Government and Economy

The Commonwealth of Australia was formally established on January 1, 1901. The federal government, based in Canberra, is located in the Australian Capital Territory. Each state and territory has its own government and legal systems. The head of government in a state is the premier and in a territory is the chief minister. Queen Elizabeth II is the head of state, and is represented in Australia by the governor-general.

Unique to Australia is its compulsory voting at age 18. People who do not vote can be fined.

Because of Australia's diverse climate and soil conditions, there is a vast range of crops in the country, yet only 2% of the land available for crops are cultivated. Wheat is a major exported crop. Australia is also a large exporter of beef and veal.

Sheep outnumber people 10:1. Australia produces about 30% of the world's total wool supply, more than any other country in the world.

The largest coal deposits in the world can be found in Australia. Coal comes from decomposed plants and animals buried deep within the earth (fossil fuel) and it is believed that Australia once existed at the equator and has since drifted southeastward. While it existed at the equator, tropical rainforests fluorished and provided the material needed for large coal deposits.

Japan utilizes Australia for many of its natural resource needs. Coal, iron, copper, bauxite, and many other mineral resources leave Australia bound for Japan. In return, Japan is setting up banks and other businesses in Australia to encourage such trade.