From GST to gambling to gun buybacks, Australia’s federation isn’t working

According to The Conversation (Australia), Australia's federation is built on competitive federalism, where states compete for residents and investment. But the piece explains that heavy centralisation has left states raising only about half the revenue they need, creating a vertical fiscal imbalance. That tension surfaces in disputes over GST distribution, school funding, and data centre policy. The article cites research finding that forty percent of Australians believe their state doesn't receive its fair share of federal spending, yet a majority still support the current GST system — suggesting reform alone won't fix the underlying problem.

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