This original and provocative study of federalism identifies a new pattern of intergovernmental relations in Australia. Through his general discussion of the nature of the Australian federal system, and close analysis of recent developments in Australian politics and policy-making, Painter argues that our federal system is being fundamentally reshaped as state and commonwealth governments cooperate more closely than ever before on joint policy-making schemes. Much of this collaboration has been prompted by the need for microeconomic reform in the 1990s, and increasing concern about the degree of overlap, inefficiency and duplication across the federal system. The book includes a narrative account of the often fraught progress of the Special Premier's Conferences and the Council of Australian Governments. It also includes detailed discussion of a number of key examples.