clubs and at several large commercial facilities. The leading spectator sports are cricket and rugby football. Baseball also has been popular for many years, particularly in the western suburbs of the city, and a regular amateur league has teams throughout Australia. Basketball is growing rapidly in popularity. Indoor rinks also make it possible to pursue ice skating and ice hockey.

Hiking (bush walking) is popular, as is amateur prospecting in some of the old gold or opal fields in the interior of the State.

Saltwater fishing is good, and several streams and lakes offer freshwater fishing. Hunting most animals and birds is controlled, and hunters are often confronted by animal rights activists.

Touring and Outdoor Activities:

A number of pleasant picnic spots exist both within and near the city.

One of the favorites is the Royal National Park, about 30 miles south. Sydney has an excellent park system. Most suburbs have park and playground areas for children that are owned and controlled by local councils. You can reach the Sydney Zoological Gardens at the Taronga Park by car, bus, or ferry. The zoo, in a beautiful setting overlooking the harbor, is world famous for its collection of Australian fauna. A world-class aquarium is located at Darling Harbor, and another one in the North Shore suburb of Manly.

The Royal Botanic Gardens, Art Gallery of New South Wales, and the Australian Museum offer interesting and educational exhibits and are close to the city center. The magnificent Blue Mountains are less than a 2-hour drive to the west, and beaches on the south coast are popular vacation or weekend trips.

Entertainment

Sydney has many movie theaters, including large downtown and neighborhood first-run cinemas. Most films are English or American, but foreign-language films are also shown. Most films are seen here soon after release.

The legitimate theater retains its hold on the affection of Sydney-siders, and at least five or six stage productions are usually going on simultaneously. Productions include reviews and musicals, as well as drama and experimental plays. Some small, independent theaters in the suburbs have had successful productions and have become locally well known.

Australian ballet and opera companies have regular seasons in Sydney. Sydney's world-famous Opera House at Bennelong Point was opened by Queen Elizabeth on October 20, 1973. It contains concert halls, restaurants, and theaters, as well as the opera theater, and is the focal point for cultural entertainment in Sydney. Both the ballet and opera maintain international standards and have successfully tour abroad. Public support is widespread and bookings should be made in advance. The Sydney Symphony Orchestra has a 6-month season and often has foreign guest soloists or conductors. World-class touring orchestras, chamber music groups, and soloists appear frequently.

Outdoor fairs include the Royal Easter Show and the Autumn Sheep Show. Other important events are the City of Sydney Festival in January, ANZAC Day Parade and commemoration ceremony in April, and the Australian-American Friendship Week in May. No unusual guidelines, etiquette requirements, or photographic restrictions apply to these activities.

Social Activities

Social contacts of Americans range from informal home visits to more formal meetings and an occasional full-dress ball. Except for small gatherings, however, few functions consist exclusively of Americans. Several Australian-American organizations are active in Sydney. The most prominent organization for promoting bilateral relations is the Australian-American Association (AAA), which sponsors an annual Friendship Week Ball, 4th of July activities and other social functions during the year.

The American Society and its affiliate, the American Women's Club, also have large and active memberships and welcome new arrivals to their ranks. The Society holds an Independence Day Celebration, an annual picnic, and other social events keyed to traditional American holidays, or to benefit worthy causes.

An American Legion chapter is active in Sydney. Another successful local organization is the American Club, a downtown eating club, a majority of whose members are now Australians.

The social club is a prominent feature of Sydney life. Clubs cover every form of activity from golf and tennis to lawn bowls, ethnic societies, and rugby league clubs. Since slot machines are legal on club premises in New South Wales, many of the larger clubs have used this income to subsidize club activities and have low membership fees and lavish facilities—including indoor swimming pools, nightclubs, moderately priced meals, and such auxiliary activities as sports tournaments and charter group travel arrangements. Until recently, club life was predominantly a male phenomenon. But now women are admitted to full or associate membership in most institutions.

Sydney is a cosmopolitan city, and contacts with third-country nationals are frequent in the course of normal official or social activities.

Adelaide

Adelaide, founded in 1837, is the capital and principal city of South Australia. It was named for the consort of Britain's King William IV, and was the first city in Australia to be incorporated (1840). Now a thriving municipality of over 1 million inhabitants, it is a business and commercial center which supports a large export trade (Port Adelaide is only seven miles from the city), and which boasts a relatively new complex for the performing arts, the Adelaide Festival Centre. The Centre hosts Australia's premier performing arts festival. Adelaide is also the site of the annual Australian Formula One Grand Prix.

The city lies on the River Torrens, in an amphitheater of wooded hills. Its numerous parks and gardens provide the setting for an interesting mixture of colonial architecture and large, modern buildings. The University of Adelaide, more than a century old, is located here, as is Flinders University of South Australia, which was founded in 1966. Adelaide is noted for its many churches, including St. Peter's Anglican Cathedral. The South Australian Museum contains the world's largest collection of aboriginal artifacts.

One of the major tourist attractions in Adelaide is the huge Central Market, the largest produce market in the Southern Hemisphere. Shopping centers, where aboriginal arts and crafts may be purchased, and good hotels and restaurants have helped to increase business and tourism in the city. The South Australia Government Tourist Bureau conducts tours of the city and its environs and also of the Barossa Valley wine-producing district, where a vintage festival is held in odd-numbered years.

Warm-weather sports are particularly popular in Adelaide's climate. There are many cricket fields and tennis courts (Davis Cup matches are held here). Among the other popular sports are lawn bowls, golf, racing, water sports and, in the winter, football.

From Melbourne, the Great Ocean Road along the southern coast of Victoria to the west is a delightful way to get to South Australia, and on to Adelaide. Inland from the cliffs and beaches are the rain forests of the Otway Range with their tall, stringy-bark eucalyptus trees and tree ferns. Over the South Australian border are volcanic lakes and limestone caves, with recent finds of extinct marsupial lions and giant kangaroos. The inland marshes are full of black swans, egrets, and ducks. The trip is fascinating, and lures many tourists to this part of the Australian continent.

Hobart (Tasmania)

Hobart is the capital of historic Tasmania, Australia's southernmost state. Named for Lord Hobart, a British colonial secretary, the city was known as Hobart Town for nearly 40 years after its incorporation in 1842. For a brief period, it also was called Hobarton. What is now the capital city originated as a penal colony on the site of one of the present suburbs, Risdon, but the settlement soon was moved across the Derwent River. In 1812, it became the seat of state government.

The island state of Tasmania located about 150 miles to the south of Melbourne across the Bass Strait, is an outdoor adventurers dream-land. There are over 2000 km of walking tracks on the island and 18 national parks, with mountains, rivers and lakes that are never too far from the fabulous beaches on the coastline. The patient, observant hiker may get to see some of the abundant wildlife on Tasmania including wombats and wallabies, pademelons and platypus, kangaroos and quoll, and of course, the Tasmanian Devil. Fishing is plentiful and ocean life includes a large number of seals, dolphins and whales.

Dozens of guided and self-guided walking tours lead through Victorian-era streets and seaside towns to tell the stories and legends of the earliest European settlers, most of whom were British convicts and the families of British security officials. Several prison buildings are now museums with artifacts, exhibits and presentations to share the history and experience of these people. Before the arrival of the British, however, Tasmanian Aborigines lived in isolation on the island for nearly 10,000 years. Their unique experience is shared at the Tiagarra Centre on Devonport's Bluff.

For a more refined experience, Tasmania has dozens of shopping markets that offer a variety of goods from antiques to arts and crafts. Excellent wines, cheeses, and chocolates, as well as local specialties such as leatherwood honey, are tempting treats. And in the evening, you can take in a concert at the Tasmanian Symphony Orchestra's Federation Concert Hall.

The population of Tasmania is about 470,000 (2000 est.) Tasmania can be reached by plane or ferry from Melbourne.

Hobart is the home of the University of Tasmania and of the State Library, which houses an excellent museum and fine art galleries. There are many designated historic sites in the city, as well as botanical gardens of note.

Fishing, swimming, golf, lawn bowls, and squash are among the numerous sports available in this temperate climate. Spectator sports feature especially the annual Sydney-Hobart Yacht Race, originating in Sydney the day after Christmas. There is ample opportunity for entertainment in Hobart, which has a legal gambling casino, plus concerts, movies, legitimate theater, and a wealth of hotels and restaurants.

The metropolitan population of Hobart is over 194,000 (1999 est.).

OTHER CITIES

From its rough and tumble beginnings as a small desert town, ALICE SPRINGS has grown just enough to include all the modern facilities a traveler could want while keeping true to the rustic Outback heritage of the town. Alice Springs is located right in the center of Australia on the banks of the Todd River, which is usually dry. The second largest town in the Northern Territory, it is called the capital of the Outback with a population of over 27,000. It became most popular as a tourist site after the release of the 1956 film romance, A Town Like Alice.

Originally named Stuart, the town was founded in 1871 as construction began there for the overland telegraph station built to relay messages between Darwin and Adelaide. The waterhole located just east of the telegraph station buildings was named Alice Springs in honor of the wife of Sir Charles Todd, the Postmaster General of South Australia. The locals began to use the name for their town and officially renamed the place Alice Springs in 1933. The Alice Springs Telegraph Station and the water-hole are still popular sites to visit.

For those looking for a moderate outback adventure, Alice Springs offers a variety of opportunities to explore. Hikers will enjoy the Ayers Rock, a two-mile red monolith, and the nearby Olgas, a huge group of domes of lavender conglomerate rock. Overnight or weekly dude ranch trips out of Alice Springs are similar to those in the Western U.S. Camels are widely available for excursions or you may choose to tour the area from a hot air balloon. Visitors can stay at one of two major Caravan Parks, which offer accommodations that range from simple camp sites to deluxe villas with fully modern facilities.

The Alice Springs Desert Park is a combination national park, zoo, research center and aboriginal cultural center. The park offers 1.6 km of trails through three typical desert habitats as well as a wide range of interactive exhibits and presentations designed to share an appreciation for the land and people of the Australian outback. The National Pioneer Women's Hall of Fame, featuring the accomplishments of women who made pioneering discoveries in all fields, is also located in Alice Springs.

If you're in Alice Springs in September, you won't want to miss the world famous Henley-on-Todd Regatta. The event attracts many local and international participants who have found ingenious ways to race their homemade boats on a river without any water.

Trips to Alice Springs should be in the winter months, since the dry center of Australia can be very hot in the summer.

Situated on the north coast near the Timor Sea, DARWIN is the capital of the Northern Territories. With roughly 88,000 residents (1999 est.), it has one of Australia's finest harbors and is one of the country's most modern cities. Darwin is the service center for the sparsely inhabited hinterland; the economy also relies on government business. This is a vital transportation and communications hub, served by an international airport. The area was founded in 1839 by a surveyor on the HMS Beagle, scientist Charles Darwin's (1809-1882) research ship. The expanding air service industry accounted for much of the area's growth in the 1930s. The Allied armies in Northern Australia were headquartered here during World War II, when Darwin was heavily damaged in bombing raids. A 1974 cyclone decimated the city, but it was rebuilt with government aid.

FREMANTLE , a suburb of Perth, is located on the Indian Ocean at the mouth of the Swan River in southwestern Australia. Founded in 1829, Fremantle is the terminus of the Trans-Australian railroad as well as the seaport for Perth. The city is a fishing and passenger port and the chief commercial port in the area. Fruit, flower, wheat, and wool are exported, and steel, oil, and phosphates are imported. East Fre-mantle and North Fremantle are suburbs of the city which has a current population of more than 25,000. Fremantle gained worldwide recognition as the site of the 1987 America's Cup yachting race.

GEELONG , Victoria's second largest city, has an estimated population of over 156,000 (1999 est.). It is an important port, located on Corio Bay, 50 miles southwest of Melbourne. A large percentage of the nation's wool crop is marketed here; shipping and manufacturing are also major employers. Many schools and laboratories, as well as a large library, have made Geelong a center of education. The city set aside 40 percent of its area for parks, and lies in the middle of a coastal resort area. Geelong's name is taken from the Aboriginal jillong, meaning "the place of the native companion," a reference to a long-legged bird.

GOLD COAST , 50 miles south of Brisbane, is a resort complex that straddles the Queensland/New South Wales border. Building restrictions here were lifted in 1952, causing a massive construction boom. Beach resorts abound in Gold Coast, where the population of approximately 391,000 (1999 est.) expands dramatically at holidays. Tourist attractions include a fauna reserve and a bird sanctuary.

NEWCASTLE (formerly called King's Town) lies on the Tasman Sea, 100 miles northeast of Sydney. Iron and steel industries, mining, and textile manufactures are the main economic activities here. Newcastle was founded in the early 19th century as a penal settlement and became a city in 1885. The city has port facilities and a channel. The War Memorial Cultural Centre was established in the 1950s. Newcastle's current population is nearly 479,000 (1999 est.) and is Australia's sixth largest city.

The seaport of WOLLONGONG is 40 miles south of Sydney. With over 263,000 residents (1999 est.), this is the nucleus of the Illawarra dairy region. Bulli coal deposits have lured many heavy industries to the city, and the artificial harbor of Port Kembla is the home of a fishing fleet. Wollongong has road and rail connections to Sydney. The University of Wollongong and a technical college are located here.

COUNTRY PROFILE

Geography and Climate

Australia is a large, comparatively dry, and sparsely inhabited continent, almost as large as the 48 contiguous U.S. states. Australia, the only continent that consists of a single nation, is also the only inhabited continent which is isolated from all others (total coastline exceeds 22,000 miles). Average elevation is about 985 feet, which makes it the flattest continent on earth. This is among the prime reasons for sparse annual rainfall—16.5 inches, which is less than two-thirds the world average (26 inches). Further, the rain falls mainly on coastal regions: Forty percent of the surface gets less than 10 inches per year, and annual evaporation exceeds annual rainfall on about three-quarters of the land. Overall runoff is less than half that of the Mississippi basis; Australia has no navigable rivers of any commercial significance.

In general, the country is warmer than the U.S. (the northern one-third is in the tropics, the rest in the temperate zone). Temperature extremes are much less pronounced. Sydney's average daytime temperature is 59 degrees Fahrenheit in the coldest month (July), and 81 degrees in the warmest month (January).

Population

Most of Australia's 19.2 million people live in the south and southeast coastal areas (temperate zone). The states of New South Wales and Victoria contain about 60 percent of the population. Australians are mainly city dwellers: about 63% percent reside in the eight capital cities, with about 38% in Sydney or Melbourne.

About 80% of Australians are of British or Irish descent. After World War II, Australia began to encourage immigration from other European countries also, and these immigrants and their descendants make up most of the balance. Approximately 23 percent of Australians were born overseas (9 percent in the UK, Ireland, or New Zealand), and about 20 percent to homes where English is not the dominant language. Immigration from Asia has increased in the last twenty years, especially from Vietnam, Cambodia, and China. Fifty percent of current immigrants come from Asia, and Asian-Australians are projected to account for 10 percent of the total population within a generation. In 1992, the population's annual rate of growth was estimated to be 1.37 percent; a little less than half of that stemmed from immigration. The government promotes pluralism, ethnic tolerance, and social diversity, describing this policy as multiculturalism.

Aboriginals and Torres Strait Islanders total about 260,000 (approximately 1.5 percent of the population). Most of them live in northern coastal regions and the interior, but there are also significant aboriginal communities in metropolitan Brisbane, Sydney, and other Australian cities.

Government

Australia is divided into six states and two territories: Queensland, New South Wales, Victoria, Tasmania, South Australia, Western Australia, the Northern Territory, and the Australian Capital Territory (Canberra). All eight regional jurisdictions are represented in both houses of Parliament. Australia also governs external territories such as Norfolk Island in the Pacific (about 1000 miles northeast of Sydney), as well as the Cocos (Keeling) and Christmas Islands in the Indian Ocean (about 1600 miles northwest of Perth).

In fiscal terms, Australian state and territorial governments mainly depend on grants from the federal government, for they do not tax personal incomes or corporate profits. Nevertheless, the states and territories have broader administrative authority than states of the U.S., for they manage various functions that Americans usually associate with local government (e.g., police, schools, and hospitals). In Australia, local governments provide relatively minor services (e.g., water supply, recreation facilities).

Canberra, the capital, is about 180 miles southwest of Sydney. During nation-building ferment of the 1890s, it became clear that partisans of Sydney and Melbourne could not reach agreement on either city as the permanent capital. The site of Canberra, the compromise, was selected after the six states federated in 1901. Chicago architect Walter Burley Griffin designed the basic plans, and construction started in 1913.

The Commonwealth (federal) government and the six state governments operate under written constitutions which mainly draw on the British (Westminster) tradition of a Cabinet government that is responsible to a majority in Parliament's lower chamber, the House of Representatives. The federal constitution, however, also contains some elements that resemble American practice (e.g., a Senate in which each state has equal representation).

The head of state is Queen Elizabeth II, the reigning British monarch, but she exercises her functions through personal representatives living in Australia (i.e., the Governor-General of Australia and the Governors of the six states). All seven are Australian citizens and are appointed at the recommendation of the respective head of government (i.e., the Prime Minister or the Premier of a state). Most of their duties are ceremonial, and they mainly act on the advice of Cabinet ministers. Democratically elected representatives thus exercise effective rule, and in recent years there has been considerable debate about proposals to abolish the monarchy and establish a republic.

Voting is compulsory, and seats in the 147-member federal House of Representatives are allotted to the states and territories according to population. Members of the House are elected to three-year terms from specific "divisions" (districts) by means of a preferential voting system, but the Prime Minister may recommend new national elections before the three years have elapsed. (The Governor-General traditionally follows such advice.)

The Prime Minister and other Cabinet ministers are all serving members of Parliament. By tradition, most are members of the House of Representatives, which is the focus of intense debates and a highly structured competition that pits the government against the opposition. Party discipline is strict; almost all controversial proposals are debated and enacted along party lines. It is rare for a member to cross the floor (i.e., vote against party views), and anyone who does so risks expulsion from the party or rejection for "preselection" in the next electoral cycle. (Australia does not have primary elections. A candidate for the House of Representatives is nominated during a meeting of the party's local members.)

Each of the six states elects 12 federal Senators who serve for six years, but their terms overlap—so that half these seats are at issue every three years. In addition, each of the two territories elects two Senators who serve three-year terms. The upper house thus has 76 members in all.

Drafters of the constitution intended that the Senate mainly serve to represent the states and protect their rights. But because of strict party discipline and complex electoral methods—at-large voting involving proportional "quotas" and sequential tallies that take account of second and subsequent preferences marked on the ballot—Senators mainly represent the interests and policies of political parties, with relatively minor variations that attest to regional concerns. Senators may serve as ministers, and in recent years about one-third of the overall number have come from the upper house.

The Senate cannot originate or amend tax or expenditure bills, but has the constitutional authority to reject them or propose changes. In all other respects, the two houses have equal standing. Under complex conditions specified in the federal constitution—in essence, extended deadlock between the House and Senate—both houses may be dissolved simultaneously, so that ensuing national elections would involve all seats in Parliament. This is unusual and has occurred only six times.

All major parties support the U.S.-Australia alliance and stress the importance of close relations between Australia and the United States. This long-standing and stable pattern is essentially unaffected by the outcome of national elections.

The governing Australian Labor Party (ALP), which maintains close ties to the trade union movement, has held office since 1983. During that period, the government has carried out major restructuring of the economy (e.g., floating the Australian dollar, cutting tariffs by substantial amounts, reducing and simplifying regulations that affect business). Liberalizing trade and enhancing economic integration with Asia-Pacific countries are major tenets of the ALP.

The opposition Liberal-National Coalition agrees with the ALP on the need to liberalize trade and enhance economic ties, and it likewise favors a free-market approach to economic growth. The Coalition, however, stresses individual rights, personal autonomy, and managerial initiative, while favoring a more rapid shift toward enterprise contracts that would replace detailed federal and state regulations on pay levels and fringe benefits. Its junior partner, the National Party (formerly called the Country Party), is closely associated with conservative social values and the interests of farmers.

Two minor parties—the Australian Democrats and the Western Australia "Greens"—are represented only in the Senate but have political and media effects which are disproportionate to their numbers. The Democrats tend to be somewhat to the left of Labor, stressing good government, public-sector services, and social equality. The Western Australia "Greens" take a special interest in environmental matters and often express concern about the effect of large social institutions (e.g., government bodies, corporations, and trade unions) on individuals and local communities.

The High Court of Australia equates to the U.S. Supreme Court. It has the power of constitutional review, as well as general appellate jurisdiction over other federal courts and the courts of the various states. The federal court system is less extensive than in the U.S., for Parliament has invested state courts with substantial authority to enforce federal statutes.

Arts, Science, and Education

Education is compulsory through age 15. Reflecting the government's drive to expand educational access, the number of Australians finishing high school has risen from 34 percent in 1983 to over 70 percent today. Approximately 66 percent of students attend government schools; the rest attend private schools. The number of students completing the Australian equivalent of a college education (i.e., at a university, teachers' college, college of advanced education or technical school) is, growing annually. The Australian government supports two significant organizations that encourage Australian and American scholarship and academic exchanges: the Australian Fulbright Commission and the Australian Centre for American Studies.

In science, Australia holds a significant place in radio astronomy, geology and marine sciences. Its observatories constitute the principal center of radio astronomy research in the Southern Hemisphere. It is also an important base for monitoring U.S. space flights and satellites with two critical NASA Space Tracking Stations. With the Great Barrier Reef on the country's northeast coast, Kakadu National Park in the far north, and the unusual array of flora and fauna, Australia is considered by many naturalists and environmentalists to be a giant ecological laboratory. Australia's proximity to Antarctica has also fostered considerable scientific research in the area of the South Pole.

Private and community events organizers, as well as the Australian Broadcasting Corporation (ABC), annually bring to Australia internationally-acclaimed performing artists who tour Australia's principal cities. The major cities have symphony orchestras and lively professional theaters with productions ranging from the classics to the avant garde. National and foreign opera, ballet and theater companies perform in sites outside their headquarter cities on a regular touring basis. Some Australian companies such as the Australian National Ballet have received international acclaim.

Australia's art scene is dynamic. Government-supported galleries in Canberra and the state capitals have important collections of Australian and overseas artists. Commercial galleries in the larger cities display top-quality work as well. Traditional and contemporary aboriginal art is popular with local and foreign collectors. Adelaide, Perth, Sydney, Melbourne and Canberra host annual or biennial arts festivals. They include all of the arts and attract world-famous writers, musicians, singers, actors and dancers. Activities in the arts and politics are well-covered by newspapers and magazines. Australia's publishing scene is lively. Novels, travel books and more "academic" publications by local authors are plentiful. Bookshops are usually well stocked, yet books, even paperbacks, are substantially more expensive than in the U.S. because of Australian arrangements with British publishers.

Commerce and Industry

Australia's free enterprise economy combines a strong private sector with a relatively larger sector of state-owned or licensed businesses than is the case in the U.S. Railroads, utilities and many services are owned by state and federal governments. The push towards microeconomic reform and increased competition, however, has seen a gradual shift towards privatization of many of these services. For example, while the major telecommunications operator, Telecom, is government owned, recent deregulation of the market has seen two other operators take a significant market share. Deregulation of the airlines in 1990 has resulted in a major industry reshuffle. Ansett and Qantas (which took over former domestic-only carrier Australian Airlines in 1993) now compete directly both domestically and internationally, resulting in less expensive fares and greater services than previously. Nevertheless, airline prices still remain considerably higher than in the U.S. The privatization of QANTAS is now being completed through share offering. Other utilities and services (such as the natural gas infrastructure and the major airports) are subjects of the government's extensive privatization plans.

Base wages are determined by a federal Industrial Relations Commission and, increasingly, by enterprise (collective) bargaining at the work-place level. After peaking at 12 percent during 1990-91 recession unemployment is currently declining (6.4% percent in 2000).

A decreasing number of agricultural products are subject to marketing controls or stabilization arrangements. Australian agriculture is highly mechanized and efficient. It is based mainly on winter grains and extensive livestock ranching, with a limited acreage of row crops. The main agricultural products are wool, wheat, and meat, although sugar, dairy products, cotton and fruit, are also important. Livestock, which includes roughly 117 million sheep, holds greater relative importance in Australia than in the U.S.

In 2000, cattle prices increased by about 22% and were projected to continue to increase by about 6% for 2001 and 2002. In the same year, wool prices increased by about 21% high. Export income from wool accounts for about 6% of total export earnings (1994 data; in 1953 the figure was 50 percent). About one-third of world supply of wool is produced in Australia.

Distance, sparse population, and lack of navigable rivers make overland and air transportation vital. Australia has an extensive road and rail infrastructure network, relative to the population, with major arterial routes between each state capital (regional roads are of variable quality). Air transport, including air freight, has expanded into a leading industry: Australia leads the world in freight-ton miles per capita and is second only to the U.S. in passenger miles per capita.

Australia depends largely on ocean transport for bulk export, with an array of modern, deep water ports to handle its important minerals export trade. Significant reforms of labor practices over the past years have resulted in quicker ship turnaround times and more efficient stevedoring methods, but most industry groups argue that further reforms are necessary. International shipping is provided largely by foreign-owned lines, which contributes to Australia's high balance of payments net services deficit. Sea ports are well integrated with land transportation infrastructure.

Australia ranks among the world's leading trading nations, even though it has a relatively small population of only 19.2 million people. Primary products comprise about 60 percent of total merchandise exports. Of that, minerals and fuels account for 28 percent, and agricultural goods (both processed and unprocessed), around 30 percent. But the real growth sector is in elaborately transformed manufactures, which formerly made up an almost negligible percentage of Australia's merchandise exports.

While Australia is still considered a large importer of transformed goods and an exporter of primary commodities, its contribution to the global manufactures market is becoming significant.

Expansion of the minerals industry has been rapid over the past decade, despite uncertain minerals prices. Australia is the world's largest exporter of coal and continues to be a major player in the liquefied natural gas and iron ore markets—Japan is Australia's largest coal and iron ore market, for use in Japanese steel mills. Production of most other metals, including gold, the titanium minerals and alumina, is major—in some cases world-leading.

Shifts in Australia's overseas trade pattern have occurred since World War II. The U.K. now is much less important to Australia as a trading partner than formerly. Asian countries are now the prominent markets for Australian products and accept 60 percent of merchandise exports. Japan is Australia's number one export market, taking 25 percent of merchandise exports in 1994 (mainly coal, iron ore, meat and gold). The U.S. is Australia's primary import source, with merchandise imports totalling almost $11 billion in 1994 (22 percent of total import value—this compares to 12 percent in 1955). Australian exports to the U.S. were worth $3.4 billion in 1994. The U.S. is the only major trading nation to consistently hold a bilateral trade surplus with Australia.

Australia exports a wide range of goods to the U.S. Major categories include beef, aircraft and associated equipment, computers and parts, and crude petroleum and oils. Major imports from the U.S. are computers, aircraft and equipment, measuring and checking equipment and telecommunications equipment.

The latter category represents a growing business opportunity for U.S. exporters, as Australia is currently experiencing a boom in mobile telecommunications, along with the start-up of pay-TV services.

Historically, Australia relied on high tariffs to protect domestic industry. In addition, special restrictions have applied to dairy and some other agricultural products, as well as to textiles, clothing, footwear and automobiles. The current Labor government has set about reducing tariffs and non-tariff barriers to increase Australia's integration into the global trading arena. Australia has petitioned the U.S. to liberalize its restrictions on the entry of Australian meat, steel and sugar. The Australian government and rural organizations continue to voice their displeasure over the U.S. Export Enhancement Program (EEP) and the Dairy Export Incentive Program (DEIP).

The Australian government has established foreign investment guidelines that encourage inward investment. Restrictions on foreign investment remain in mining, urban real estate, the media and civil aviation. In the natural resource sector, the government requires foreign investors to give Australian companies the opportunity to participate in major projects, normally requiring that at least 50 percent Australian equity and 50 percent of board-voting strength be held by Australian interests. In other areas, nonresidents, foreign-controlled businesses, and Australian companies in which foreign interests have a substantial shareholding, must notify the government before acquiring a substantial interest in an Australian company.

Around 30 percent of direct foreign investment stock in Australia comes from the U.S. U.S. investment is particularly prominent in autos, petroleum and minerals development, agricultural machines, construction and earthmoving equipment, chemicals, food processing, and oil refining. Australia is the fourth most important country for direct investment from the U.S., after Canada, the U.K., and Germany.

Australia's economy definitely looks promising. Throughout the decade of the 1990s, the country boasted an annual economic growth rate of about 4% per year, the second-fastest rate in the developed world (behind Ireland). Which has placed the economy at the best it's been in over thirty years.

The July 2000 introduction of the Goods and Services Tax (GST) seemed to cause a decrease in the construction industry, but over the course of a year, the service sectors reported strong growth (e.g. communications, 8 percent; property/business services 9 percent, finance services 5 percent) as did mining (10 percent), metal products (7 percent) and non-metallic mineral products (24 percent). The 10% GST is levied on most goods and services (with the exception of basic foods, education, health, and some other sectors). Several other sales taxes were abolished with the acceptance of the GST. The overall effect of these changes seems to have been to raise the inflation rate from its average 2.5% to 6% at the end of 2000. However, the rate is expected to return to normal by the end of 2001.

Transportation

Local

Bus service in Canberra is good, though limited in evenings and on weekends and holidays. Other major cities have a good system of commuter trains, buses, streetcars, and harbor ferries. Public transportation is efficient though crowded during rush hours.

Taxi

Taxi service in all major cities is good. Tipping is not expected unless the driver helps with baggage. Rent-a-car services are available in all cities. Rates are higher than those in the US. Railway porters have a set charge for each piece of luggage handled, varying slightly from city to city.

Regional

Australia's size makes air travel the most convenient method of in-country travel. Several international airlines operate regularly in and out of Australia. There is an extensive but expensive domestic air network with an impressive safety record.

Numerous foreign shippers call at various ports. All State capitals are on the coast and most overseas liners can berth within 1 mile of the business district.

Rail service is good between major cities but other rail routes are erratic. Bus service is available between most cities and is less expensive than either air or rail.

Road conditions in Australia vary greatly. Few four-lane highways exist, and these are mainly for short stretches on the approaches to the larger cities. Most highways typically are two-lane asphalt or crushed stone; some have a third lane for passing on hills and other dangerous points. Country and secondary roads often are unsurfaced and become impassable after heavy rains.

Communications

Telephone

Telephone service within Australia and worldwide is excellent. An Australia-to-U.S. call is easy to place. Direct dialing and itemized billing are available but must be requested when ordering telephone service as they are not automatically installed. Fax facilities are excellent.

It is not advisable to have cordless/cellular phones in personal effects as they may be confiscated by Australian Customs. Phones coming into Australia must be registered with Telecom before entering Australia. Permits are very expensive.

Radio and TV

AM and FM radio stations reach the entire country. Shortwave broadcasts, including VOA, can be picked up but reception is unreliable. TV programs are similar to those in the U.S. with many American programs and films shown. All TV channels broadcast in color using the PAL system which means that U.S. made TVs cannot be used without modification. TV modification from NTSC (U.S.) to PAL is expensive, not always satisfactory, and will render the set unusable in the U.S. until it is converted back to NTSC.

Newspapers, Magazines, and Technical Journals

Australia's metropolitan press consist of two daily papers in Sydney and two in Melbourne; one each in Adelaide, Brisbane, Canberra, Hobart and Perth; and two national daily newspapers. Each state capital has at least one Sunday paper. Many daily papers are published in provincial areas. Triweeklies, biweeklies and weeklies are published in other cities and towns throughout the country. Australia has a flourishing periodical press. U.S. newspapers are not available locally; however, USA Today, the Wall Street Journal, and the International Herald Tribune are available at a limited number of news agents.

Newsstands carry Time Australia, the Asia-Pacific edition of Time, as well as Who magazine (People). Newsweek and Fortune have been incorporated as part of the Bulletin magazine. Numerous bookstores in each capital city carry such American magazines as Fortune, Saturday Review, Scientific American, Harper's Bazaar, the New Yorker, the New Leader and European magazines such as Paris Match, Realities, Punch, the Observer, the New Statesman and Encounter. Airmail delivery or locally printed editions of the more popular magazines listed above means that issues are up to date. Subscriptions normally would be necessary for only the specialized publications.

Health and Medicine

Medical Facilities

Also readily available are well-qualified doctors, surgeons, and specialists as well as good hospitals and laboratory facilities. It is not necessary to go outside Australia for medical care except in rare instances which require a trip to a specialist in the US.

Canberra has one general hospital, one Catholic hospital, and one private hospital which cater to all sections of the community. They are well equipped and provide the usual pathology and X-ray services and outpatient care. The city has many general practitioners and a variety of specialists. Good dentists, several opticians and ophthalmologists are available. Dental fees vary with the type of work required. Laboratory fees are expensive.

State capitals generally have several large and well-equipped hospitals. Many excellent doctors, surgeons, and specialists of all kinds practice in these cities. Competent oculists and opticians are readily available although eyeglasses, lenses and contact lenses are more expensive than in the U.S. All residential areas have a large number of general practitioners competent to handle all general ills not requiring a specialist. Gynecologists and pediatricians are excellent. Hospital accommodations are sometimes limited and, except for emergency care, should be reserved as far in advance as possible. Dentists use modern methods and equipment. Good orthodontic, periodontic and endodontic care are available. Pharmaceutical services are provided by chemist shops (drugstores) in all suburban and city shopping areas. Chemist shops are well stocked with prescription and patent medicines, and some provide 24 hour service and free delivery.

Community Health

No unusual health problems or hazards exist. Sewage and garbage disposal services are similar to those in the U.S.; incinerators are used in most large apartment buildings. Water supply is ample for household use and normally enough for watering lawns. Water is soft and safe (drawn from a mountain reservoir in the mountains near Canberra) and is chlorinated and fluoridated. Safe pasteurized and homogenized milk is available.

Flies are pests throughout Australia in warm weather. In midsummer, the native bush fly is a constant annoyance outdoors, but it disappears in cold weather. People with gardens find snails and slugs a great nuisance. Zipper type garment bags are useful to protect fine and seldom-worn clothing from moths and silverfish.

Preventive Measures

No serious endemic diseases exist and no special health precautions are necessary. Sabin polio vaccine is available; take the series either before or after arrival, especially children under 2 years, as well as a measles, mumps, and rubella shots. The usual children's diseases (measles, mumps, chickenpox) occasionally reach epidemic proportions. Mild outbreaks of influenza, gastroenteritis, and other seasonal diseases are common. Sinusitis, colds, and other minor respiratory illnesses, as well as asthma and allergies, are common. Children should be immunized against diphtheria, whooping cough, tetanus, polio, measles, mumps, rubella and Haemophilus influenza B. Adults should keep tetanus and booster shots current. Yellow fever immunizations are currently required for personnel who have previously resided in tropical Africa or Brazil. No unusual health hazards exist. No known cases of rabies have occurred in Australia in recent years.

NOTES FOR TRAVELERS

Australia is served by a number of airlines including United which flies daily nonstop from the U.S. West Coast. Travelers must use the airline that holds the appropriate city-pair contract fare. Flying time for the roughly 7,000-mile nonstop trip from the west coast is about 14 hours.

U.S. citizens may travel to Australia on a valid U.S. passport with an Australian visa or, if eligible, on a valid U.S. passport and an Electronic Travel Authority (ETA), which replaces a visa and allows a stay of up to three months. The ETA is free of charge and is available from airlines and many travel agents. American citizens who over-stay their ETA or visa, even for short periods, may be subject to detention and removal. More information about the ETA and entry requirements may be obtained from the Embassy of Australia at 1601 Massachusetts Avenue, N.W., Washington, D.C. 20036, telephone (202) 797-3000, via the Australian Embassy home page on the Internet at http://www.austemb.org/, or from the Australian Consulate General in Los Angeles, tel (310) 229-4840.

Information on vaccinations and other health precautions may be obtained from the Centers for Disease Control and Prevention's hot-line for international travelers at 1-877-FYI-TRIP (1-877-394-8747); fax 1-888-CDC-FAXX (1-888-232-3299), or via CDC's Internet site at http://www.cdc.gov.

Australian customs authorities enforce very strict regulations concerning the temporary importation from all countries of items such as agricultural and wood products, as well as very strict quarantine standards for other products, animals and pets. It is advisable to contact the Embassy of Australia in Washington or one of Australia's consulates in the United States for specific information regarding customs requirements, or see http://www.aqis.gov.au.

Americans living in or visiting Australia are encouraged to register at the nearest U.S. consulate and obtain updated information on travel and security within Australia.

The U.S. Embassy in Canberra is located at Moonah Place, Yarralumla, A.C.T. 2600, telephone (61)(2) 6214-5600, fax (61)(2) 6273-3191, home page http://usembassyaustralia.state.gov.

NOTE: Registration, passports, and other routine citizen services for Canberra and the rest of the Australian Capital Territory (A.C.T.) are provided by the U.S. Consulate in Sydney (please see contact information below). The Embassy may be contacted for emergency services (i.e. the arrest, death or serious injury of American citizens) within the ACT or Queanbeyan.

The U.S. Consulate General in Sydney serves New South Wales, Queensland, and the Australian Capital Territory and is located on Level 59, MLC Centre, 19-29 Martin Place, Sydney NSW 2000, telephone (61)(2) 9373-9200, fax (61)(2) 9373-9184, home page http://usembassy-australia.state.gov/sydney/.

The U.S. Consulate General in Melbourne serves Victoria, Tasmania, South Australia, and the Northern Territory and is located at 553 St. Kilda Road, P.O. Box 6722, Melbourne Vic 3004, telephone (61)(3) 9526-5900, fax (61)(3) 9525-0769, home page http://usembassyaustralia.state.gov/melbourne/.

The U.S. Consulate General in Perth serves Western Australia and is located on Level 13, 16 St. Georges Terrace, Perth WA 6000, telephone (61)(8) 9202-1224, fax (61)(8) 9231-9444, home page http://usembassy-australia.state.gov/perth/.

You can import dogs and cats to Australia from the U.K. (including the Channel Island, Northern Ireland, and the Isle of Man), the Irish Republic, Hawaii, Fiji, Papua New Guinea, Norfolk Island, and New Zealand without major difficulty. In all cases, animals must have been solely in the country of export for 6 months before export (or since birth) and during that period must not have been in an port quarantine kennel. They must be accompanied by prescribed documents, including health certificates.

Animals from other areas can also be imported; however, the owner must comply with a lengthy and costly quarantine period.

Charges are made for inspection of animals on arrival in Australia and for accommodation in kennels at quarantine stations. These charges are reviewed periodically. All quarantine regulations are rigidly enforced.

Exporting of Wild Birds: Persons wishing to import their pet birds to the U.S. should be aware of the Wild Bird Conservations Act which limits imports of exotic bird species to ensure their populations are not harmed by trade, and the U.S. Department of Agriculture quarantine requirements.

Individuals who reside outside the U.S. continuously for at least one year may import a maximum of two pet birds (not on endangered species list), per year.

Arrangements for 30 day quarantine of pet birds into the U.S. may be made through the Agriculture Section.

Australian and American dollars may be freely exchanged. However, under the Australian banking (foreign exchange) regulations, a person departing from Australia is allowed to take only A$250 in notes, A$5 in coins and the equivalent of A$250 in foreign currency notes. Any excess can be arranged through banking facilities by letters of credit, travelers checks, or drafts. The rate of exchange fluctuates slightly from day to day.

These accounts are freely convertible into U.S. dollar drafts or travelers checks. Bank credit cards are available and useful, particularly when traveling within the country. Employees who obtain bank savings accounts or other investments may be subject to Australian income taxes on the income earned from such deposits. Contact the Financial Management Office or Administrative Office for more information.

No restrictions exist on bringing dollar currency or travelers checks into Australia. U.S. currency and checks drawn on American banks are freely negotiable.

Australia uses the metric system.

Disaster Preparedness

Australia is located in an area of low seismic activity. Although the probability of a major earthquake occurring during an individual trip is remote, earthquakes can and do occur. General information about natural disaster preparedness is available via the Internet at http://travel.state.gov/crisismg.html, and from the U.S. Federal Emergency Management Agency (FEMA) at http://www.fema.gov

LOCAL HOLIDAYS

Jan. 1… New Year's Day

Jan. 26… Australia Day

Mar. (1st Mon) … Labor Day (Perth)^*

Mar. (2nd Mon) … Labor Day (Melbourne)^*

Mar. (3rd Mon) … Canberra Day (Canberra)^*

Mar/Apr. … Good Friday^*

Mar/Apr. … Easter Saturday^*

Mar/Apr. … Easter^*

Mar/Apr. … Easter Monday^*

Apr. 25… ANZAC Day

May 1… May Day

May/June … Corpus Christi^*

June (1st Mon) … Foundation Day^*

June (2nd Mon) … Queen's Birthday Celebrated (except Perth)^*

Aug. 31 … White Rose Day (memorial for Princess Diana)

Sept. 1… Wattle Day

Sept. 3… Flag Day

Oct. (1st Mon) … Queen's Birthday Celebrated (Perth)^*

Oct. (1st Mon) … Labor Day (Canberra and Sydney)^*

Nov. (1st Tues) … Melbourne Cup Day (Melbourne)^*

Nov. 11 … Remembrance Day

Dec. 25 … Christmas Day

Dec. 26 … Boxing Day

Dec. 31 … New Year's Eve

^*variable

RECOMMENDED READING

These titles are provided as a general indication of the material published on this country. The Department of State does not endorse unofficial publications.

Baker, Richard W. (ed.). The ANZUS States and Their Region: Regional Policies of Australia, New Zealand, and the United States. Praeger: 1994.

Blainey, Geoffrey. The Tyranny of Distance: How Distance Shaped Australia's History. Melbourne: Macmillan, 1968.

Brugger, B. and D. Jaensch. Australian Politics: Theory and Practice. Winchester, MA: Allen & Unwin, 1986.

Burt, Jocelyn. Australia: The Unique Continent. Boston, MA: Houghton Mifflin, 1989.

Clark, Manning. A Short History of Australia. Macmillan: 1982.

Conway, Jill Ker. The Road from Coorain. Vintage (Random House): 1990.

Crowley, Frank (ed.). A New History of Australia. William Heinemann (Melbourne): 1974.

Evans, Gareth and Bruce Grant. Australia's Foreign Relations in the World of the 1990s. Melbourne University Press: 1995. (2nd edition)

Goldberg, S.L. and F.B. Smith, eds. Australian Cultural History. New York: Cambridge University Press, 1989.

Hughes, Robert. The Fatal Shore. Alfred A. Knopf: 1986.

Jaensch, Dean. Power Politics: Australia's Party System. Allen &Unwin: 1994 (3rd edition).

Kelly, Paul. The End of Certainty. Allen & Unwin: 1992.

Keneally, Thomas. Australia: Beyond the Dreamtime. New York: Facts on File, 1989.

Lucy, Richard. The Australian Form of Government. Macmillan: 1985.

Mackay, Hugh. Reinventing Australia: The Mind and Mood of Australia in the 90s. Angus &Robertson: 1993.

Meredith, David. Australia in the International Economy in the 20th Century. New York: Cambridge University Press, 1990.

Money, David. Australia Today. New York: Cambridge University Press, 1989.

Morgan, Sally. My Place: An Aborigine's Stubborn Quest for Her Truth, Heritage, and Origins. New York: Arcade Publishing, 1990.

Phillips, Dennis. Ambivalent Allies: Myth and Reality in the Australian-American Relationships. New York: Penguin, 1988.

Australia

History & Background

Australia became a country in 1901 as a federation of former British colonies inhabiting the continent of Australia. At Federation, six states emerged out of the six colonies, and they retained the establishment of policy and funding for education. Progressively, the states voluntarily surrendered some of their powers so that by the end of the twentieth century, the federal government played a major role in the educational system. Each state has carried on separate educational policy development, teacher training, and registration procedures.

The Australian population was 19,222,000 in 1999, spread across 7,713,364 square kilometers of land. Australia is closely knit into the world economy and is an active middle power in world politics. Its social policies are driven by an aging population and declining birth rate. Australia is trying to sustain national population growth through migration, which has meant a more diverse population towards which education has to be directed from a tax and income base that is undergoing radical changes in the face of globalization.

The first period of Australian education was dominated by the social and moral needs of a convict society which, from 1810, began to develop a free minority. As an exiled society of adults, the problems were conversion and moral restraint. Consequently, the Anglican church provided the first schoolmaster in the colonial chaplain, Reverend Richard Johnson. His educational efforts came in the form of sermons and bible readings, the literature that came with the first fleet, and a variety of moral and biblical tracts. He also oversaw the first hut schools, one in Sydney in 1789 and another in Parramatta two years later. There was no real model for financing or organizing religion outside of the United Kingdom. Therefore, glebes were established (400 acres for support of a minister and 200 for a schoolmaster) in each developing center. Later, this arrangement was formalized in the Church and School Corporation established under Thomas Hobbes Scott in 1825, as part of an attempt to extend to Australia the Anglican monopoly in England by deeding it one-tenth of all surveyed land. The problem with the model was that most land was still unsettled or, if settled, unsurveyed, leaving available finances well behind the expansion of population and demand for education.

The arrival of the Second Fleet increased the number of women in the colony, leading to an ever-expanding number of children to be raised. Female convicts, for whom there was less call for as manual laborers, also tended to be the first teachers in local schools. It was not a promising beginning for education. Scarcity of labor drove up wages and land was easily obtainable, often by grant. A masculine society had good economic and cultural reasons for despising learning, an attitude that remained common enough in the anti-intellectualism of the culture into the post-World War II period.

In 1792, the funding and fortunes of education varied with government patronage. The advent of a number of missionaries fleeing Tahiti in 1798 further strengthened educational endeavors in the colony. They also reinforced the assumption that religion was education. This attitude remained the case for much of the nineteenth century, particularly on the edges of settlement. The clergyman was often the most educated person in the locality. Wherever churches went, schools followed. Local groups out of the growing centers turned to the voluntary society as a model.

By 1814, the state was wholly or partially funding 13 elementary schools in the vast arc from Moreton Bay in the north to Hobart in the south. The spreading edge of settlement (and the dangers of a masculine, frontier society) soon created boarding and girls schools. While student numbers were small, individual instruction and private study was the preferred method. The increase in the number of children (by 1810, there were more than 3000 children, 26 percent of the population, in the colony) meant the adoption of different methods. Crook's Academy, for instance, adopted British charity school methods such as the Lancastrian monitorial system. Larger numbers of students also meant more variety and pressure to provide non-denominational forms of religious instruction. As the formal structures of denominations became more firmly established, however, there was contention over the shape of education, particularly education paid for by public funds. Free settlers who were nonconformist and democratic by spirit came into conflict with the assumptions of the imperial state, wealthy colonialists, and merchants.

The state's aim for education was to inculcate obedience to Christian church principles. For the churches, the definition of Christian implied was questionable, and the order of priority was to be reversed. For the state, religion was an instrument for social and moral order; for the churches, religion was a prime objective from which social and moral order were desirable, but not essential side-effects. The Church Acts of 1836 made Anglicanism, Catholicism, Methodism, and Presbyterianism the main forms of Christian worship.

With the crossing of the Blue Mountains in 1813, and the extension of settlement north to Moreton Bay (later Brisbane) and south to Hobart, the far-flung edges of pastoral empires and the accumulation of wealth also raised the need for residential grammar schools to which children could be sent away from their isolated station. These first began as private schools in the classics, largely run by clergymen for additional income, preparing genteel ladies and men who would be capable either of running the family business or returning to Britain to take a profession. The Australian College was founded in 1831, and King's School was founded in 1832. The former folded, but King's lasted, and the Scots school was founded in 1838, beginning a long-running tradition of Presbyterian grammar schools perhaps best typified by Scotch College. St Mary's Seminary, a mixed Catholic seminary and secondary school, was founded by Bishop Polding in 1837. In Tasmania, Queen's School (Anglican, 1842), Launceston CGS (Anglican, 1846), and the Hutchins School (Anglican, 1846) led the way in a system which, under the energetic Bishop Francis Nixon and by the direct intervention of W. E. Gladstone, came to be dominated by Anglican schooling. In Queensland, grammar schools were publicly supported under the Grammar School Act of 1860 in order to fill the rural educational vacuum.

In the 1830s, the central administration was just beginning to struggle with these issues. Its first step sought to break the stranglehold the Churches had on education. As the price of government support for the largely stretched denominational schools each committed to a British geographical parish model, the government proposed the funding of a parallel public system modeled on the Irish National system. Delayed by fierce church-based opposition in the 1830s, and the deep colonial depression of the 1840s, a Board of National Education was set up in 1848 to parallel the Denominational Schools' Board, which administered state aid to the big four denominations. In Tasmania, under Eardley-Wilmot and then William Denison, the dominance of Anglicans in a more homogenous population matched with government cost-cutting meant that denominational schools continued to overshadow the public schools. By 1849, there were only 10 public schools (compared to 25 in New South Wales), but 72 Anglican schools and 4 Catholic day schools.

The growth of population in areas too distant to be governed effectively from Sydney introduced even more variety. The 1820s saw Tasmania separate, and the 1830s saw new colonies in Western Australia and South Australia and the urban centers of future Victoria and Queensland founded. These colonies moved more quickly to urban development and equalitarian values in comparison to New South Wales. The cessation of convict transportation to mainland Australia in 1842, while leaving a generational backlog of continuing and former prisoners in the population, firmly declared the colonies for free development.

Some colonies, such as South Australia, never relied on income from convict transportation. Later, the shift to land sales rather than grants also provided colonial governments with the money to expand public infrastructure. In Western Australia, lack of an immediate revenue stream, and a stagnant population, hobbled the development of a public system for more than a decade. The colonial depression further flattened growth through the 1840s, leaving educational initiative in the hands of resurgent, missionary Irish Catholic religious orders.

By 1846, almost all the schools in Perth were Catholic. This led to vigorous educational rivalry by the new government of Andrew Clarke, the foundation of colonial schools in four centers of the huge, underpopulated territory, and a free grammar school in Perth. A similar reaction to Catholic success in Adelaide was, in the 1870s, to produce a centralized State Council of Education, and then a Department of Education along the lines of the one already established in Victoria. These were extended over time and brought under the direction of a General Board of Education, causing the virtual disappearance of smaller private schools. In 1849, both systems received government funding on a population, producing a binary system of education unique in the continent.

By contrast, South Australia was considered to be a "paradise of dissent," reflecting a lower proportion of either Anglicans or Catholics. Its uniqueness lay in the fact that it had a voluntarily-supported school system planned through the South Australian School Society before it was founded. Unfortunately, membership levies did not go through as expected and, without government support, the school was privatized, leaving private schools as the only alternatives in the colony for some years.

The failure of South Australia to produce a stream of philanthropy disappointed the dissenting bourgeois, and government funding, controlled by the Anglicans, was only available on a denominational basis. The public dispute over government funding was so bitter in this colony that the Governor resigned amidst the public turmoil, and "state aid to religion and education remained the single biggest political issue in the colony until its discontinuation in 1851" (Barcan 1980).

German migration saw the opening of a seminary and school in Lobenthal in 1845, and St. Peter's CECS (Anglican) in 1849. By 1850, elementary education and various forms of state aid were functioning successfully in most colonies. High schools or their equivalent were less evident, and advanced education of this type was in private hands in the form of academies or grammar/collegiate schools. Most education suffered from lack of funds and population, competition between church systems in a small market, economic cycles, and popular neglect of educational priorities.

The review of education by Childers in 1851, for instance, found that Victorian schools were not reaching up to a third of children in towns and did not reach up to half of children in suburbs (Barcan 1980). On top of this, Australia was at the other end of the earth from institutions from which either a flow of talented teachers or quality teaching supplies relevant to colonial conditions could come. Private education or sending children back home was an option, but only if one had the money; quality education was a right only for the wealthy.

Two of these problems were solved by the discovery of gold in Victoria and New South Wales in the early 1850s. The population of both colonies virtually tripled, creating movable towns of gold seekers, new domestic demand for foodstuffs and building materials, and new infrastructure, including schools and Mechanics Institutes. The problem was that many professionals, including teachers, abandoned their posts for the goldfields, and rising costs made living difficult for those, mainly women, who stayed. In Tasmania, which had no rush, many towns were decimated, and the dominant Anglican schools struggled to keep their doors open as people left for Victoria.

Funding via denominational boards favored the majority Anglican population, and so re-enforced the status quo. South Australia was the first to discontinue funding in 1851, followed by Tasmania and Western Australia, then Queensland, Victoria, and finally in 1872, New South Wales. With the support of non-conformist Christians, especially Congregationalists and Baptists, State educational policy shifted into the hands of liberal idealists, precisely the sort of ideals that were anathema to the Catholic Church in the wake of Vatican I and the Syllabus of Errors. Reports attacking the quality of denominational education by the Anglican Rusden, and liberal William Wilkins, seemed to support their fears.

Universities did not overcome their distance from the schooling system until the rise of public examinations made their services central to public life. The Oxford and Cambridge examinations were used by many schools, and continued to be used in the Theological colleges, as a way of determining entry and matriculation standards. Without a local demand for a large number of public servants, the British universities continued to have the advantage. The University of Melbourne followed the University of London's model, establishing a Matriculation Examination as early as 1855. Sydney established the Junior and Senior Public Examinations in 1867, opening examination centers around the state in succeeding years. The opening of these examinations to women in 1871 acted as a spur to educational provision for women, and girls grammar schools thus spread across the countryside as a precursor to the opening of university courses to women from 1879. Such schools were part of the great surge in institution building that swept across eastern Australia in the long economic boom between 1865 and 1890. Even the universities, though planted in the 1850s, did not begin to grow significantly until this period: their move into examinations thus made them de facto Boards of Examiners for much of the secondary sector from this time on, cementing a critical place in the development of Australian education. The role of public examinations, and the lack of a Catholic tertiary alternative, was a major element in uniting the various systems of education as they developed separate lives from 1880.

The period of 1880-1900 was the period of implementation for these strategies of free, secular, and compulsory education. Making education compulsory did not necessarily mean that students would attend, but the legislative strengthening of education departments in pursuit of the goal of universal literacy was the result. With the extension and bureaucratization of government services generally in Australia, came the irony of democracy producing a stronger and stronger center. In time, education and health would be swept up into an effective welfare system.

The economic boom of the period had several effects. It gave money to the universities with additional resources (often in the form of religiously based colleges) flowing from the great pastoral fortunes made in the period. The same fortunes also endowed the great private grammar schools, even while the small private academies were eliminated through advancing government regulation and service. The systematic expansion of Presbyterian and Methodist Ladies Colleges was a major contributor to the expansion of the grammar school form. They were a concern of the State because they contributed to the provision of advanced education in rural areas. These, together with state agricultural high schools, some of which were residential, began to push the regional country private academies out of existence, though they could never replace correspondence education for the more remote areas. Australian primary and secondary education thus took on a threefold form: Catholic, low-feepaying, private; Catholic and Protestant grammar schools (such as Trinity and St. Ignatius in Sydney or in Brisbane); and an expanding state system that was finally able to reach out to the distant rural towns. The boom also allowed the rise of a wealthy urban professional class, feeding more pragmatic university courses such as economics, law, and medicine for which schools were founded in all the major universities.

Constitutional & Legal Foundations

The provisions of relevant Commonwealth and State or Territory Anti-Discrimination and Affirmative Action legislation are set out in the Affirmative Action (Equal Employment Opportunity for Women) Act 1986, The Disability Discrimination Act 1992, The Racial Discrimination Act 1975, and the Sex Discrimination Act 1984. Following the path of teacher education, the process by which other sub-professions (such as nursing) reached the status of professions (through the status of university entrance), was accelerated by the 1990s. This process has further strengthened the links between vocational and professional education and makes the offerings of universities, in many ways, connected with the technical system.

Vocational Education and Training (VET) authorities by the end of the 1980s sought a new formula in Competency Based Training, which effectively stripped teaching of its content-orientation. It reoriented vocational and technical education away from disciplines and towards the needs of particular employers. The focus was outward, on standards rather than content, and on the transformation of knowledge into a commodity in order to sell it into a market. The construction of an Australian Qualifications Framework may be seen as the logical outcome of these trends, whereby the formation of a single great federal system (called, under the Dawkins' scheme, the Unified National System) embracing technical, vocational, and university education, assumed the continuity of all forms of learning in fitting national industry-specific standards. For such discipline- or community-specific areas as clergy training or the human relationship end of medical practice, it has generally been acknowledged that the imposition of such external standards was not always successful and led to considerable heat and public discussion in Australia through the 1990s.

Though Australia has not used monetarist policies to the extent that trademarked the Thatcher government in Britain, there is a simmering discontent over the so called "economic rationalism" evident in handling national and intellectual assets on both sides of politics, the Liberal-National Party Coalition, and Australian Labor Party. The rise of non-establishment parties, such as the Greens, Democrats, and even the One Nation Party is further evidence of the fragmentation of Australian opinion over issues such as education. The one common denominator is the opinion that education is important. In 1999, about 88 percent of respondents to a Commonwealth Bank survey put "ensuring everyone has access to good education" at the top of all issues surveyed (Australian 19 June 2000). Meanwhile, the debate over how to rebuild the social status and effectiveness of teachers within the education system continues, in seeming ignorance of the fact that it is the progressive rationalization of education into an objectified system that assists in the destruction of such social status and effectiveness.

Educational System—Overview

Education is compulsory in all states of Australia from K-10 (between the ages 5 to 15). Effectively, almost all Australian citizens have access to elementary and junior educational provision, under state legislation in the six states (New South, Wales, Victoria, South Australia, Western Australia, Queensland, and Tasmania) and in the Australian Capital Territory, while citizens in the Northern Territory obtain education under Federal funding provisions channeled through the Northern Territory administration.

Education is in English, though most primary schools now have access to community language programs. Italian, Japanese, and Spanish are among the most common in state schools, French and German in several of the international language schools in the capital cities, and indigenous languages in Aboriginal schools, particularly in Western Australia, northern Queensland, and the Northern Territory.

Most states, along the lines of a resurgent return to basic policies operate basic skills tests in elementary schools (called primary or public schools in most states). In New South Wales, basic skills tests are run for year 3 and year 5 students. Access to state selective schools is possible in some states through special examination, and there are regular examinations for entry on scholarship to the larger private schools. Internal assessment governs progress through years 7 through 9, and in year 10, there is the equivalent of New South Wale's school certificate offered in most states as a entry point into technical education, apprenticeships, and other vocational training alternatives. Year 12 ends with a higher leaving certificate examination—in New South Wales called the Higher School Certificate, in Victoria the VCE, and in Queensland the Core Skills Test.

The Academic Year runs from the end of January (mid-summer in Australia) across 4 terms, ending towards the middle or latter end of December, allowing for a 5 to 6 week holiday in what are the hot months in most Australian states. Curriculum in most states is set by the State departments of Education, against which (through the system of public examinations at the end of year 10 and year 12) inspectors also assess registration requirements in privately run schools.

The shaping influences on Australian education have been distance and time. Distance, because it was distance that has dictated the economics and socio-cultural development of the country. Time, as both the newness of the country and the time to travel for ideas, has been critical in the formation of education policy and thought. Distance and time, significantly, are also the key axes underlying the processes of globalization which are driving educational agendas in Australia.

In the first instance, distance from the expanding centers of world civilizations meant that, until 1788, Aboriginal peoples in Australia could follow traditional mechanisms of customary education unhindered for thousands of years. Aboriginal learning patterns tend to be directed towards community survival, de-emphasizing the individual in favor of customary law, through knowledge of the intricate Aboriginal social system, and ensuring the passing on of communal history and culture in an often difficult natural environment. Their culture emphasized group work, daily vocational skills, and in-depth knowledge of the natural environment. From white settlement in 1788, these values brought Aboriginal children into a direct conflict with individualistic-, time-, and achievement-oriented white education systems.

Despite missionary practice that emphasized bible translation and grammar/vocabulary construction, which has since become a major source for the revival of Aboriginal languages and cultures, and high level recommendations towards bilingual education in the early 1960s, English remained the primary language of instruction for Aboriginal students until 1973. Effectively, this was part of a program of assimilation that was extended by the Australian government to all minority groups in Australia until the promulgation of official multiculturalism in November 1972. The extension of linguistic revivals, teaching in the primary language of students, support for the training of Aboriginal people as teachers, and national organization of Aboriginal and Torres Strait Islanders has greatly assisted in shifting education away from the sort of identity stripping, residential institutions that were the norm for Aboriginal education from the foundation of the Native Institution under Lachlan Macquarie in 1815. A scholar noted:

the Native Institution was expected to de-Aboriginalise its pupils on a permanent basis. In this it failed, and that was how it was judged. Some colonists realized that Aborigines returned to their own people because there was no place for them in a society which regarded them, educated or not, as the lowest in the scale of humanity, but most colonists were convinced that the Aborigines themselves were inherently unable to profit from education. (Fletcher 1989)

With debate over "the stolen generations" and reconciliation dominating the minds of Australians at the beginning of the twenty-first century, it is important to note the processes by which Australian education became a major tool for social engineering up until the 1970s, and then how it entered into a crisis period of self-redefinition until the beginning of the twenty-first century.

Primary education in South Australia extends from pre-year 1 to year 7, while the southeastern states (New South Wales, Victoria, and Tasmania), run from pre-year 1 to year 6. Secondary education in all states runs to year 12, with differing mechanisms for matriculation to university. Different examinations are used in Victoria and New South Wales. The development of national standards is increasingly putting pressure on these regional variations and increasing cooperation between states at all levels.

In August 1998, there were 9,587 schools enrolling 3,198,655 (61 percent K-6) students, 6,998 (73 percent) of which were government schools. In the face of a slight decline in the number of government schools (1995-1998), the non-government sector continues to grow rapidly (1 to 3 percent per triennium), particularly in the low-fee paying Christian school sector, as much as 8 percent per year (Long 1996). These trends reflect the general drift in Australian society towards private delivery and downsizing; a retreat by sub-cultures from the public sphere in the face of growing social diversity. The impact of parental fears about social trends such as violence, drugs in schools, and retention of traditional values, can be seen by the fact that such schools are strongest in years 8-10, but follow patterns of retention in government schools in K-6. The nearly 100,000 indigenous students enrolled in K-12 are, due to issues of isolation and the inability to mobilize private funding, much more reliant on government funded schools.

Most private school growth for K-12 has occurred in rapid growth, lower-to-middle-class outer suburban areas of Australia's major cities. Their ability to draw on constituency support in addition to government per capita funding of student institutions has meant that nongovernment schools have better staff-student ratios than government schools, particularly in the wealthier Anglican schools sector. Building growth has not increased at the same rate as population growth, leaving many low-fee paying private schools to struggle with accommodation issues.

Clear distinctions continue between the greater public schools, which are mostly church-based but are in fact private corporations, Catholic systemic schools, low-fee paying Christian schools, and local government schools.

With the improvement of the economy after the economic recession in the late 1980s, retention rates years in grades 10-12 have dropped, from 77 percent to 71 percent (65 percent government and 84 percent nongovernment). This trend reinforced the lack of a universal tertiary college culture in Australia (ABS, Education and Training 1999).

Higher Education was attempted a number of times through the early history of the various colonies. The Australian College in New South Wales, for instance, was meant to combine K-12 activities with the seeds of future clergy training for the Presbyterian Church. All such institutions failed, however, until the foundation of the University of Sydney in 1852—on deliberately non-sectarian lines. The University of Melbourne followed in 1853, Tasmania (in Hobart) in 1893, Adelaide (established by Act of Parliament in 1874), and Queensland in 1909 (Barcan 1980).

Enrollment figures tended to follow population growth and decline and the policy function of the universities in their home colonies/states. Prior to World War II, universities in Australia tended to be for the children of the professional classes. This status changed radically after World War II with the need to retrain hundreds of thousands of Australian soldiers for civilian life. Postwar migration added additional pressure, leading to an efflorescence of new institutions (Monash, Macquarie, La Trobe, Murdoch, and Flinders), mostly in the suburbs.

By the 1970s, universities had become a major tool for the Australian government that was attempting to redirect national effort away from commodities production and trading towards value added industries and (from the 1980s) the information industries revolutionizing large parts of Asia. Encouraging Australian students into those institutions was a more difficult task, given the lack of a generalized learning culture and the lack of obvious career paths for many of the courses offered.

By March 1998, there were 671,853 students in higher education courses in Australia (about 3.7 percent of the population), of which 72,183 (or 10.0 percent of the total) were classed as overseas students (up from 21,000 in 1989, 5 percent of the total). Some 359,225 of these students were aged 16 to 24, representing 14 percent of the population group. The vast number of the new growth among these students went into business, economics, computer sciences, media, and health. There was a relative decline in numbers going into straight humanities and education subjects. The growth in both the business disciplines and in the proportion of non-resident students, as well as the consolidation of higher education institutions through the 1980s, marked the shift of education from its position as a core community service to a position as a growing export industry that was competing in the global market.

Since 1995, all registered Australian tertiary institutions have been required to tailor their curricula according to the Australian Qualifications Framework (AQF), a normative system dictating standard outcomes rather than content. The AQF replaced the Register of Australian Tertiary Education (operative since 1990). This has meant that the vocational education and training (VET) system (offering diplomas from Certificate 1 to Advanced Diploma) articulates from upper school education and to the university system, which offer knowledge based baccalaureate and higher degrees, but overlap with VET in offering diplomas and Advanced Diplomas in a unified system. It is possible to transfer credit and recognition of prior learning throughout the tertiary system.

The integration of previously separate spheres of education within relatively new and artificial standards-based structures raises two major challenges to education: "The first of these is 'What counts as worthwhile learning?' The second question is 'What may be accepted to confirm that such learning has occurred?' Both of these questions, and the issues they raise . . . must reignite a serious consideration by teacher education faculties of what actually constitutes knowledge." (Taylor and Clemans 2000)

Through the 1980s, most states introduced legislation restricting use of the terms like university or degree to those recognized by the state and falling within the AQF. With state universities, this has not been an issue, since those institutions are largely self-accrediting. Considerable tension developed over the recognition of private providers under the various state Acts. There is not an education equivalent to an Australian university criteria because there is so much variation in quality and approach between institutions. A provider does not have substantial credit if endorsed in one state and refused standing in another because of Acts that vary. Considerable work has gone into smoothing out irregularities in the system, and making the AQF genuinely national in scope. Other quality controls are imposed through the Commonwealth's Trade Practices Act 1974. State/Territory fair trading legislation helps protect the quality of higher education.

Preprimary & Primary Education

In most states and territories, except Queensland and Western Australia, there is one year of part-time preschool education followed by one year of full-time preprimary education. In Queensland, one year of part-time preschool is available. In Western Australia, one year of part-time preprimary education is accessible. As preprimary education is not compulsory in Australia, the teaching of preprimary teachers is not as regulated as the preparation of primary and postprimary teachers, though universities such as Curtin University and Macquarie University have flourishing early childhood teacher preparation schemes.

Primary education is largely the responsibility of the states: State governments are responsible for around 88 percent of the funding for government schools. They are also the major employer of primary principals. Federal funding tends to come back to state primary schools through general allocations such as the States Grants (Primary and Secondary Education Assistance) Act 1996; and Indigenous Education (Supplementary Assistance) Act 1989, and through the funding of particular programs (such as support for literacy and numeracy programs, book purchases, foreign language, special needs, among others).

Federal government expenditure exceeding $16 billion was spent on school-based education (1997-2000). From 1997, under a conservative government, any school recognized by a state education department (public or private) could access government funding from 12 categories of eligibility.

Shifts in funding are affected both for primary and secondary by government policy targets, and the Government School Recurrent Costs (AGSRC) and Building Price (BP) indices. An example of the former is the arrangement whereby the Australian government channels funds provided by the Italian government (through the organization Co.As.It) for the teaching of Italian (Australia's largest non-English language group) in Australian schools.

The progressive movement of federal agencies into primary education is marked by the fact that Commonwealth funding (worth $2.1 billion in 2000) is increasing at a faster rate than state funding. This remains a sensitive issue, however, as the constitution delineates states rights over these areas. The Federal government has proclaimed its interest to emerge out of:

pursuing the Government's broad national, social and economic agenda and in improving the well-being of all Australians, promoting national consistency in the provision of schooling across Australia, the reporting of nationally comparable data on student achievement and other outcomes of school education, and improved accountability by education providers for schooling outcomes to parents and the wider Australian community. (DETYA 2000c)

The priorities driven through these funding and standards mechanisms are numerous and include the following: improve the literacy and numeracy skills of all young Australians in order to articulate into higher levels of education and serve the labor market; increase focus on vocational education and training in the senior secondary curriculum; enhance teacher and principal development and professionalism to meet the ever increasing demands of educational, social, economic and technological change; support educationally disadvantaged students; improve educational outcomes of schooling for Indigenous students; support the right of parents to choose the educational environment which best suits the needs of their child, whether the school is public or private; use new technologies and scientific principles; increase focus on civics and citizenship education; teach designated priority languages other than English; and aware students of and economically cooperate with the Asia-Pacific region, through the encouragement of Asian studies and languages. Despite priority 10, Asian languages have developed comparatively slowly, with Indonesian, Japanese (the largest at the HSC level), and Chinese among the favorites.

Secondary Education

Secondary Education is provided by a mix of private and public educational institutions, relationships between which have reflected larger class and social tensions in the country. As government budgets shrink relatively, competition for federal and state funding has intensified, leading to some remarkable public outbursts. The NSW Labor government, for example, has recently supported teacher trade union calls for a review of Commonwealth spending on private schools, shifting blame for its own allocations on the basis that Commonwealth priorities have provided for a 12 percent real increase in funding to private schools and no real increase to public schools. The case of private schooling has not been helped by bitter public debates over, for instance, the teaching of creationism in some Christian schools, and several celebrated student abuse cases in a number of large and prestigious private colleges. In the larger framework, these debates should probably be seen within the context of "new knowledge" professionals attempting to push the boundaries of secularization in an age when governments are more committed to retaining diversity across the educational system and support from subcultures within the multicultural mix of Australian society.

Increasing public provision in the context of an aging population is a large budget proposition in an age of decreasing budgets. In an attempt to quell the issues of class in the debate, on May 11, 1999, Dr. David Kemp (Commonwealth Minister for Education, Training and Youth Affairs), issued Choice and Equity: Funding Arrangements for Non-Government Schools 2001-2004, which abolished the Education Resources Index (ERI) and replaced it with a measure of socioeconomic status (SES) of school communities. The means-testing of aid, however, has not stopped the criticism, since the real issue is the shrinking hold public education has on the Australian imagination and the budgetary policies, which reflect a shift in attitude to education as a relative rather than an absolute good.

In 2000, some 81,000 students enrolled for the School Certificate (year 10 matriculation) in NSW, around a core of subjects relating to mathematics, English, and science. The next most common subjects were personal development/health, commerce, computing, geography studies, technics I, history, and visual arts. The movement towards the integration of VET subjects in secondary education is evident, even to the extent that students may opt for courses taught in technical and further education colleges rather than on the campuses of high schools. This process is even more advanced in Victoria. By contrast, there were some 66,000 students who sat for the Higher School certificate in NSW in 1999, of which 52 percent (slightly above population average) were female, and most of whom sat for the Board of Studies' developed courses rather than Board endorsed subjects. The status of public examinations for matriculation to universities, though criticized as elitist in some circles, still holds considerable attraction in the market place. Some 77 percent of students received a university admissions score, indicating an offer of a place in a higher education institution attached to the Universities Admissions Centre (NSW Board of Studies 1999).

Higher Education

Postsecondary education in Australia is divided by the Commonwealth Department of Education, Training, and Youth Affairs (DETYA) into nine categories, three of which are public (University, TAFE/Technical College, and Skillshare or other government training) and the remaining six of which are private (business college or adult/community education center; industry skills center; professional/industry association; equipment/product manufacturer or supplier; other private training organization; and other organization or institution) (DETYA 2000a). Of the nearly 900,000 enrollments in the award sector (1997) private providers represent about 11 percent of postsecondary award enrollments. Non-award enrollments were also offered. The niche role of private providers is demonstrated by the much larger percentage of private over public enrollments involved in part-time and external study (45 percent versus 32 percent in 1997), and in programs not leading to an award.

Most universities (following the models of the Universities of Sydney and Melbourne) are state-owned, statutory bodies established under their own acts of state parliament. The Australian National University is unique, being constituted by an Act of federal parliament in 1946 as Australia's only research university. Its position in the Australian Capital Territory drove it to seek a larger student base, and through amalgamations successively with Canberra University College and the Institute of The Arts, it has since 1960 been offering undergraduate education and since 1992 broadened to include creative arts.

The rash of new universities peaked in the late 1960s, and few new institutions were created until the 1990s. The pressure of new settlement areas has been the major reason for new institutions since then—the University of Western Sydney, for instance, which combined a number of pre-existing colleges (including the venerable Hawkesbury Agricultural College) under one masthead in 1990. The latest university in this category is the University of the Sunshine Coast (USC), formed from a private university formed in the 1980s, made a university College in 1994, and was claimed a university by the Labor Party government in Queensland in 1998. It finds itself at the heart of the major growth corridor of the Sunshine Coast, Australia's fastest growing region.

USC also represents the growth of higher education with an increasing number of private tertiary institutions. Few of these (Avondale College, Seventh Day Adventist; Australian Catholic University, Catholic; and Notre Dame University, Catholic being among the exceptions) obtain government funding. The most highly profiled of these (in media terms) was Bond University, begun by a corporate entrepreneur (Alan Bond) before facing financial stringencies and restructuring in the late 1980s. It has since gone on to considerable achievements, particularly in business, economics, and law. Growth is restrained largely by the absence of large pockets of private wealth in Australia, and the size of the population. The position of these institutions as private providers included within the government funding model was a major factor suggesting devolvement of government funding on a voucher basis that could be used at the registered institution of the student's choice. If this were to happen, the private sector would receive considerable impetus, and the small start-up agencies (for instance, those hoping to building on the base provided by the large number of theological colleges and Christian schools in Australia) in formation would emerge as further competition for a public sector which is itself quickly moving to broaden the number of privately funded places offered.

Most Australian universities admit students competitively on the basis of secondary matriculation and demand for courses. In New South Wales, for instance, this is handled through the Universities Admissions Centre (UAC), which mediates student applications via an index called the Universities Admissions Index, successor to many disputed and publicly debated systems. Essentially, the UAI uses weighted HSC results to mediate between student demand and university supply. Most students are offered places in particular institutions on the basis of their UAI. Some institutions also add bonus points to applications if students live in a particular area, fulfill preenrollment interviews, or fit other desirable target criteria. ACT students obtain a score from the ACT Board of Senior Secondary Studies, and in most other states a Tertiary Entrance Rank is calculated on the basis of weighted matriculation examination scores. In Western Australia, the equivalent is a TER calculated by the Tertiary Institutions Service Centre (TISC). In Queensland, entry is determined by the Queensland Tertiary Admissions Centre (QTAC) on the basis of overall positions determined through moderated internal assessment and the Queensland Core Skills Test (QCS).

Administration, Finance, & Educational Research

With federation in 1901, the Australian states retained the obligation to fund education. A federal framework gave reason for them to seek standardized approaches across the country. The emphasis was not on content so much as on citizenship, character, and the underpinnings of social democracy, the development of intelligence, faculty, and character. In addition, practical courses ran alongside academic ones, with students effectively streamed into technical, superior, and academic streams by the end of primary Qualifying Certificate, through to the Continuation, and other Certificates.

As the aftershocks of the disastrous 1891 depression settled down, improved economic conditions allowed expansion of the systems. Committees like the Fink Commission in Victoria (through the Education Act of 1901, and the subsequent Teacher's Act) and the NSW Royal Commission on Education (through the Free Education Act 1906), guided the reform of technical education, eliminated pupil teachers, abolished fees in state schools, promoted the building of state high schools, provided for teacher education institutions and registration, extended the compulsory base of education, and the centralization of education under permanent heads.

Though technical education would have to await full implementation until World War II, the cyclic nature of the Australian economy encouraged pragmatism, and militated against a leisured liberal arts tradition. Two major depressions, recurrent recessions, and war made Australians a practical people. The influence of Scots and English thought, influenced by German idealism, was particularly strong in this period, though as the Ascham School in Sydney, and the introduction of Rudolph Steiner and Montessori schools showed variety was a local possibility in the period from 1914.

Montessori became mainstream in New South Wales, and from there influenced Tasmania and South Australia, but made less headway in other states. The Jena school in Germany was a regular stop on Australian tours abroad for educational ideas, those that also filtered into Australia through the medium of journals, and British domination of the book trade. The Kindergarten movement, also German in origin, had been introduced to keep young children off the streets in the 1890s depression, and began to spread in Australia after the return of prosperity in 1906. By 1914, however, due to the period of reform through 1901-1914, children entering Kindergarten could look forward to a complete K-Tertiary education provision in their own country. The growth of a specifically Australian (as opposed to Anglo-Australian) form of patriotism was one outcome of this, as the Australian intelligentsia could now be embraced within Australian institutions. Despite the lack of demand for local authors and other creative talents, it was a trend that reinforced the deliberate attempts of history and social studies curricula to engender concepts of citizenship.

Though education was a state issue, the Commonwealth became more vitally involved in state provision through the two world wars. After both wars, tens of thousands of ex-servicemen had to be retrained to enter into post-war reconstruction society. This was done through Commonwealth funding of technical and university places for returned servicemen. The cohort that emerged from Australian institutions in the early 1950s was, thus, more mature, worldly-wise, and destined to lead Australian social institutions into the 1980s. The new industries encouraged by war also demanded a flow of technically-educated men (and, increasingly, teachers were among the first semi-professionals to begin moving up), the first major step in which was the take over of teacher training by the universities that defined the field of education.

Similar processes were to occur through the 1970s and 1980s with regard to nursing, and through the 1990s with regard to policing, paramedics, business, and other social service areas. Meeting the demand for teachers in a democratic country meant maintaining or elevating the drawing power of the profession, either through social status or financial reward. As society became increasingly consumer-oriented, the two types of reward began to run into one another, relativizing the pseudo-religious roots of the so-called "honourable professions." The pluralization of society, on the other hand, was marked by rising crime rates and the decline of social security in precisely those areas where the state desired cohorts of new teachers to begin work. Increasing the leaving age just meant more uninterested students in school for a longer period of time. Fewer matriculants were offering for an occupation requiring higher levels of knowledge, ever improving teaching skills, for lower relative social and economic return. The phrase "the crisis in education" shown by rising teacher resignation rates, and global transfer of teachers to other parts of the world was to remain a key element of Australian public debate through to the end of the century. Professionalization was thus driven by the destabilization of a rapidly modernized and globalized society. The University of Tasmania took over teacher education as early as 1948 for rational economic reasons and struggled to fit teaching practicums into the academic timetable.

By the late 1950s, the prospect of the baby boom doubling the population of Australia's universities in a very short period of time was beginning to worry Commonwealth and state planners. In 1949, the New South Wales University of Technology was founded at Kensington, to articulate between the burgeoning number of Technical College students and the need for increased numbers of technical professionals to oversee post-War reconstruction. Eventually, renamed the University of NSW, it grew through a pattern of regional expansion and proliferation of degrees, as well as a marketable commodity for educational exports to the expanding economies of Asia, to become one of Australia's largest universities. But this was not enough. From 1954-1957, university enrollments in Australia rose by nearly 30 percent. From 1954, under pressure from the rural vote, the University of New England gained its independence from the University of Sydney, and entered the field of distance education. None of these universities were financially stable, and greater need again was emerging with the rising numbers of students, and academic union militancy over poor wages and conditions.

The Murray Report and the demographic bulge of the period opened a golden age of state funded university expansion. New faculties were added at the newly named UNSW and the major metropolitan universities, and new Universities were founded (Monash, 1958; James Cook (University College of Townsville), 1960; Wollongong University (College), 1962; Macquarie, 1963; Newcastle University, 1965; Flinders University, 1961-1966; La Trobe University, 1964).

Dawkins unified national scheme regularized relationships between the states and the commonwealth with regard to federal leadership over national education policy, as did the "Common and Agreed National Goals for Schooling in Australia" (the Hobart Declaration), which emerged out of the 1989 conference of Education Ministers. The high point of this golden age of university expansion, and of education for democracy was under the Whitlam government, 1972-1975. The Whitlam revolution retained the last remnants of 1960s optimism before the oil shocks of the early 1970s, and the recession budgets of the Fraser government began to function. E. Gough Whitlam broke more than 20 years of conservative, minimalist government style in the Liberal tradition by appealing to the white collar middle classes who had been the most enthusiastic patrons of the university and education sector. While retaining labor union support, he reconceptualized Welfare as the means by which government enriched the life of every citizen. In this sense, government was in loco parentis for the dissolving local communities on which education had been built in earlier years. "Any function or activity," declared Whitlam, "which can be hitched to the star of the Commonwealth grows in quality and affluence. Any function or activity which is financially limited to the States will grow slowly or even decline" (Whitlam, ALP Policy Speech, 1972). The major areas were education, health care, urban planning and social services, with equality of opportunity in each the immediate aim and equality of outcomes as a recognized unreachable benchmark for different social groups. The bold vision was in the end torn down by recession and cultural reaction from a people for whom the social costs were too much too fast. Whitlam still divides the Australian opinion today, as the proponent of the last great cause.

Universities received greatly increased per capita funding for student places. Equal opportunity and affirmative action was entrenched in the public sector well beyond the federal sphere of influence. Official multiculturalism was promulgated and the rights of minorities, especially girls, Aborigines, rural children, migrant children and the physically and mentally handicapped were protected and advanced. Funding for childcare was made available to empower working mothers—a system that existed in moderated form until the early 1990s. At secondary level, the radical experience of South Australia was extended to the federal scene by Peter Karmel through the Australian Schools Commission. The system of government grants to schools was means tested, meaning that more resources flowed to the poorer Catholic schools than to the private grammar schools. More importantly, the beneficiaries of a student generation of free university education remained beholden to the vision of democratic education, a cohort that still fills many of education's senior positions, and resents the swing to a market economy that is transforming social activism into market awareness.

As the century ended, Australians awaited the federal government's final word on whether the recommendation of devolved educational funding, such as a voucher system would be put into place. Elements of devolved budgeting are in place, such as the Howard Liberal Government of Enrollment Benchmark Adjustment (EBA) which facilitates the establishment of non-government schools, and penalizes those public systems which lose market share. The use of the EBA has also provided a way of estimating the scale of movement towards the private system in Australia: in 2000, DETYA estimated that, "the gradual movement of students to the nongovernment school sector has saved the states some $3 billion since 1983" (DETYA, 2000c). The NSW government estimated in 2000 that its public system would be losing some $50 million per year by 2003 to EBA due to the shift towards private schools (NSWDET 2000). In the same year, most states were closing surplus public schools in older suburban areas due to declining numbers of school-aged children and the growth of the private sector. Some tensions, particularly as relates to hiring policies and such issues as corporal punishment, have arisen over the fact that receipt of federal funding requires private schools to comply.

Nonformal Education

The quality of the Australian education system is protected by prosecuting misleading or deceptive conduct, including the provision of misleading or deceptive information on courses or accreditation. Similar protection is extended to overseas students through the Education Services for Overseas Students (Registration of Providers and Financial Regulation) (ESOS) Act 1991, which requires that "all providers offering education and training services to overseas students must be accredited to provide specific courses (and approved to provide these courses to overseas students) by relevant State/Territory authorities, and be registered on the Commonwealth Register of International Courses for Overseas Students (CRICOS)." Quality controls were implemented in 2001-2 through the Multilateral Joint Planning Committee (MJPC) protocol formulated through joint discussions between Federal and State ministries (DETYA 2000e).

In 1997 private providers accounted for 49 percent of external courses not leading to an award and public providers accounted for the remaining 51 percent. With the formalization of state-based laws requiring the accreditation of most awards, the amalgamation of universities, and the search for community-based support for university programs, there has been a significant reduction in the percentage of non-award courses offered by private providers in the postsecondary sector (declining from 73 to 49 percent between 1993 and 1997) and a slight rise in the market share of private providers in enrolled award students (DETYA 2000a). There are 46 tertiary institutions presently obtaining government funding as recognized tertiary providers, in addition to a widespread state system for technical education, and a great number of smaller privately run business, professional, and vocational colleges.

Teaching Profession

In 2000, almost all Australian universities prepared teachers for primary education. Most covered education in both school and non-school settings and included such areas as early childhood education; primary and secondary education; vocational education and training; and special education, applied linguistics, language education, and technology Education. With a swing towards standards-based education, there was increasing pressure for preparation for tertiary teaching. The development of standards such as the AQF has been followed by national standards development for an increasing number of areas, for instance, the National Assessment Framework for Languages as Senior Secondary Level, which allows comparison between matriculation level language curricula across the various states.

Recognition of external teacher qualifications demonstrates the existence of a general consensus that, despite variation between the various teacher registration schemes in various states, basic teacher preparation requires four year trained status, the equivalent of an Australian Bachelor's degree, at least a year's of specific studies in education and methodology, and six weeks of supervised practical teaching. The competition for positions in the state systems has pushed teacher education even further up the road to professionalization, with it being very common for teachers to pursue professional advancement through Masters degrees, one of the proliferating professional doctorates (in Educational Administration, Education, or Management), or upskilling by horizontal expansion of skills into new areas, such as computer sciences.

In the end, it was the baby boom and the expansionist government's immigration policies aimed at filling up the empty spaces of Australia that democratized the system more effectively than progressive educational policy. On the one hand, progressivism in education, as with modernism in theology and the theory of progress generally, was a dying force. During war and depression, the world saw enough to blunt its belief in humanist utopias. On the other hand, more children staying in school longer stretched resources to the limit. Increasing numbers within the primary school encouraged regular promotion from class to class and reduced the significance of the examination or other system of assessment by which pupils at the end of the primary school were allocated to secondary schools. This wave, in turn, put pressure on the comprehensive secondary schools, which were increasingly built in drawing areas located on the edge of the metropolitan sprawl developing in Australian cities, and on the teachers' colleges, which needed to produce sufficient graduates for the new educational growth industry.

Summary

In an age of rapid change, it is clear that educational standards, content, and means of delivery are under constant pressure. The challenge for Australian education is multi-leveled. At the K-6 level, the devolution of funding and organization, on the one hand, tied to increasing bureaucratic control through imposition of external standards raises serious questions about the role of the Australian Welfare state. The presupposition built up among most Australians since the middle of last century was that the State would provide the basic needs of life. That expectation has been impossible, despite government review of national taxation systems, that have led to public angst about hospitals, roads, social welfare and other elements of Australian life. One spin off of this is a declining faith in public education, as marked by steady growth in private provision at all levels of education. For those institutions in the public system, the gap created by the status of government needs to be overcome, in particular by a closer embedding of institutions in real constituencies. The sort of alumni support of institutions and culture of private philanthropy which underpins the American system of education is largely absent in Australia, a lack which will be of supreme importance as institutions are increasingly privatized and forced into competitive markets. The launching of devolution programs among primary schools was often destructive, as the communities in which they were meant to fish for support did not actually exist in sociological terms (Welch 1996).

Geographical placement of schools means little in suburban settings when most members of those suburbs are free to create private spheres unrelated to their actual location. The information age continues to exacerbate this problem, with the extension of communities into supranational virtual spaces. This is a major challenge to a public provision system based on principles of geographical saturation. While the re-orientation of the Australian tax system towards goods and services taxation has released new resources for public expenditure, it has also worsened the shift away from the states observable in financial arrangements since the 1950s. Primary and secondary education are likely to see an increase in federal supervision of their activities, despite the fact that the legal responsibility lies with the states.

This federal supervision creates significant problems in meeting local needs and in overcoming the welfare gap. As Peter Berger noted with regard to religious organizations, the vacuum created for mediating institutions by the overarching welfare state will no doubt continue to provide considerable impetus to the growth of private providers. The problem this creates is that private providers have historically been unable to unlock the sorts of resources needed to meet the huge range of social needs found in a multicultural, scattered, and geographically extensive Australian society. Public schools thus face the threat of becoming providers for special needs only.

A small player in a large international market, Australian education has much to teach the world about distance education, flexible delivery, and teaching in a first world, multicultural society. It is, however, facing significant issues in terms of retaining coherency between public policy and actual provision and social outcomes, issues which will remain with Australian education for years to come.

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—Mark Hutchinson

AUSTRALIA

Commonwealth of Australia

COUNTRY OVERVIEW

LOCATION AND SIZE.

Australia is a continent and a country in the Southern Hemisphere, lying to the south of Southeast Asia, and dividing the Indian and South Pa cific Oceans. The total area of Australia is 7,686,850 square kilometers (2,967,892 square miles), with land constituting 7,617,930 square kilometers (2,942,282 square miles) and water 68,920 square kilometers (26,610 square miles). Australia is about the same size as the United States, not including Alaska. The only country that occupies an entire continent, the Commonwealth of Australia does not share any land boundaries with other nations. The length of the country's coastline is 25,760 kilometers (16,007 miles). The capital, Canberra, is lo cated in the southeast corner of the nation and lies ap proximately halfway between the 2 largest cities, Sydney and Melbourne.

POPULATION.

The population of Australia was 19,169,083 as of July 2000, with a population density of about 2.4 people per square kilometer (6.19 people per square mile). Most of the population is concentrated along the southeast coast of the country, in an arc running from the city of Brisbane to the city of Adelaide. This arc is sometimes called the "boomerang coast" because of its shape. All of Australia's large cities (those with more than 1 million people)—Sydney, Melbourne, Brisbane, Perth, and Adelaide—are on the coast. The population living inland (more than 200 kilometers, or 124 miles, from the coast) is rather small, and a large part of this region, called the Outback, is extremely sparsely populated. Australia's population is mostly urbanized, with about 88 percent of its people living in an urban area. Sydney alone has over 20 percent of the country's people.

Australia's population has become increasingly multicultural. In 2000, 21.8 percent of Australia's people were born overseas. Australia is still a land of immigrants and each year attracts new residents from all over the world. Fewer than 3 percent of the population is identified as Aboriginal or Torres Strait Islander (the latter being a Melanesian group native to northern Queensland). The country's population has doubled since World War II. With the exception of rapid growth shortly after the war, Australia's population growth has been steady at around 1 to 1.5 percent annually. The population in 1985 was 15.75 million, and in 1990 it was 17.06 million. The country's population is expected to reach 21 million by 2010. The Australian government has not found the need to create explicit population controls, given this slow rate of increase. Australia has a slowly aging population, with 21 percent between the ages of 0-14, 67 percent between 15-64, and 12 percent over the age of 65.

OVERVIEW OF ECONOMY

The Australian economy developed rapidly in the twentieth century to become relatively stable and prosperous in world terms. Australia is characterized by an abundance of resources and a diverse yet predominantly primary sector-oriented economy. Grains, livestock, minerals, processed metals, and coal have been the mainstays of economic growth since European settlement in 1788 and continue to play the dominant role in export revenue. The gross domestic product (GDP) per capita continues to be high, with Australia ranked 17th out of 191 countries, with a GDP per capita of about US$17,575 in 1998. Australia's standard of living and lifestyle are similar to those of the United States and Europe.

Australia's economy depends on trade. Traditionally, Australia exported raw materials to its former colonial power, Great Britain, and to other European countries. When Great Britain joined what is now called the European Union (EU), trade between Great Britain and Australia declined. Australia has compensated by seeking new markets for its exports in Asia, especially in Japan and Southeast Asia. Japan, especially, has been a major purchaser of Australia's mineral and agricultural products. With the Asian financial crisis of the late 1990s, Australia sought to increase its exports to Europe and the United States while still maintaining a high level of trade with Asia.

Australia's geographic position and its topography have had an impact on its economy. The country is located relatively far from most world population centers and markets. Australia's immediate neighbors, with the exception of New Zealand, are developing countries. The Australian continent is generally dry and contains poor soils, limiting agricultural potential and requiring imports of water and fertilizers. Most of the continent's interior, the Outback, is unsuitable for agriculture except for limited cattle grazing. Australia is a generally flat continent with its few small mountain ranges being low in elevation; they primarily run north-south at the eastern edge of the country. Obstacles to road and railroad building are generally the great distances between population centers and between resources and population centers.

Australia's dependence on mineral and agricultural exports and the small size of the country's economy mean that it is exposed to fluctuations in world commodity prices. Fortunately, the diversity of minerals and agricultural products in Australia means that when some commodity prices are low, others are likely to be high, protecting the Australian economy from devastating shocks. Australia is self-sufficient in most resources including food and minerals; the major exception is oil, of which 20 percent of Australia's needs must be imported.

In the 1990s, the Australian government encouraged the privatization of government-owned companies. Large blocks of government-owned shares in the national telephone company, Telstra, and the national airline, Qantas, among other companies, were sold to the public. The Australian government has increasingly pursued a more free market approach to its economy, with fewer regulations and controls on business.

Australia's external debt is estimated at US$222 billion, and in 2000 the debt was estimated at approximately 3.3 percent of the GDP. The hosting of the Summer Olympic Games in 2000 contributed significantly to the rise in debt. However, Australia's debt has been declining as a percentage of both value of exports and GDP. Debt servicing continues but has little effect upon the performance of the economy as a whole, as it is large and strong enough to make interest payments without problems.

Australia is a contributor to global aid programs, but most aid is concentrated in the Asia-Pacific region. Australia contributes US$1.43 billion in overseas aid per year, and a significant proportion of this goes to Papua New Guinea, which is Australia's nearest neighbor and a former Australian colony. Australia is seen as a safe investment target for both domestic and overseas corporations. The mix of small, medium, and large companies is similar to that of the United States or Great Britain.

POLITICS, GOVERNMENT, AND TAXATION

The Commonwealth of Australia is a federal system with 6 states, 2 domestic territories, and a number of overseas territories, the latter consisting of small islands and a part of Antarctica. (However, the United States and many other countries do not recognize Australia's or any other country's territorial claims in Antarctica.) The 6 states are New South Wales, Victoria, Queensland, Tasmania, South Australia, and Western Australia. The 2 domestic territories are the Northern Territory and the Australian Capital Territory, the last of which, a small district containing the national capital, Canberra, is similar politically to the District of Columbia in the United States.

Australia is a constitutional monarchy with Queen Elizabeth II of England as the formal head of state. She is represented in Australia by a governor general. In practice, the political system is headed by the prime minister and the Australian parliament, which resembles that of Great Britain or Canada. Australia's parliament has 2 houses: the lower is the House of Representatives and the upper is the Senate. Australia is a member of the British Commonwealth. This organization of former British territories should not be confused with the formal name of the country, the Commonwealth of Australia. Australia's national government is usually called the Commonwealth government.

The major political parties in Australia are the Australian Labor Party, Australian Democratic Party, Liberal Party, National Party, and Green Party. The current Commonwealth government is a coalition of the conservative Liberal and National parties. The economic goals of these 2 parties are the promotion of free enterprise through reducing government regulation, privatization of government enterprises, and decentralization of government services, policies similar to those of the Republican Party in the United States. The leading opposition party, Labor, advocates policies similar to those of the Democratic Party in the United States.

Australia has a federal system, like that of the United States, which means that government income and expenditure is divided between the Commonwealth and state governments. Approximately half of the national government's revenues derive from a national income tax . Other leading sources of the national government's income include company taxes, sales taxes, excise duties , interest and dividends on investments, and various other taxes. The principal expenditures of the national government include social security programs, which account for about 37 percent of expenditures, followed by health care at about 15 percent, assistance to state governments at about 12 percent, defense at about 7.5 percent, general public services at about 7 percent, and education at about 7 percent, with other expenditures making up the remainder.

For state governments, most revenue (about 52 percent) is derived from various state taxes, followed by transfers and payments from the national government (40 percent), and income from public utilities (8 percent). The major state government expenditures are on health, education, general services, transportation, law and order, community services, and other matters including cultural and environmental issues.

The Commonwealth government has played a very active role in the development of the economy towards reduced regulation, lowering of taxation rates, and the privatization of government corporations such as Telstra, the largest telephone company. Foreign investment is generally unrestricted and the United States is the largest source of foreign direct investment . The government does not usually interfere with the takeovers of domestic enterprises by foreign investors, nor does it offer any tax incentives for foreign investment. The Federal Treasury, however, regulates foreign investment through the Foreign Investment Review Board (FIRB). This regulation is a screening process to ensure conformity with Australian law and policy. As with many government controls, the greater part of regulating, promoting, and developing investment has been handed down to the control of the Australian states. Recent tax reform has introduced a 10 percent Goods and Services Tax (GST) nationwide, which replaced former taxes such as payroll and wholesale taxes. Most goods and services are now taxed through the GST at the flat rate of 10 percent. Corporate income, capital gains, and branch tax rates are all 36 percent. Personal income taxes are progressive, meaning that the rates increase with the taxpayer's income.

The Australian Defense Force, comprising army, navy, and air force branches, has 54,000 personnel currently serving, and in 1997 recorded an expenditure of US$8.4 billion. The Australian Defense Force is apolitical and does not play any role in economic development. The government has recently sought to increase funding for the Defense Force because of political instability in neighboring countries such as Fiji and Indonesia.

INFRASTRUCTURE, POWER, AND COMMUNICATIONS

Australia's transport and communications infrastructure has developed rapidly in close conjunction with the expansion of the country's main industries. The development of transport infrastructure in Australia has been almost entirely related to moving commodities for sale in cities or to gaining access to seaports.

ROADS.

In 1996, Australia had 913,000 kilometers (567,338 miles) of roads, of which 353,331 kilometers (219,559 miles) were paved. Freeways constitute 13,630 kilometers (8,469 miles) of total roads in Australia. Road infrastructure in Australia is generally very good. Both urban and inter-city roads are well developed across the country. However, congestion, especially that caused by competition between freight and passenger road users, is becoming a problem in the large cities. The main cities affected are Adelaide, Melbourne, Sydney, and Brisbane; Sydney has the worst congestion problems, followed by Melbourne, then Brisbane. Intra-urban movement constitutes about half the total tonnage of road freight in Australia.

RAIL.

In 1999 there was a total of 33,819 kilometers (21,015 miles) of rail lines in Australia. Rail infrastructure exists in both urban networks (mostly commuter rail) and regional networks (mostly freight rail). Rail infrastructure in Australia has never received much government support, despite the country's relatively flat topography and large distances. The consequence has been the development of a few high demand corridors being serviced by relatively poor infrastructure. While current rail infrastructure has sufficient capacity to deal with demand, major investments, totaling at least US$2 billion, have been identified as necessary to deal with the expected increase

in transport demand over the next 20 years. Additionally, conflicts between commuter and freight rail operators are becoming typical of the rail transport centers of Sydney, Melbourne, and Brisbane.

AIR.

Australia currently has 408 airports, 15 of which serve as major intersections and destinations. The national air carrier is Qantas Airways. The country's second largest air carrier, Ansett Airlines, also has an extensive domestic network. The primary commercial airports are Sydney, Melbourne, Brisbane, Adelaide, and Perth. There are an additional 254 regional airports with paved runways across the country. Almost all of Australia's air movements constitute passenger travel. While Australia's air infrastructure is well developed, it has become increasingly overused and overworked and faces increasing maintenance and development costs. Between 2000 and 2020, an estimated US$1.4 billion in new investment will be required to adequately service air travel demand. Of this amount, roughly 67 percent will be directed at terminal expansion for the primary international airports. Currently, Australia's largest and most congested airport, the Kingsford Smith Airport in Sydney, remains efficient by world standards. Australia's main regional airports (Canberra, Coolangatta, Cairns, Darwin, and Hobart) are operating within capacity.

SEA.

Australia has 14 major seaports, including Fremantle (Perth), Darwin, Brisbane, Newcastle, Sydney, Port Kembla, Adelaide, Melbourne, Davenport, and Hobart. In addition, export-dedicated seaports are located at Gladstone, Weipa, Hay Point, Dampier, and Port Hedland. Australian seaports are currently under-utilized, and most ports have the infrastructure to meet demand for the next 2 decades. The Bureau of Transport and Communication Economics found in 1996 that spending on infrastructure development will not likely exceed US$500 million over the next 20 years.

POWER.

Australia does not import or export electricity. The country produces its own electricity supply, which is generated from coal (89.85 percent), hydro-electricity (8.35 percent), and other sources, mainly renewable energy (1.8 percent). Australia does not generate or consume electricity from atomic power. Total electricity production in Australia was 186.39 billion kilowatt hours (kWh) in 1998, with total consumption being 173.34 billion kWh for the same year.

COMMUNICATIONS.

In 1997, there were 9.5 million phone lines in use in Australia, representing a 15 percent increase since 1993. For the same period (1993-97), subscriptions to cellular phone networks increased 667.3 percent, with a total of 3.8 million users in 1997. Thus, Australia has one of the world's highest rates of cellular phone use. Recent upgrades to the digital phone system have achieved almost total coverage across the country. In 1999 Australia had 709 Internet service providers.

ECONOMIC SECTORS

The export of agricultural and mineral resources has been the mainstay of Australia's economy for many years and continues to be a significant contributor to the GDP. Commodities produced in these sectors generate 57 percent of the value of total exports. The services sector (driven partly by the continuing development of the tourism industry) makes up an increasingly dominant proportion of GDP. The dependence on the export value of commodities puts Australia somewhat at the mercy of fluctuations in world commodity prices. Australia's attempts to increase manufactures have met with competition from the global market. Therefore, Australia has focused on developing its service sector.

During the 1990s, many Australian government-owned or partially government-owned companies were privatized or partially privatized. Notable examples of this process include the partial privatization of the Commonwealth Bank, the national airline Qantas, and the telephone company Telstra. Currently, public enterprises account for about 10 percent of total economic output in the country.

Australian companies are regulated by a number of government agencies. Chief among these is the Trade Practices Commission, which has the responsibility of encouraging competition and preventing monopolization in any industry. The Trade Practices Commission is concerned with price discrimination, resale price maintenance, misuse of market power, types of exclusive dealing, and anticompetitive agreements. Another government body, the Prices Surveillance Authority, identifies prices that are deemed excessive and establishes inquiries to determine if high prices result from anti-competitive or collusive company behavior. A third government body, the Industry Commission, is concerned with the allocation of resources in the economy as a whole. The Industry Commission advises the government on the setting of tariffs and other protective barriers needed to support Australian industry or to make it more competitive globally.

AGRICULTURE

Historically, agriculture has been as important in the development of Australia, as it was in the United States. Australia's traditional dominance in wheat and sheep continues into the 21st century. Recently Australian agriculture has become increasingly diversified. The considerable expanses of arable land have helped Australia to become a leading world exporter of grains, meats, and wool. Both grains (predominantly wheat and barley) and wool markets around the world are dominated by Australian exports. The market for cattle is more regional but is becoming increasingly important globally, given health concerns about European-produced beef. While only about 6 percent of Australia is suitable for crops and pasture, a considerable amount (60 percent) of the land area is suitable for cattle grazing.

Agriculture contributes roughly 3 percent of the GDP and employs about 4 percent of the total workforce directly. While the sector's contribution to the GDP is small, raw and unprocessed agricultural commodities contribute about a quarter of Australia's total export earnings each year. Australia exports a great deal more agricultural produce than it imports. In 1998 agricultural exports from Australia were estimated at US$15.14 billion, in comparison to the US$3.11 billion worth of agricultural imports for the same year. The main agricultural crops grown in Australia are wheat, coarse grains (barley, oats, sorghum, maize, and triticale), rice, oilseeds (canola, sunflowers, soybeans, and peanuts), grain legumes (lupins and chick peas), sugarcane, cotton, fruits, grapes, tobacco, and vegetables. The main livestock production is in sheep (wool and lamb), beef, pork, poultry, and dairy products. Exports account for over 90 percent of wool and cotton production, nearly 80 percent of wheat, over 50 percent of barley and rice, over 40 percent of beef and grain legumes, over 30 percent of dairy products, and nearly 20 percent of fruit production.

The distribution of agricultural production in Australia is largely determined by the physical environment and climate. The traditional large farm system of wheat and sheep production is spread fairly uniformly between parts of New South Wales, Victoria, South Australia, and Western Australia. Queensland, New South Wales, and Victoria produce the majority of beef, and New South Wales has the largest and most numerous poultry farms. Sugarcane and large-scale vegetable production occurs almost entirely in the tropical state of Queensland, while cotton is produced in both New South Wales and Queensland. Tropical fruits, such as mangoes and bananas, are grown in parts of New South Wales, Queensland, Western Australia, and the Northern Territory.

A notable characteristic of Australian farming and agricultural production is the extent to which net farm income varies from year to year. Australia's weather is subject to extreme fluctuations, which has an impact on annual production and ultimately on farm income.

Farm sizes range from relatively small part-time farms to operations of more than 5000 hectares. In general, Australian farming is characterized by large scale, highly mechanized and efficient operations, one of the key reasons why only a small percentage of the workforce is employed in this sector. Environmental factors have long been ignored in the production of agricultural commodities due to their importance to the economy. At the beginning of the 21st century, however, Australia is forced to pay more attention to the growing evidence of environmental stress and degradation caused by farming. In the past, the agricultural sector carried considerable political weight, being represented by the Labor and National political parties. Currently, there is increasing political pressure from urban residents to remove most subsidies and other forms of protection given to farmers. Australian farmers already do not receive many of the subsidies given to farmers in the United States and Europe.

INDUSTRY

MINING.

Australia's mining sector is important to both Australia and the world. The mineral sector is the largest primary sector in the economy, accounting for 6.5 percent of the GDP but for more than 60 percent of export earnings. World-wide, Australia is the third largest producer of minerals and metals (not including coal and petroleum). About 80 percent of total mineral production is exported.

Australia is the world's leading producer of alumina and bauxite (both used in the production of aluminum), diamonds (mainly industrial, not gems), opals, and sapphires. The country is the world's second largest producer of lead and zinc; the third largest producer of gold and iron ore; the fourth largest producer of cobalt and uranium; the fifth largest producer of aluminum, coal, copper, nickel, and silver; and the sixth largest producer of salt. Australia is virtually self-sufficient in most minerals and metals. The main exception is oil, but Australia does produce 80 percent of its own needs, mainly from offshore wells. However, Australia does have large deposits of coal, natural gas, liquified petroleum gas, and uranium, all of which are exported.

Many minerals are widespread throughout the country, but others are concentrated in particular areas. Most mining takes place in remote or rural Australia. Bauxite, diamond, and iron ore production is concentrated in the tropical north. Coal, lead, and zinc are mined primarily in New South Wales and Queensland. Uranium production is limited to a few mines in the Northern Territory and South Australia. Every Australian state and the Northern Territory have substantial mining activity. Most of Australia's oil is found offshore. The northwestern coast of the continent and Bass Strait, between Tasmania and the mainland, are the principal locations for petroleum extraction.

Of Australia's total mineral and energy production, 40 percent consists of metals, 30 percent of petroleum group products, 25 percent of coal, and 5 percent of industrial minerals (such as construction materials, clay, and salt).

Minerals of particular interest include coal, which is the largest foreign exchange earner in the sector, accounting for 25 percent of the minerals sector and 15 percent of the country's total export earnings. Australia is the sixth largest producer of coal in the world, but the world's largest exporter, most of which is sold to Japan and other Asian countries.

Australia's uranium mining has been controversial, as much of it has been conducted in environmentally sensitive World Heritage areas (sites recognized by the United Nations Educational, Scientific and Cultural Organization [UNESCO] as having global cultural significance). Some groups have protested against Australia's mining of uranium because of its role in energy production. Australia itself does not use atomic power and operates only one experimental reactor. Australia does not sell uranium for use in weapons and maintains strict controls on exports. Foreign investment in Australia's uranium industry was allowed in 1996. Australia has the world's largest reserves of uranium, about 25 percent of world total.

With respect to the ownership of minerals and mineral rights, each Australian state owns resources in its own area, while the Commonwealth government owns resources in the territories and offshore. However, the Commonwealth government has given control over nonuranium minerals within the boundaries of the Northern Territory to the territorial government.

Mining in Australia has frequently led to conflict with Aboriginal groups over ownership of land and resources. Much of Australia's mining takes place in remote areas, including the Outback, where Aboriginal people form a high percentage of the population. Aboriginal people have protested against mining activity which disturbs or destroys sacred sites, causes environmental damage, and negatively affects the customs of Aboriginal communities. The proposed expansion of the Ranger uranium mine, at Jabiru in the Northern Territory, has been criticized by Aboriginal people living in the area. Australian legislation in the 1990s belatedly recognized Aboriginal concerns. In 1996, the Wik ruling of the High Court of Australia determined that mineral leases in Australia are subject to Aboriginal claims. The effect that this ruling will have on mining is still uncertain, but it will probably have little financial impact on the mining sector as a whole.

Foreign companies control a majority of mining, smelting, and refining in Australia. Many mineral companies are vertically integrated, in that they mine, refine, and distribute their products globally. Australia's largest mining company, Broken Hill Proprietary (BHP), is one of the world's largest mining companies. It operates in Australia as well as overseas. BHP's recent merger with the South African mining company, Billiton, made it one of the three largest mining companies in the world. The new company is known as BHPBilliton. Two other large mining companies, Anglo American (South Africa) and Rio Tinto (Great Britain), also have substantial investments in Australia.

MANUFACTURING.

The manufacturing sector has grown substantially since the 1950s, and while it remains a key sector in terms of its contribution to the GDP and employment, it also faces fierce competition from competing regional economies, especially those in Asia.

The relatively small population of Australia, and hence its small domestic market, has traditionally limited the development of certain types of manufacturing, such as sophisticated industrial equipment and electrical goods. Otherwise Australia is well equipped locally to produce most manufactured goods competitively. Key manufacturing industries in Australia are industrial machinery, chemical production, transport equipment, food processing, and steel production. Australia has the ability to manufacture most of its needs and can obtain most raw materials domestically. About one-fifth of Australia's workforce is employed in manufacturing industries, and the growth of the sector since World War II has been fairly uniform. Australia has its own automobile industry, although foreign companies have overall control and ownership. Large investors include General Motors, Ford, Toyota, and Mitsubishi. General Motors owns the Australian automobile company, Holden, that produces its own line of Australian cars.

The manufacturing sector in Australia has been stable and sound, with a broad spectrum of industries that have had little need for tariff protection or government subsidies. However, the rapid development of similar industrial manufacturing industries in Asia has created many cheaper import substitutes . High levels of industry regulation (such as union-driven working conditions) and smaller margins of trade have also put the manufacturing sector under stress. Many value-added goods, refined fossil fuels, and metal products are now produced more cheaply in Asia, reducing the competitiveness of Australia.

The manufacturing sector in Australia is located almost completely in the urbanized regions of eastern Australia, with the exception of considerable steel and primary industry production in the state of Western Australia. Working conditions are generally very good, with "award wages" (nationally legislated working conditions and minimum wages) and Occupational Health and Safety measures addressing workers' interests. In 1998, 54 percent of employees did not take any time off work because of a work-related injury or illness. The manufacturing industry is one of the most unionized employment sectors in Australia and has taken a leading role in promoting an improvement in working conditions.

SERVICES

The service sector contributes approximately 69.2 percent of the GDP and employs an estimated 73 percent of the labor force . The recent growth in tourism, retail , and financial services contributes to a steady increase in these numbers.

TOURISM.

By the end of the 20th century, tourism had become Australia's largest "resource," surpassing coal in value. In 2000 approximately 4.6 million international tourists arrived in Australia, bringing an estimated US$9.02 billion into the country, a 73 percent increase from tourist revenues in 1993. International tourist arrivals for 2001 are estimated to increase substantially to 5.2 million. International tourists come mostly from New Zealand, accounting for 17 percent, and Japan, accounting for 15 percent. Tourists come from other regions as well: the Americas, 12 percent; Asia (except Japan), 26 percent; Europe, 24 percent; and others, 6 percent. Some 99 percent of international tourists in Australia arrive by air.

The Australian Tourist Commission (ATC) is responsible for promoting Australian tourism internationally. According to their recent policy statements, the ATC "positions" Australia differently in tourism markets, meaning that they present different aspects of Australia in different countries. For example, in Japan, Australia is promoted as "close, affordable, safe," and with "inspirational experiences of nature and culture." In other overseas markets, Australia is typically positioned as "the most naturally free-spirited and liberating country in the world" and as a destination for a regular vacation rather than as the "trip of a lifetime."

Australia's scenery, variety of landscapes, distinctive animals, beach culture, modern cities, and relaxed lifestyle are all promoted as reasons to visit the country. The relatively weak Australian dollar, which has steadily declined in value against the U.S. dollar, makes Australia an affordable destination, as foreign travelers increasingly receive more Australian dollars per unit of their own currency. The 2000 Summer Olympics held in Sydney was a major factor driving an increase in international tourism to Australia. Televised events revealed many aspects of the country to potential visitors. The success of Australian films, particularly the Crocodile Dundee series, and television programs such as Survivor II and The Crocodile Hunter have also sparked an interest in visiting Australia. International tourists are forecast to increase by an average of 7.8 percent per year until 2010.

RETAIL.

Australia has a diverse range of retail enterprises, similar in complexity to that of the United States or Great Britain. Australian-owned national retailers are numerous but are considerably outnumbered by smaller retailers. Small businesses (those employing fewer than 20 people) accounted for 95 percent of total retail businesses but only 38 percent of total retail income in the period 1998-99. For the same period, large businesses (those employing more than 200 people) made up less than 1 percent of total retail businesses but generated 41 percent of total retail income. The remaining 4 percent of retail businesses and 21 percent of income was attributable to medium-size businesses (21-200 employees).

The larger retail businesses in Australia are mainly comprised of department stores and supermarkets, which contribute 99.6 percent of total income. At the end of June 1999, there were 98,289 retail businesses in the country, generating about US$90 billion in revenue. Since 1991-92, the number of retail businesses has increased by 18 percent, and employment in this sector has increased by 33 percent, with an annual sector-wide revenue growth rate of 5 percent. In the same period (since 1991-92) the operating profits of Australian retailers doubled.

Small businesses are most numerous and tend to dominate the total income for domestic repair and service industries, such as household equipment repair and motor vehicle services and maintenance. Small businesses also comprise the greater part of the total income for recreational goods, specialty foods, furniture, house-wares, and appliances. Small enterprises and the large national retailers alike are subject to "award conditions" which specify minimum wages and employment conditions. The retail industry, while having a very high union membership rate, is not controlled by unions, and the Commonwealth government and business alike support moves towards direct employer-employee workplace agreements.

FINANCIAL SERVICES.

Financial services is a growing sector in the Australian economy. With respect to commercial banking, the sector is dominated by 4 large private banks: the National Australia Bank, Commonwealth Bank (partially government owned), Westpac, and ANZ Bank. Together these 4 account for about 70 percent of market share and provide both retail and wholesale banking services (services to individuals and to companies). In an increasingly globalized economy, Australia's banks face international competition but have generally thrived. Australia's banking system has been consistently modernized by technological developments. For example, checks and checking accounts are no longer widely used, and Automated Teller Machines (ATMs) and electronic banking have replaced both the use of checks and in-person banking transactions.

Australia's financial services sector also includes many non-bank financial institutions. These include financial intermediaries such as building societies, credit unions, money market dealers, and finance companies. Building societies, similar to Savings and Loan companies in the United States, have generally been declining as they are no longer competitive and have been bought out by banks. Funds managers and trusts are other non-bank financial institutions. These institutions manage insurance funds, superannuation (retirement) funds, and real estate assets, among other matters.

Australia's central bank is the Reserve Bank of Australia, similar in concept to the Federal Reserve system in the United States. The Reserve Bank's functions include managing and issuing the currency, controlling the money supply, supervising the private banks, assisting the government in formulating economic policy, providing banking services to the government, managing the foreign exchange rate , and managing the Australian government's overseas financial holdings. The overall objectives of the Reserve Bank are to maintain the stability of Australia's currency, maintain full employment in the country, and ensure the economic prosperity of Australia.

INTERNATIONAL TRADE

Historically, Australia's largest trading partners were Great Britain and the rest of Europe. This historical trading relationship reflected Australia's colonization by Great Britain and the British need for new markets for manufactured goods as well as sources of raw materials. The cultural affiliation between Australia and its "mother country" also contributed to this historic trading pattern. Since the 1970s, however, Australia's international trade has shifted towards Asia and Pacific countries. When Great Britain joined what is now known as the European Union in the 1970s, Australia lost many trading advantages with that country and sought new markets closer to home. Japan, Singapore, other Southeast Asian countries, and the United States have all become important Australian trading partners. The composition of Australia's exports has largely remained the same, but new markets (including more recently South America and the Middle East) have been sought. The marked failure of some key Southeast Asian economies, particularly Indonesia, Thailand, and Hong Kong in the late 1990s, has had only a limited effect on the Australian economy. As of 2001, political events outside Australia, such as disturbances in the neighboring countries of Indonesia and Fiji, have had almost no impact on Australia's trade.

Australia's principal exports are meat, wheat, cotton, machinery and transport equipment, coal, iron ore, aluminum, gold, and other minerals. The largest destination for exports is Japan, which purchased almost US$9 billion worth of Australian products in 1999. The United States was the second-largest purchaser, at about US$4 billion, followed by South Korea, New Zealand, Taiwan, Hong Kong, China, Singapore, Great Britain, Indonesia, Malaysia, and Italy. Eight of the top twelve importers of Australian products are in Asia.

Australia's main imports are machinery and transportation equipment (mostly motor vehicles), computers and office machines, telecommunications equipment, oil and petroleum products, medical and pharmaceutical products, aircraft and related equipment, and clothing. Australia's largest source of imports is the United States. Australia imported nearly US$10 billion worth of goods from the United States in 1999. Other leading sources of imports to Australia are Japan, Great Britain, China, Germany, South Korea, New Zealand, Indonesia, Taiwan, Singapore, Italy, and Malaysia. With the exceptions of Hong Kong and Germany, Australia's top twelve trading partners are the same for both exports and imports.

The recent (2000) sharp drop in the value of the Australian dollar, especially against the U.S. dollar, could have an impact on Australia's current trade deficit . A devalued currency means that Australia's exports become relatively cheaper, while imports become more expensive. Thus, a weak Australian dollar may give the country a competitive edge over Canada, the United States, and other countries in selling raw materials to Japan, to take one example. However, the flip side is that imported products become more expensive, as Australians require more dollars to purchase the same product. For example, a product selling for US$100 would be the equivalent of A$153 in 1999, assuming all other factors to be equal. But with the drop in the value of the Australian dollar, the same US$100 product would be the equivalent of A$192 in 2001. Therefore, many Australian consumers might find imported products too expensive and stop buying them. If this situation continues, Australia's exports could increase and its imports decrease, leading to a decline in the amount of the trade deficit.

MONEY

Australia's economic performance depends on the world prices of mineral and agricultural commodities. The value of Australia's currency can considerably affect the value of export earnings. Australia has also managed to steer clear of recession and sharp fluctuations in the rate of inflation during the past 2 decades. Government policies of the 1990s, including allowing the value

of the currency to fall, deregulating industry, and encouraging foreign investment, allowed Australia to weather the Asian economic crisis of that decade. In this period, inflation was low, averaging between 1 to 3 percent per year. Inflation is a controversial topic among economists and is still not clearly understood. However, within the past 2 years price increases in Australia have been attributed to the introduction of the Goods and Services Tax (GST) of 10 percent on most products and services; the fall in the value of the Australian dollar, which makes imports more expensive; and the increase in world oil prices, which are passed on to Australian consumers. Nevertheless, steady economic growth of around 4 percent per year has characterized the greater part of economic performance.

Australia has an established stock exchange. The Australian Stock Exchange (ASX) opened in 1987 through the merger of smaller, very well established (100 years or so of trading) exchanges. In 1998, there were 1,162 companies listed on the exchange.

POVERTY AND WEALTH

Australia has sometimes been called a "classless society," though this is not strictly true. Class in Australia is generally defined on the basis of income or self identification. The terms "working class," "middle class," and "upper class" are all in use, but are difficult to define statistically. Social mobility in Australia is high and there are no formal or cultural obstacles to movement between social or economic classes. Australia's high level of multiculturalism, with many recent immigrants, also contributes to class mobility. Immigrants are often concerned to get the best possible education for their children so that they will move upwards economically. There are some differences in standards of living between rural and urban residents, as the cost of providing basic services to rural areas is generally higher. Rural regions often have more limited services and higher prices for consumer goods .

In Australia the general living standards are very high, but differences remain between the country's richest and poorest. Moreover, the gap between rich and poor

is growing. The poorest 20 percent of households earned 1 percent of private income, while the richest 20 percent earned 50 percent. For a small minority of the population (nearly all Aboriginal), levels of education and health are very low, and these people are often at or below the poverty line. Australia has been internationally criticized for this situation. The richest minority in Australia are very wealthy and play key roles in international finance. On the whole, the majority of Australia's population would probably be defined as middle class.

Poorer families in Australia are generally characterized by financial struggle and limited opportunities. The national government has an obligation to provide basic services to such families. Australia, like many developed western economies, is partly a welfare state . The poorest citizens, and those on low wages or dependant upon care, receive social security and are granted access to free or reduced price health services, education, transportation, and housing. A poorer family in Australia will most likely live in a cheaply constructed, and often highly subsidized public housing area. Many of the basic family services provided by the Commonwealth government, such as rent assistance, childcare assistance, health care, and legal aid, are often busy and run on stretched resources. This situation is more extreme in the country's rural areas. General health levels among such families are low, primarily from inferior housing, poor diet, and increased susceptibility to the abuse of alcohol and drugs. While free education has been the hallmark of the Australian school system, budget cuts have increased the actual cost of sending children to school, with poor families having to pay for many extracurricular activities. The lifestyle of a poor family in Australia is characterized by the need to work to live and support a family in the short term. Rarely, even if members of a family are employed full time, is there the financial ability to take time off work for vacations. Access to higher education, the Internet and even basic computer knowledge, and inclusion in political decision-making are all limited.

The typical family in the higher income brackets of Australian society enjoys many more opportunities, choices, and luxuries than do poorer families. Many richer families have the choice of living outside busy urban centers in rural areas within commuting distance of the cities. Those who choose to live in the major metropolitan areas enjoy spacious, well built, modern or traditional heritage housing. Education has traditionally been a priority for the richer families, and children will often be sent to private schools where the educational standards are usually far better and more inclusive of physical and personal development programs. It is not uncommon for such children to attend boarding schools in another state or region. Almost universally, higher-income families take advantage of a well-developed private health care system, with education being a key factor in better levels of health among such families. While domestic violence, drug abuse, and support services are commonly associated with poorer families in Australia, such abuses transcend socio-economic boundaries and can also occur among the richer families. Richer families have ease of access to private vehicles, typically 1 per person in the family, and the ability to take time off work for domestic and international vacations. In contrast to poorer families, substantial and self-funded retirement plans are

universal among richer families. Such families easily access personal or home information and entertainment technology. Personal computers, reliable and private access to the Internet, cellular telephones, and entertainment technologies are common and form the basis of better connections to news, information, and public opinion. Richer families have a considerable political voice through their ability to make contributions to political parties, to be informed about current affairs, and to participate in debate.

WORKING CONDITIONS

In world terms, Australian working conditions are of a high standard. Australian industrial relations are characterized by fairly high union membership and a federally driven, but state determined, compulsory arbitration and conciliation system. Industrial relations practices are specified in the Conciliation and Arbitration Act (1904), which encouraged employer associations to recognize unions and empowered these unions to make working condition claims on behalf of employees. In Australia there are 7 distinct systems of industrial regulation and relations: the national system is supplemented by those of the 6 states, each having its own distinct industrial relations legislation and arbitration processes. As a result, there has long been a high degree of state intervention in the labor market. There is now only 1 main central union confederation, the Australian Council of Trade Unions (ACTU). "Awards" are the legal decisions made by independent industrial organizations, and they specify minimum standards of pay and working conditions that an employer must meet or otherwise face legal penalties. Working conditions are regulated by legislation and industrial awards.

While Australia carries no social restrictions on employment opportunities for women, the percentage of women in the formal workforce has traditionally been smaller than that of men. Female participation in the workforce has been increasing steadily since the early 1960s, when women comprised 25 percent of the work-force. In 1993, women's participation in the workforce was still increasing at 42 percent. The national Affirmative Action (Equal Employment Opportunity for Women) Act (1986) obliges employers to take steps specifically designed to remove discrimination towards women and promote equality in employment. Despite this act and award conditions for equal pay for equal work being well established, women's earnings on average remain slightly less their male counterparts. This inequity is partially due to the fact that women remain concentrated in industries where pay and working conditions remain relatively less favorable than other occupations and professions. More recent trends in equal opportunity employment address factors such as childcare, maternity and paternity leave, affirmative action, and sexual harassment, and sees them as significant industrial relations issues rather than exclusively women's issues.

Unemployment in Australia has been between 6 and 8 percent since the early 1980s and continues to remain in this range. Many Australian employers have readily employed immigrant workers, especially in times of labor shortages.

COUNTRY HISTORY AND ECONOMIC DEVELOPMENT

1770. Captain James Cook claims Australia for Great Britain.

1788. Australia is settled as a British penal colony.

1793. The first free settlers arrive.

1817. Australia's first bank, the Bank of New South Wales, is established.

1851. Gold is discovered in New South Wales and Victoria.

1883. Silver is discovered at Broken Hill, New South Wales.

1901. The Commonwealth of Australia, a federation of the colonies, is proclaimed. Australia adopts a federal system similar to the United States.

1914-18. Australia sends troops to fight for Great Britain in World War I.

1917. Transcontinental railroad opens.

1920. Qantas, the national airline, is founded.

1927. The national capital is moved from Melbourne to Canberra.

1940-45. Australian troops serve in World War II.

1942. Japanese planes bomb the Northern Territory capital of Darwin. Japanese midget submarines penetrate Sydney harbor.

1952. Uranium is discovered in the Northern Territory.

1960. Aboriginal people are granted Australian citizenship. The Reserve Bank of Australia is established.

1961. Iron ore deposits are discovered in Western Australia.

1966. Australia changes its currency from the British pound to the Australian dollar.

1992. The Mabo decision in the High Court allows Aboriginal people to claim title to their traditional lands.

1997. The Asian financial crisis weakens Australia's economy.

1999. A referendum to change Australia from a constitutional monarchy to an independent republic is defeated.

2000. The Summer Olympics in Sydney lead to a boom in tourism.

FUTURE TRENDS

Australia's well rounded economy is likely to see continued growth in both the near and distant future. The country's importance as a leading supplier of minerals and agricultural products, its increasing presence in financial services and specialized technology industries, and its growing appeal as a tourism destination all hold great promise. The diversity of the Australian economy, its many trading partners, and its peaceful democratic political system all help stabilize economic conditions and encourage new investment. The Asian financial crisis of the late 1990s slowed Australia's exports, particularly of minerals, but is unlikely to have any long-term effects on the overall economy. Australia's economy is a careful balance of free market policies with close regulation of key economic sectors, combined with extensive social services programs. Australia's standard of living is assured of remaining one of the world's highest.

The Australian economy will have to increasingly address environmental and Aboriginal issues. Environmental damage caused by mining and agriculture, especially, have come under frequent media attack. Current issues include soil erosion caused by overgrazing, urbanization, and poor farming practices; increases in soil salinity largely due to farming practices; depletion of fresh water supplies, again largely due to farming and urbanization; and coastal damage, especially around the Great Barrier Reef on the Queensland coast, caused by shipping and extensive tourism. Mining impacts on the environment, such as the release of toxic substances, tend to be more localized. Mining and agricultural enterprises are becoming more responsive to environmental issues, but there is still room for improvement. Australia only recognized the potential land claims of its Aboriginal population in the 1990s, placing it far behind the political history of indigenous-settler relations in other countries such as New Zealand, Canada, and the United States. The Mabo and Wik High Court decisions of the 1990s recognized that Aboriginal title to land may still exist and that it can overlap with pastoral and mining leases. The implications of these decisions have not yet been worked out. They will probably have no major impact on the Australian economy as a whole but will give Aboriginal people a greater voice in managing natural resources on their traditional lands.

DEPENDENCIES

Australia has no territories or colonies.

BIBLIOGRAPHY

Australian Tourist Commission. ATC Online: Tourism Industry Essentials. <http://www.atc.net.au>. Accessed April 2001.

Economist Intelligence Unit. Country Profile: Australia. London: Economist Intelligence Unit, 2001.

Gruen, Peter, and Sona Shrestha, editors. The Australian Economy in the 1990s. Canberra: Economic Group, Reserve Bank of Australia, 2000.

Kriesler, Peter, editor. The Australian Economy: The Essential Guide. Sydney: Allen and Unwin, 1995.

Kriesler, Peter, editor. The Australian Economy. 2nd Edition. Sydney: Allen and Unwin, 1997.

Lewis, John, et al. A Guide to the Australian Economy: Structure, Performance, Policy. Melbourne: Longman Cheshire, 1994.

Nicholson, Margaret. The Little Aussie Fact Book. Melbourne: Penguin, 2000.

U.S. Central Intelligence Agency. World Factbook 2001. <http://www.odci.gov/cia/publications/factbook/index.html>. Accessed September 2001.

U.S. Department of State. FY 2001 Country Commercial Guide: Australia. <http://www.state.gov/www/about_state/business/com_guides/2001/eap/index.html>. Accessed October 2001.

U.S. Geological Survey. "The Mineral Industry of Australia." Minerals Information, International: Asia and the Pacific. <http://minerals.usgs.gov/minerals/pubs/country/asia.html#af>. Accessed October 2001.

—Michael Pretes

Rory Eames

CAPITAL:

Canberra.

MONETARY UNIT:

Australian Dollar (A$). One dollar equals 100 cents. There are coins of 5, 10, 20, and 50 cents, and 1 and 2 dollars. There are notes of 5, 10, 20, 50, and 100 dollars. An interesting feature of Australia's banknotes is that they are made out of thin plastic rather than paper.

CHIEF EXPORTS:

Coal, wheat, gold, meat, wool, aluminum, iron ore, machinery, and transport equipment.

CHIEF IMPORTS:

Machinery and transport equipment, computers and office machines, telecommunication equipment and parts, crude oil, and petroleum products.

GROSS DOMESTIC PRODUCT:

US$445.8 billion (purchasing power parity, 2000 est.).

BALANCE OF TRADE:

Exports: US$69 billion (f.o.b., 2000 est.). Imports: US$77 billion (f.o.b., 2000 est.).

AUSTRALIA

Compiled from the December 2004 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Commonwealth of Australia

PROFILE

Geography

Area: 7.7 million sq. km. (3 million sq. mi.); about the size of the 48 contiguous United States.

Cities: (2003) Capital—Canberra (pop. 323,000). Other cities—Sydney (4.2 million), Melbourne (3.6 million), Brisbane (1.7 million), Perth (1.4 million).

Terrain: Varied, but generally low-lying.

Climate: Relatively dry, ranging from temperate in the south to tropical in the north.

People

Nationality: Noun and adjective—Australian(s).

Population: (2004) 20.2 million.

Annual population growth rate: 1.2%.

Ethnic groups: European 92%, Asian 6%, Aboriginal 2%.

Religions: (2001) Anglican 21%, Roman Catholic 27%, other Christian 20%, other non-Christian 5%, no religion 16% and not stated 12%.

Languages: English.

Education: Years compulsory—to age 15 in all states except Tasmania, where it is 16. Literacy—85%.

Health: Infant mortality rate—5/1,000. Life expectancy—males 77 yrs., females 82 yrs.

Work force: (10.3 million) Agriculture—4%; mining, manufacturing, construction, and utilities—21%; services—70%; public administration and defense—5%.

Government

Type: Democratic, federal-state system recognizing British monarch as sovereign.

Constitution: July 9, 1900.

Independence: (federation) January 1, 1901.

Branches: Head of state is the governor general, who is appointed by the Queen of Australia (the British Monarch). Legislative—bicameral Parliament (76-member Senate, 150-member House of Representatives). The House of Representatives selects as head of government the Prime Minister, who then appoints his cabinet. Judicial—independent judiciary.

Administrative subdivisions: Six states and two territories.

Political parties: Liberal, Nationals, Australian Labor, Australian Democrats, Australian Greens, and Family First. The Liberal Party and the Nationals form the governing coalition.

Suffrage: Universal and compulsory over 18.

Central government budget: FY 2003-04—$129.3 billion; FY 2004-05—$138.4 billion.

Defense: 1.9% of GDP for FY 2004-05.

Economy

GDP: (2003) $504.4 billion.

Inflation rate: (2003) 2.8% p.a.

Trade: Exports ($91.8 billion, 2003)—coal, gold, iron ore, crude oil and petroleum products, wheat, aluminum. Major markets—Japan, U.S. ($8.1 billion), China, New Zealand, South Korea. Imports ($107.3 billion, 2003) passenger motor vehicles, computers, crude oil and petroleum products, aircraft and parts, medicaments. Major suppliers—U.S. ($16.8 billion), Japan, China, Germany, U.K., New Zealand, Taiwan, and Singapore.

PEOPLE

Australia's aboriginal inhabitants, a hunting-gathering people generally referred to as Aboriginals and Torres Straits Islanders, arrived more than 40,000 years ago. Although their technical culture remained static—depending on wood, bone, and stone tools and weapons—their spiritual and social life was highly complex. Most spoke several languages, and confederacies sometimes linked widely scattered tribal groups. Aboriginal population density ranged from 1 person per square mile along the coasts to 1 person per 35 square miles in the arid interior. When Capt. James Cook claimed Australia for Great Britain in 1770, the native population may have numbered 300,000 in as many as 500 tribes speaking many different languages. The aboriginal population currently numbers more than 410,000, representing about 2.2% of the population. Since the end of World War II, the government and the public have made efforts to be more responsive to aboriginal rights and needs.

Immigration has been a key to Australia's development since the beginning of European settlement in 1788. For generations, most settlers came from the British Isles, and the people of Australia are still predominantly of British or Irish origin, with a culture and outlook similar to those of Americans. However, since the end of World War II, the population has more than doubled; non-European immigration, mostly from the Middle East, Asia, and Latin America, has increased significantly since 1960 through an extensive, planned immigration program. From 1945 through 2000, nearly 5.9 million immigrants settled in Australia, and about 80% have remained; nearly two of every seven Australians is foreign-born. Britain and Ireland have been the largest sources of post-war immigrants, followed by Italy, Greece, New Zealand, and the former Yugoslavia.

Australia's refugee admissions of about 12,000 per year are in addition to the normal immigration program. In recent years, refugees from Africa, the Middle East, and Southwest Asia have comprised the largest element in Australia's refugee program.

Although Australia has scarcely more than two people per square kilometer, it is one of the world's most urbanized countries. Less than 15% of the population lives in rural areas.

Cultural Achievements

Much of Australia's culture is derived from European roots, but distinctive Australian features have evolved from the environment, aboriginal culture, and the influence of Australia's neighbors. The vigor and originality of the arts in Australia—films, opera, music, painting, theater, dance, and crafts—are achieving international recognition.

Australian actors such as Nicole Kidman, Rachel Griffiths, Cate Blanchett, Russell Crowe, Geoffrey Rush, Paul Hogan, Hugh Jackman, and Heath Ledger have achieved enormous popularity in the United States. Australian movies and directors such as Peter Weir and Philip Noyes also are well known.

Australia has had a significant school of painting since the early days of European settlement, and Australians with international reputations include Sidney Nolan, Russell Drysdale, and Pro Hart and Arthur Boyd. Writers who have achieved world recognition include Thomas Keneally, Colleen McCullough, Nevil Shute, Morris West, Jill Ker Conway, and Nobel Prize winner Patrick White.

HISTORY

Australia was uninhabited until stone-culture peoples arrived, perhaps by boat across the waters separating the island from the Indonesia archipelago more than 40,000 years ago. Portuguese, Spanish, Dutch, and English explorers observed the island before 1770, when Captain Cook explored the east coast and claimed it for Great Britain (three American colonists were crew members aboard Cook's ship, the Endeavour).

On January 26, 1788 (now celebrated as Australia Day), the First Fleet under Capt. Arthur Phillip landed at Sydney, and formal proclamation of the establishment of the Colony of New South Wales followed on February 7. Many but by no means all of the first settlers were convicts, condemned for offenses that today would often be thought trivial. The mid-19th century saw the beginning of government policies to emancipate convicts and assist the immigration of free persons. The discovery of gold in 1851 led to increased population, wealth, and trade.

The six colonies that now constitute the states of the Australian Commonwealth were established in the following order: New South Wales, 1788; Tasmania, 1825; Western Australia, 1830; South Australia, 1836; Victoria, 1851; and Queensland, 1859. Settlement had preceded these dates in most cases. Discussions between Australian and British representatives led to adoption by the British Government of an act to constitute the Commonwealth of Australia in 1900. Since Federation, the Commonwealth Government has established to two self-governing territories: the Northern Territory, 1978; and the Australian Capital Territory (where the national capital, Canberra, is located), 1989.

The first federal Parliament was opened at Melbourne in May 1901 by the Duke of York (later King George V). In May 1927, the seat of government was transferred to Canberra, a planned city designed by an American, Walter Burley Griffin. The first session of Parliament in that city was opened by another Duke of York (later King George VI). Australia passed the Statute of Westminster Adoption Act on October 9, 1942, which officially established Australia's complete autonomy in both internal and external affairs. Its passage formalized a situation that had existed for years. The Australia Act (1986) eliminated the last vestiges of British legal authority.

GOVERNMENT

The Commonwealth government was created with a Constitution patterned partly on the U.S. Constitution, although it does not include a "bill of rights." The powers of the Commonwealth are specifically defined in the Constitution, and the residual powers remain with the states.

Australia is an independent nation within the Commonwealth. Queen Elizabeth II is the head of state and since 1973 has been officially styled "Queen of Australia." The Queen is

represented throughout Australia by a governor general and in each state by a governor.

The federal Parliament is bicameral, consisting of a 76-member Senate and a 150-member House of Representatives. Twelve senators from each state are elected for 6-year terms, with half elected every 3 years. Each territory has two senators who are elected for 3-year terms. The members of the House of Representatives are allocated among the states and territories roughly in proportion to population. In ordinary legislation, the two chambers have coordinate powers, but all proposals for appropriating revenue or imposing taxes must be introduced in the House of Representatives. Under the prevailing Westminster parliamentary system, the leader of the political party or coalition of parties that wins a majority of the seats in the House of Representatives is named prime minister. The prime minister and the cabinet wield actual power and are responsible to the Parliament, of which they must be elected members. General elections are held at least once every 3 years; the last general election was in October 2004.

Each state is headed by a premier, who is the leader of the party with a majority or a working minority in the lower house of the state legislature. Australia's two self-governing territories have political systems similar to those of the states. The Territories are headed by Chief Ministers who are the leader of the party with a majority or a working minority in the territories' legislature.

At the apex of the court system is the High Court of Australia. It has general appellate jurisdiction over all other federal and state courts and possesses the power of constitutional review.

Principal Government Officials

Last Updated: 11/29/04

Governor General: Jeffery , Michael, Maj. Gen. (Ret.)
Prime Minister: Howard , John
Dep. Prime Min.: Anderson , John
Min. for Aging: Bishop , Julie
Min. for Agriculture, Fisheries, & Forestry: Truss , Warren
Min. for the Arts & Sport: Kemp , Rod
Min. for Citizenship & Multicultural Affairs: McGauran , Peter
Min. for Communications, Information Technology, & the Arts: Coonan , Helen
Min. for Defense: Hill , Robert M.
Min. for Education, Science, & Training: Nelson , Brendan
Min. for Employment & Workplace Relations: Andrews , Kevin
Min. for the Environment & Heritage: Campbell , Ian
Min. for Family & Community Services: Patterson , Kay
Min. for Finance & Administration: Minchin , Nicholas "Nick"
Min. for Fisheries, Forestry, & Conservation: McDonald , Ian
Min. for Foreign Affairs: Downer , Alexander
Min. for Health & Aging: Abbot , Anthony "Tony"
Min. for Human Resources: Hockey , Joe
Min. for Immigration & Multicultural & Indigenous Affairs: Vanstone , Amanda
Min. for Industry, Tourism, & Resources: MacFarlane , Ian E.
Min. for Justice & Customs: Ellison , Christopher
Min. of Local Government, Territories, & Roads: Lloyd , Jim
Min. for Revenue: Brough , Mal
Min. for Small Business & Tourism: Bailey , Fran
Min. for Trade: Vaile , Mark
Min. for Transport & Regional Services: Anderson , John
Min. for Veterans' Affairs: Kelly , De-Anne
Min. for Vocational & Technical Education: Hardgrave , Gary
Min. for Workforce Participation: Dutton , Peter
Treasurer: Costello , Peter
Special Min. of State: Abetz , Eric
Attorney General: Ruddock , Philip
Chmn., Reserve Bank: Macfarlane , Ian J.
Ambassador to the US: Thawley , Michael
Permanent Representative to the UN, New York: Dauth , John

Australia maintains an embassy in the United States at 1601 Massachusetts Avenue NW, Washington, DC 20036 (tel. 202-797-3000), and consulates general in New York (212-408-8400), San Francisco (415-362-6160), Honolulu (808-524-5050), Los Angeles (310-229-4800), Chicago (312-419-1480) and Atlanta (404-880-1700).

POLITICAL CONDITIONS

Three political parties dominate the center of the Australian political spectrum: the Liberal Party (LP), nominally representing urban business-related groups; the Nationals, nominally representing rural interests; and the Australian Labor Party (ALP), nominally representing the trade unions and liberal groups. Although embracing some leftists, the ALP traditionally has been moderately socialist in its policies and approaches to social issues. All political groups are tied by tradition to domestic welfare policies that have kept Australia in the forefront of societies offering extensive social welfare programs. Australia's social welfare programs have been reduced, however, in response to budgetary pressures and a changing political outlook. There is strong bipartisan sentiment on many international issues, including Australia's commitment to its alliance with the United States.

The Liberal Party/Nationals coalition came to power in 1996, ending 13 years of ALP government and electing John Howard Prime Minister. Reelected in October 1998, November 2001, and October 2004, the coalition now holds 87 seats (75 Liberal/12 National) in the House of Representatives, against 60 for the ALP, and 3 independents. Currently, the coalition holds 35 seats, against 28 for the ALP, 7 for the Australian Democrats, 2 for the Greens, 1 for One Nation, 1 for the Australian Progressive Alliance, and 2 independents. However, when the recently elected Senators take their places on July 1, 2005, the coalition will hold a 39-seat majority in the 76-seat chamber, against 28 for the ALP, 4 for the Australian Democrats, 4 for the Australian Greens, and 1 for the Family First party.

Howard's conservative coalition moved quickly to reduce Australia's government deficit and the influence of organized labor, and reform Australia's tax and social welfare systems. The Howard government also has accelerated the pace of privatization, beginning with the government-owned telecommunications corporation. The Howard government has continued the foreign policy of its predecessors, based on relations with four key countries: the United States, Japan, China, and Indonesia. The Howard government strongly supports U.S. engagement in the Asia-Pacific region and has sent troops as part of the coalitions in Afghanistan and Iraq. National elections took place October 9, 2004, and likely will take place again in late 2007 or early 2008.

ECONOMY

Australia's advanced market economy is dominated by its services sector (70% of GDP), yet it is the agricultural and mining sectors (7% of GDP combined) that account for the bulk (57%) of Australia's goods and services exports. Australia's comparative advantage in primary products is a reflection of the natural wealth of the Australian continent and its small domestic market; 20 million people occupy a continent the size of the contiguous United States. The relative size of the manufacturing sector has been declining for several decades, and now accounts for around 11% of GDP.

Australia commenced a basic reorientation of its economy in the 1980s and has transformed itself from an inward looking, import-substitution country to an internationally competitive, export-oriented one. Key reforms included unilaterally reducing high tariffs and other protective barriers; floating the Australian dollar exchange rate; deregulating the financial services sector, including liberalizing access for foreign bank branches; making efforts to restructure the highly centralized system of industrial relations and labor bargaining; better integrating the state economies into a national federal system; improving and standardizing the national infrastructure; privatizing many government-owned services and public utilities; and fundamentally reforming the taxation system, including introducing a broad-based Goods and Services Tax (GST).

The ultimate goal is for Australia to become a competitive producer and exporter, not just of traditional farm and mineral commodities, but also of a diversified mix of high value-added manufactured products, services, and technologies. Australia was one of the OECD's fastest-growing economies throughout the 1990s, a performance that owed much to the economic reform program. Despite a transient slowdown in late 2000, it has been 14 years since Australia experienced a recession and economic growth remains robust. Economic growth should be around 3% in 2004, despite the negative effect of the prolonged drought on Australian agricultural exports. The latest predictions suggest that GDP growth will exceed 3% over the next 2 years.

The United States and Australia concluded negotiations on a Free Trade Agreement (FTA) in February 2004. The FTA has been ratified by both the U.S. Congress and the Australian Parliament. The AUSFTA will enter into force on January 1, 2005. The AUSFTA marks the first FTA the U.S. has concluded with a developed economy since the U.S.-Canada FTA in 1988.

FOREIGN RELATIONS

Australia has been active participant in international affairs since World War I and has fought beside the United States and other Allies in every significant conflict to the present day. In 1944, it concluded an agreement with New Zealand dealing with the security, welfare, and advancement of the people of the independent territories of the Pacific (the ANZAC pact). After the war, Australia played a role in the Far Eastern Commission in Japan and supported Indonesian independence during that country's revolt against the Dutch (1945-49). Australia was one of the founders of both the United Nations and the South Pacific Commission (1947), and in 1950, it proposed the Colombo Plan to assist developing countries in Asia. In addition to contributing to UN forces in Korea—it was the first country to announce it would do so after the United States—Australia sent troops to assist in putting down the communist revolt in Malaya in 1948-60 and later to combat the Indonesian-supported invasion of Sarawak in 1963-65. The U.S., Australia and New Zealand signed the ANZUS Treaty in 1951, which remains Australia's only formal security treaty alliance. Australia also sent troops to assist South Vietnamese and U.S. forces in Vietnam and joined coalition forces in the Persian Gulf conflict in 1991, in Afghanistan in 2002, and in Iraq in 2003.

Australia has been active in the Australia-New Zealand-U.K. agreement and the Five-Power Defense Arrangements—successive arrangements with Britain and New Zealand to ensure the security of Singapore and Malaysia.

One of the drafters of the UN Charter, Australia has given firm support to the United Nations and its specialized agencies. It was a member of the Security Council in 1986-87, a member of the Economic and Social Council for 1986-89, and a member of the UN Human Rights Commission for 1994-96 and 2003-2005. Australia takes a prominent part in many other UN activities, including peacekeeping, nonproliferation and disarmament negotiations, and narcotics control. Australia also is active in meetings of the Commonwealth Regional Heads of Government and the Pacific Islands Forum, and has been a leader in the Cairns Group—countries pressing for agricultural trade reform in World Trade Organization (WTO) negotiations—and in the APEC forum.

Australia has devoted particular attention to relations between developed and developing nations, with emphasis on the ten countries of the Association of South East Asian Nations (ASEAN) and the island states of the South Pacific. Australia is an active participant in the ASEAN Regional Forum (ARF), which promotes regional cooperation on security issues. In September 1999, acting under a UN Security Council mandate, Australia led an international coalition to restore order in East Timor upon Indonesia's withdrawal from that territory.

Australia will provide over $1.6 billion ($A2.1 billion) as official development assistance in FY 2004-05. The Australian aid program is currently concentrated in Southeast Asia (Papua New Guinea is the largest-single recipient) and the Pacific Islands. In 2003, Australia led a regional mission to restore law and order in Solomon Islands. In 2004, Australia commenced a 5-year $0.8 billion ($A1.1 billion) enhanced cooperation program, which involved government officials working alongside their PNG counterparts. Selected aid flows are allocated to Africa, South Asia, and reconstruction in Afghanistan and Iraq. Contributions to multilateral organizations and other expenses account for about one-third of the foreign assistance budget.

ANZUS AND DEFENSE

The Australia, New Zealand, United States (ANZUS) security treaty was concluded at San Francisco on September 1, 1951, and entered into force on April 29, 1952. The treaty bound the signatories to recognize that an armed attack in the Pacific area on any of them would endanger the peace and safety of the others. It committed them to consult in the event of a threat and, in the event of attack, to meet the common danger in accordance with their respective constitutional processes. The three nations also pledged to maintain and develop individual and collective capabilities to resist attack.

In 1985, the nature of the ANZUS alliance changed after the Government of New Zealand refused access to its ports by nuclear-weapons-capable and nuclear-powered ships of the U.S. Navy. The United States suspended defense obligations to New Zealand, and annual bilateral meetings between the U.S. Secretary of State and the Australian Foreign Minister replaced annual meetings of the ANZUS Council of Foreign Ministers. The first bilateral meeting was held in Canberra in 1985. At the second, in San Francisco in 1986, the United States and Australia announced that the United States was suspending its treaty security obligations to New Zealand pending the restoration of port access. Subsequent bilateral Australia-U.S. Ministerial (AUSMIN) meetings have alternated between Australia and the United States. The 16th AUSMIN meeting took place in Washington on July 7, 2004.

The U.S.-Australia alliance under the ANZUS Treaty remains in full force. Defense ministers of one or both nations have joined the annual ministerial meetings, which are supplemented by consultations between the U.S. Combatant Commander, Pacific and the Australian Chief of Defense Force. There also are regular civilian and military consultations between the two governments at lower levels.

ANZUS has no integrated defense structure or dedicated forces. However, in fulfillment of ANZUS obligations, Australia and the United States conduct a variety of joint activities. These include military exercises ranging from naval and landing exercises at the task-group level to battalion-level special forces training, assigning officers to each other's armed services, and standardizing, where possible, equipment and operational doctrine. The two countries also operate joint defense facilities in Australia.

Following the terrorist attacks on the United States on September 11, 2001, Australian Prime Minister Howard invoked the ANZUS Treaty for the first time on September 14, 2001. Australia was one of the earliest participants in Operation Enduring Freedom. Australian Defense Forces participated in coalition military action against Iraq in Operation Iraqi Freedom. Australian military and civilian specialists are participating in the training of Iraqi security forces and the reconstruction of Iraq.

After a review in 2000 of Australia's future defense needs, the government made a commitment to increase defense spending by an average of 3% a year for the next 10 years. The Australian Defense Force numbers about 52,000 active duty personnel. The Royal Australian Navy's front-line fleet currently includes 12 frigates, including 6 of the Perry class and 6 Australian-built ANZAC class, with 2 more to be delivered by 2006. The last of six submarines of the new, indigenous Collins class was commissioned in March 2003. In August 2004, Australia selected the Aegis Combat Control System for its three air warfare destroyers, which will start coming into service in 2013. The F/A-18 fighter, built in Australia under license from the U.S. manufacturer, is the principal combat aircraft of the Royal Australian Air Force, backed by the U.S.-built F-111 strike aircraft. In October 2002, Australia became a Level III partner in the U.S.-led Joint Strike Fighter program. Recent U.S. sales to the Royal Australian Army include the M1A1 AIM tank, as well as Hellfire and JAVELIN munitions.

U.S.-AUSTRALIAN RELATIONS

The World War II experience, similarities in culture and historical background, and shared democratic values have made U.S. relations with Australia exceptionally strong and close. Ties linking the two nations cover the entire spectrum of international relations—from commercial, cultural, and environmental contacts to political and defense cooperation. Two-way trade reached $25 billion in 2003. More than 400,000 Americans have visited Australia in a single year.

Traditional friendship is reinforced by the wide range of common interests and similar views on most major international questions. For example, both countries sent military forces to the Persian Gulf in support of UN Security Council resolutions relating to Iraq's occupation of Kuwait; both attach high priority to controlling and eventually eliminating chemical weapons, other weapons of mass destruction, and anti-personnel land-mines; and both work closely on global environmental issues such as slowing climate change and preserving coral reefs. The Australian Government and opposition share the view that Australia's security depends on firm ties with the United States, and the ANZUS Treaty enjoys broad bipartisan support. Recent Presidential visits to Australia (in 1991, 1996 and 2003) and Australian Prime Ministerial visits to the United States (in 1995, 1997, 1999, 2001, 2002, 2003, and 2004) have underscored the strength and closeness of the alliance.

Trade issues have generated bilateral friction. In recent years, especially because of Australia's large trade deficit with the United States, Australians have protested U.S. barriers against their exports of some primary products and fast ferries. Of particular note, Australia's access to the U.S. market for sugar remained unchanged under the recently-negotiated AUSFTA. Australia's sugar exports to the U.S. remains strictly controlled by the country-specific U.S. quota program. Australia also opposes as "extraterritorial" U.S. sanctions legislation against Cuba, Iran, and Libya. Australia remains concerned that U.S. agricultural subsidies may allow U.S. products to undercut Australian grain, dairy products, and other agricultural commodities in the Asia-Pacific region and elsewhere. For its part, the United States has concerns about Australian quarantine barriers to imports of meat and some fruits; changes in Australian law governing intellectual property protection; and Australian Government procurement practices. Many of these issues have been subsumed under the comprehensive bilateral FTA.

Both countries share a commitment to liberalizing global trade. They work together very closely in the World Trade Organization (WTO), and both are active members of the Asia-Pacific Economic Cooperation (APEC) forum.

A number of U.S. institutions conduct scientific activities in Australia because of its geographical position, large land mass, advanced technology, and, above all, the ready cooperation of its government and scientists. Under an agreement dating back to 1960 and since renewed, the U.S. National Aeronautics and Space Administration (NASA) maintains in Australia one of its largest and most important program outside the United States, including a number of tracking facilities vital to the U.S. space program. Indicative of the broadranging U.S.-Australian cooperation on other global issues, a Mutual Legal Assistance Treaty (MLAT) was concluded in 1997, enhancing already close bilateral cooperation on legal and counter-narcotics issues. In 2001, the U.S. and Australia signed a new tax treaty and a bilateral social security agreement.

Principal U.S. Embassy Officials

CANBERRA (E) Address: American Embassy Canberra, Moonah Place, Yarralumla ACT 2600 AUSTRALIA; APO/FPO: PSC 277 APO AP 96549; Phone: 61-2-6214-5600; Fax: 61-2-6214-5970; Workweek: Mon–Fri/8:00am to 5:00pm; Website: http://usembassy-australia.state.gov

MELBOURNE (CG) Address: 553 St. Kilda Road, Melbourne, VIC, Australia, 3004; APO/FPO: PSC 278, APO, AP 96551; Phone: (61) (3) 9526 5900; Fax: (61) (3) 9510-4646; Work-week: M–F, 8:00-5:00.

SYDNEY (CG) Address: 59th Floor, MLC Centre, 19-29 Martin Place; APO/FPO: PSC 280, Unit 11026, APO, AP 96554-0002; Phone: (61)(2)9373-9200; Fax: (61) (2) 9373-9125; Workweek: M–F, 0815-1700; Website: http://sydney.usconsulate.gov/sydney

PERTH (C) Address: Level 13, 16 St Georges Tce; APO/FPO: Unit 11021 APO AP96530; Phone: 61-8-9202-1224; Fax: 61-8-9231-9444; Work-week: M–F; 8:00 am-5:00 pm; Website: http://perth.usconsulate.gov

TRAVEL

Consular Information Sheet

September 24, 2004

Country Description: Australia is a highly developed stable democracy with a federal-state system. Tourist facilities are widely available. The Australian Tourist Commission's internet website, http://www.australia.com/, provides a wide range of information of interest to travelers.

Entry/Exit Requirements: American citizens are required to have a valid U.S. passport to enter Australia. Americans must enter with an Australian visa or, if eligible, through Electronic Travel Authority (ETA). The ETA, replaces a visa and allows a stay of up to three months. It may be obtained for a small service fee at http://www.eta.immi.gov.au. Airlines and many travel agents in the United States are also able to issue ETAs. Please note that American citizens who overstay their ETA or visa, even for short periods, may be subject to exclusion, detention and removal. More information about the ETA and entry requirements may be obtained from the Embassy of Australia at 1601 Massachusetts Avenue, N.W., Washington, D.C. 20036, telephone (202) 797-3000, or via the Australian Embassy home page on the Internet at http://www.austemb.org. Visa inquires may be directed to the Australian Visa Information Service at 888-990-8888.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure.

Dual Nationality: In addition to being subject to all Australian laws affecting U.S. citizens, individuals who also possess the nationality of Australia may also be subject to other laws that impose special obligations on citizens of that country. For additional information, see the Consular Affairs home page on the Internet at http://travel.state.gov for our Dual Nationality flyer. For information about the Government of Australia's approach to dual nationality, see http://www.citizenship.gov.au.

Safety and Security: Australia has instituted an alert system for possible terrorist attacks. The threat levels range from "low" to "high." The Australian Attorney General's Office maintains a website with up-to-date information regarding the current assessment of the terrorism threat at http://www.nationalsecurity.gov.au. American citizens are reminded to maintain a high level of vigilance and to take appropriate steps to increase their security awareness. Travelers may also contact the Australian National Security Hotline at 61-1-800-123-400.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet web site at http://travel.state.gov where the current Worldwide Caution Public Announcement, Travel Warnings, and Public Announcements can be found. Up to date information on security can also be obtained by calling 1-888-407-4747 toll free in the United States, or, for callers outside the United States and Canada, a regular toll line at 1-317-472-2328. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime: Visitors should be aware that street crime, burglaries, and car thefts are a daily occurrence in the larger cities. Weapons are increasingly used in such crimes, which also may be associated with drug trafficking and usage. Foreign visitors are sometimes targets for pickpockets, purse-snatchers and petty thieves. Appropriate, common sense precautions should be taken, especially at night, to avoid becoming a target of opportunity. To call for fire/police/ambulance services throughout Australia, dial "000" for urgent assistance.

The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, help you find appropriate medical care, to contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

U.S. citizens may refer to the Department of State's pamphlet A Safe Trip Abroad for ways to promote a trouble-free journey. The pamphlet is available by mail from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, via the Internet at http://www.gpoaccess.gov, or via the Bureau of Consular Affairs home page at http://travel.state.gov.

Medical Facilities: Excellent medical care is available. Serious medical problems requiring hospitalization and/or medical evacuation to the United States can cost thousands of dollars. Most doctors and hospitals except immediate cash/credit card payment for health services.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and if it will cover emergency expenses such as a medical evacuation. U.S. medical insurance plans seldom cover health costs incurred outside the United States unless supplemental coverage is purchased. Further, U.S. Medicare and Medicaid programs do not provide payment for medical services outside the United States. However, many travel agents and private companies offer insurance plans that will cover health care expenses incurred overseas, including emergency services such as medical evacuations.

When making a decision regarding health insurance, Americans should consider that many foreign doctors and hospitals require payment in cash prior to providing service and that a medical evacuation to the U.S. may cost well in excess of $50,000. Uninsured travelers who require medical care overseas often face extreme difficulties. When consulting with your insurer prior to your trip, ascertain whether payment will be made to the overseas healthcare provider or if you will be reimbursed later for expenses you incur. Some insurance policies also include coverage for psychiatric treatment and for disposition of remains in the event of death.

Useful information on medical emergencies abroad, including overseas insurance programs, is provided in the Department of State's Bureau of Consular Affairs brochure Medical Information for Americans Traveling Abroad, available via the Bureau of Consular Affairs home page.

Other Medical Information: Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747); fax 1-888-CDC-FAXX (1-888-232-3299), or via the CDC's Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

Visitors are cautioned that Australian fauna can be as dangerous as they are inspiring. From jellyfish off the Great Barrier Reef to crocodiles and sharks, poisonous insects and snakes, the continent and its waters host wildlife that merit awe and respect in equal doses. Further information on Australian wildlife may be obtained from the Australian Institute of Marine Science at http://www.aims.gov.au/dma and the Wet Tropics Management Authority information on marine life at http://www.wettropics.gov.au/vi/vi_marine.html and the Wet Tropics Management Authority information on animals at http://www.wettropics.gov.au/vi/vi_animals.html. Swimmers should use safety precautions, swim only where a lifeguard is present, and never swim alone. Scuba diving can be a treacherous sport. Over the past few years there have been numerous deaths related to diving incidents. Divers are urged to follow recommended precautions and never dive alone.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Australia is provided for general reference only, and may not be totally accurate in a particular location or circumstance.

Safety of Public Transportation: Good
Urban Road Conditions/Maintenance: Good
Rural Road Conditions/Maintenance: Good
Availability of Roadside Assistance: Good

Visitors are reminded that all traffic operates on the left side of the road, and that all vehicles use right-hand drive. Visitors should use caution when crossing streets and when driving. When crossing roads, pedestrians are reminded to look carefully in all directions. Seat belts are mandatory. Speed limits and laws regarding driving while intoxicated are rigorously enforced. Roads and streets are frequently narrower and less graded than U.S. highways. Outside the major metropolitan areas, most highways are two-lane roads with significant distances between destinations.

Drivers are urged to exercise caution while passing or merging with adjacent traffic. When driving in rural areas, particularly in the Northern Territory where there are no speed limits, drivers should be cautious of free-roaming animals and "road-trains" (several semi-truck trailers hooked together). It is dangerous to pass road-trains, and it is advisable to pull over and allow on-coming road-trains to pass to avoid being sideswiped. A number of fatalities have occurred in the Northern Territory when vehicles, driven at high rates of speed, have skidded and overturned after hitting the loose gravel shoulder of the road. U.S. drivers, especially those inexperienced with 4-wheel drive vehicles, should exercise common-sense judgment when driving in outback Australia.

For specific information concerning Australian driving permits, vehicle inspection, road tax, mandatory insurance and the rental and operation of motor vehicles in Australia, contact the Australian Tourist Commission via the internet at http://www.australia.com.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Australia's civil aviation authority as Category 1—in compliance with international aviation safety standards for oversight of Australia's air carrier operations. For further information, travelers may contact the Department of Transportation within the U.S. at 1-800-322-7873, or visit the FAA's Internet website at http://www.faa.gov/avr/iasa/index.cfm.

Customs Regulations: Australian customs authorities enforce very strict regulations concerning the importation from all countries of items such as agricultural and wood products, as well as very strict quarantine standards for other products, animals, and pets. These regulations also apply to items tourists bring with them. It is advisable to contact the Embassy of Australia in Washington or one of Australia's consulates in the United States for specific information regarding customs requirements, or see the Australian Government's Department of Agriculture, Fisheries and Forestry at http://www.aqis.gov.au.

In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/or fines. A current list of those countries with serious problems in this regard can be found here.

Australian customs officials encourage the use of an ATA (Admission Temporaire/Temporary Admission) Carnet for the temporary admission of professional equipment, commercial samples, and/or goods for exhibitions and fair purposes. The ATA Carnet Headquarters located at the U.S. Council for International Business, 1212 Avenue of the Americas, New York, NY 10036, issues and guarantees the ATA Carnet in the United States. For additional information call (212) 354-4480, or send an email to atacarnet@uscib.org, or visit http://www.uscib.org for details.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Australia's laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Australia are strict and convicted offenders can expect jail sentences and heavy fines.

Under the PROTECT Act of April 2003, it is a crime, prosecutable in the United States, for a U.S. citizen or permanent resident alien, to engage in illicit sexual conduct in a foreign country with a person under the age of 18, whether or not the U.S. citizen or lawful permanent resident alien intended to engage in such illicit sexual conduct prior to going abroad. For purposes of the PROTECT Act, illicit sexual conduct includes any commercial sex act in a foreign country with a person under the age of 18. The law defines a commercial sex act as any sex act, on account of which anything of value is given to or received by a person under the age of 18.

Under the Protection of Children from Sexual Predators Act of 1998, it is a crime to use the mail or any facility of interstate or foreign commerce, including the Internet, to transmit information about a minor under the age of 16 for criminal sexual purposes that include, among other things, the production of child pornography. This same law makes it a crime to use any facility of interstate or foreign commerce, including the Internet, to transport obscene materials to minors under the age of 16.

Disaster Preparedness: General information about natural disaster preparedness is available via the Internet from the U.S. Federal Emergency Management Agency (FEMA) at http://www.fema.gov/.

During times of minimal rainfall, usually in the warmer months of October to April, intense bushfires may occur. Although mostly confined to remote areas, bushfires have encroached on towns. Even the outskirts of Sydney, Canberra, and other major cities have been affected, with bushfires severely damaging or destroying suburban properties. In the event of a bushfire, travelers should keep their personal belongings, including passports and other travel documents, readily accessible in the event immediate evacuation is necessary.

Children's Issues: For information on international adoption of children and international parental child abduction, please refer to our Internet site at http://travel.state.gov/family/index.html or telephone Overseas Citizens Services at 1-888-407-4747. This number is available from 8:00 a.m. to 8:00 p.m. Eastern Standard Time, Monday through Friday (except U.S. federal holidays). Callers who are unable to use toll-free numbers, such as those calling from overseas, may obtain information and assistance during these hours by calling 1-317-472-2328.

Registration/Embassy Location: Americans living in or visiting Australia are encouraged to register using the Internet Based Registration System (IBRS), which can be found at https://travelregistration.state.gov/ibrs. Alternatively, you can register in person at the nearest U.S. Consulate to obtain updated information on travel and security within the country.

In the Australian Capital Territory (ACT) or Queanbeyan: For emergency services (i.e. the arrest, death or serious injury of American citizens) please contact the U.S. Embassy in Canberra. The Embassy is located on Moonah Place, Yarralumla, A.C.T. 2600, telephone (61)(2) 6214-5600, fax (61)(2) 6273-3191, website http://canberra.usembassy.gov. NOTE: Passports, and other routine citizen services for Canberra and the rest of the ACT are provided by the U.S. Consulate in Sydney (see contact information below).

In New South Wales, Norfolk Island, Lord Howe Island and Queensland: For registration, passport, and other consular services for American citizens, please contact the U.S. Consulate General in Sydney located on Level 59, MLC Centre, 19-29 Martin Place, Sydney NSW 2000, telephone (61)(2) 9373-9200, fax (61)(2) 9373-9184, web site http://sydney.usconsulate.gov/sydney. Hours open to the public: 8:00 a.m. to noon Monday to Friday (except American and Australian holidays). For emergency services (i.e. the arrest, death or serious injury of American citizens) after 4:30 p.m. weekdays or on holidays and weekends please call (61) (2) 4422-2201.

In Victoria, Tasmania, South Australia and the Northern Territory: For registration, passport and other consular services for American citizens, please contact the U.S. Consulate General in Melbourne located at 553 St. Kilda Road, Melbourne, VIC 3004, telephone (61)(3) 9526-5900, fax (61)(3) 9525-0769, website http://melbourne.usconsulate.gov/melbourne. Hours open to the public: 8:30 a.m. to 12:30 p.m. Monday to Friday (except American and Australian holidays and the last Wednesday of each month). For emergency services (i.e. the arrest, death or serious injury of American citizens) after 4:30 p.m. or on holidays and weekends, please call (61)(3) 9389-3601.

In Western Australia: For registration, passport, and other consular services for American citizens, please contact the U.S. Consulate General in Perth located on Level 13, 16 St. Georges Terrace, Perth WA 6000, telephone: (61)(8) 9202-1224, fax (61)(8) 9231-9444; web site http://perth.usconsulate.gov/perth. Hours open to the public for American Citizen Services: 8:30-11:30 a.m. daily. For emergency services (e.g., the arrest, death, or serious injury of American citizens), please call (61) (8) 9476-0081.

International Adoption

January 2005

The information below has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the InternationalAdoption section of this book and review current reports online at www.travel.state.gov/family.

Disclaimer: The information in this circular relating to the legal requirements of a specific foreign country is provided for general information only. Questions involving interpretation of specific foreign laws should be addressed to foreign legal counsel.

Australian Adoption Authority: The government office responsible for adoptions in Australia is the Department of Community Services.

Australian Adoption Procedures: The first step for local and inter-country adoptions is to purchase an information package from the Department of Community Services (DCS). The cost is $41AUD and is available from the Adoption Services Branch, Department of Community Services, P.O. Box 3485, Parramatta, NSW 2124. You may also contact this agency by telephone, 61-2-9865-5906, and by e-mail, adoption@communitynsw.gov.au.

If after reading the material you remain interested in adoption, you must complete the "Expression of Interest" form included in the information package. The Department of Community Services (DCS) recommends that you make yourself aware of all the adoption information before submitting your Expression of Interest. As children become available for adoption, DCS will select prospective parents based on the submitted Expression of Interest forms. If you are selected you will be invited to attend an adoption preparation seminar. Following the completion of this seminar you will have the opportunity to submit a formal adoption application. The application forms will be provided at the conclusion of the Adoption Preparation Seminar.

If you are interested in Special Needs Adoptions (i.e. children with significant physical and/or intellectual disabilities; children who present behavioral or emotional challenges) you should contact the DCS Adoption Services Branch directly.

Age and Civil Status Requirements: Prospective parents must be the age of majority. They need not be married.

Adoption Agencies and Attorneys: DCS has licensed three private agencies in New South Wales:

Centacare Adoption Services
9 Alexandria Avenue
Croydon, NSW 2132
Tel: 61-2-9745-3133

Anglicare Adoption Services
19A Gibbons Street
Telopea, NSW 2117
Tel: 61-2-9890-6855

Barnados Australia Adoptions (specializing in the placement of older children aged 2-12 years who are emotionally demanding. They work only with people who live within an 80km radius of Sydney.)

1664 Bay Street
Ultimo, NSW 2007
Tel: 61-2-9281-5510

Australian Documentary Requirements: Contact the Department of Community Services or one of the licensed agencies.

Doctors: The U.S. Consulate General in Sydney maintains current lists of doctors and sources for medicines, should either you or your child experience health problems while in Australia.

Australian Embassy in the United States: The Embassy of Australia; 1601 Massachusetts Avenue, NW; Washington, DC 20036; Tel.: (202) 797-3000; Fax: (202) 797-3209.

Australia also maintains Consulate Generals and Consulates in the following U.S. cities: Atlanta, Boston, Denver, Honolulu, Los Angeles, and San Francisco.

U.S. Consulate General—Sydney, Australia: U.S. Consulate General; American Citizen Services; MLC Centre, 59th Floor; 19-29 Martin Place; Sydney, NSW 2000; Tel: 61-2-9373-9200; Fax: 61-2-9373-9184.

Questions: Specific questions regarding adoption in Australia may be addressed to the Consular Section of the U.S. Embassy or Consulate in Sydney. You may also contact the Office of Children's Issues, SA-29, 2201 C Street, NW, U.S. Department of State, Washington, DC 20520-2818, telephone 1-888-407-4747 with specific questions.

International Parental Child Abduction

January 2005

The information below has been edited from the report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Parental Child Abduction section of this book and review current reports online at travel.state.gov

Disclaimer: The information in this circular relating to the legal requirements of a specific foreign country is provided for general information only. Questions involving interpretation of specific foreign laws should be addressed to foreign legal counsel.

General Information: Custody in Australia is referred to as "parental responsibility." Unless there is a court order to the contrary, the parents of a child are assumed to have "joint parental responsibility." A court-issued "residence" order specifies who will be the primary physical custodian of the child. A "contact" order is similar to a U.S. visitation or access order. Australian family courts adjudicate petitions on a case-by-case basis with the judge applying the "best interests of the child" standard.

If your child has a claim to Australian citizenship, you may be able to prevent the issuance of an Australian passport to your child. Please contact a consular officer at the Australian Embassy in Washington, D.C. (202-797-3000) for further information. There is also an Australian Consulate in California (310-229-4800).

The Hague Convention: The Hague Convention entered into force between the United States and Australia on July 1, 1988. Therefore, Hague Convention provisions for return would apply to children abducted to or retained in Australia after July 1, 1988. Under certain circumstances, parents and legal guardians of children taken to Australia prior to July 1, 1988, may still submit applications for access to the child under the Hague Convention.

The designated Central Authority for all of Australia is the Commonwealth Attorney General's Department, International Family Law Section, which is part of the Family Law and Legal Assistance Division. Their address is Robert Garran Offices, National Circuit, Barton, ACT 2600, Australia. The international telephone number is 011-61-2-6250-6724 and the international telefax number is 011-61-2-6250-5917. The Section maintains a website, which is located at http://www.law.gov.au/childabduction

The Attorney General's Department coordinates the implementation of the Hague Convention through the Family Law (Child Abduction Convention) Regulations. Legal proceedings in Australia for the return of children are conducted by the State and Territory Central Authorities operating in each of the six states and two territories of the Australian Commonwealth on behalf of the Australian Central Authority.

The Commonwealth Central Authority receives and reviews the application(s) submitted by overseas Central Authorities. Once the location of a child is known, the file is forwarded to the Central Authority of that particular State or Territory for filing with the Family Law Court. The State or Territory Central Authority then conducts the litigation, taking instructions from the Commonwealth Central Authority. It is very important to understand that a left-behind parent is not a party to the legal proceedings initiated by the Central Authority in Australia. The Central Authority is the Plaintiff and the abducting parent is the Respondent. The Central Authority lawyers do not take instructions relating to the conduct of the case directly from the left-behind parent.

In most cases, the left-behind parent will not be required to attend the Australian court proceedings.

It is unnecessary for a left-behind parent to retain a private lawyer in Australia when the Central Authority is conducting the case. It achieves no purpose and is an unnecessary imposition on the left-behind parent's financial resources. It can also cause delays rather than speeding up the process.

The Australian Abduction Regulations do, however, permit a left-behind parent to retain an Australian lawyer and initiate private proceedings under the Hague, if the Central Authority refuses to accept the left-behind parent's application or if the left-behind parent wishes to conduct his/her own case. In that case, the Central Authority will not provide representation and the proceedings will be conducted at the expense of the left-behind parent.

Information on retaining a foreign attorney and attorney lists are available from the Office of Children's Issues or can be downloaded from our website.

The Australian Central Authority pays all legal costs connected with the application for the return of a child if the application is filed with the Central Authority. The left-behind parent must agree to cover the cost of the return airfare for the child if there is an order for return. Depending on the circumstances of an individual case, a Court may order the taking parent to cover these costs.

If a left-behind parent wishes to conduct his/her own case, he/she is responsible for all expenses incurred.

Sometimes the Australian Court order may impose certain undertakings or conditions for return. These may include, but are not limited to, requiring the left-behind parent to provide: transportation costs for the child; a sworn affidavit stating the left-behind parent will not pursue criminal charges against the taking parent; and a sworn affidavit stating the left-behind parent will not seek enforcement of a temporary ex-parte custody order issued in the United States immediately following the child's return.

Mirror Orders: A final U.S. court order can be registered in the Australian Family Court. The Family Court is a federal court, so orders are enforceable throughout Australia. The process for registration is set out in Regulation 23 of the Australian Family Law Regulations. For more information, please read the International Parental Child Abduction section of this book and review current reports online at travel.state.gov.