Despite all the fuss about federalism caused by the Treasurer's proposals for increased centralism that depowers the states cooperative federalism is still the main game. It is cooperative federalism that is driving the reform agenda though CoAG and it is the states, particularly Victoria that is pushing the reform process. Costello has been sidelined.

Alan Moir

CoAG's meeting today is concerned with boosting productivity and workforce participation especially by those left behind by the competitive reforms of the past two decades. Isn't this what the Treasurer's Intergenerational Report recommended four years ago. Shouldn't the Treasurer get behind this Report and negotiate with the states? Isn't this what CoAG is about behind the tug of war.

When CoAG works---as it is doing now---then that is an argument against the need for the commonwealth government to take over state responsibilities. Shouldn't the commonwealth work with the states to improve federalism?