Changes

* see [[Rationing]] for economic controls

* see [[Rationing]] for economic controls

The historic ethnic tensions surfaced in new forms. The Irish, who dominated the ALP (Australian Labor Party), had always been hostile to the British Empire, but now they compromised and were willing to fight for Australia, and leaped at the chance to realign Australia with the United States.

Curtin became prime minister in October 1941; war with Germany was underway and war with Japan began in Dec. 1941. Nearly 500,000 men were under arms both at home and abroad out of a total population of 7,000,000. The series of Japanese victories in the Pacific -- including the capture of the Philippines, Singapore and the Dutch east Indies, as well as the bombing of Darwin--threatened Australia with invasion. (Japan did not plan to invade.)

The oppositon (the United Australia Party and the Country Party) strongly favoured the British Empire, and were eager to send the Navy and Air Force, which came under British command. They were also eager to send all four of Australia's divisions to help out but were stunned when the 8th Division in Malaya was surrendered to the Japanese with the fall of Singapore.  Everyone agreed that two of the three divisions in the Middle East had to be returned promptly, but the oppositionb secretly supported [[Winston Churchill]]'s scheme that would divert the divisions to defending Burma.  Curtin refused and the divisions came home.

The historic ethnic tensions surfaced in new forms.  The Irish, who dominated the ALP (Australian Labor Party), had always been hostile to the British Empire, but now they were willing to fight for Australia, and leaped at the chance to realign Australia with the United States.   

Curtin became prime minister in October 1941. Nearly 500,000 men were under arms both at home and abroad out of a total population of 7,000,000.  

The Australian troops sent to Singapore were captured--and brutally mistreated by the Japanese. Curtin pulled divisions out of the Middle East to defend Australia and worked closely with the theatre commander, the American [[Douglas MacArthur]] to defend against a possible invasion. The stalemated [[Battle of Coral Sea]] off Townsville gave some respite, but plans were discussed to use the limited military resources available to hold the line against invaders, the "Brisbane Line." Japan never did invade; instead under American command Australian forces held in New Guinea and began pushing back.

 

 

The opposition (the United Australia Party and the Country Party) strongly favoured the British Empire, and were eager to send the Navy and Air Force, which came under British command. They were also eager to send all four of Australia's divisions to help out but were stunned when the 8th Division in Malaya was surrendered to the Japanese with the fall of Singapore.  Everyone agreed that two of the three divisions in the Middle East had to be returned promptly, but the opposition secretly supported [[Winston Churchill]]'s scheme that would divert the divisions to defending Burma.  Curtin refused and the divisions came home.

Curtin appealed to his ALP to allow the use of the Citizen Military Forces outside Australia, a dramatic reversal of historic labor policy. Curtin was motivated by electoral calculations and a shrewd response to the campaign of the opposition. In addition American General [[Douglas MacArthur]] influenced Curtin, and the move should be seen in the light of Curtin's appeal for greater assistance from the United States at a time when the Southwest Pacific was low on the list of global priorities. That is, the Americans insisted that Australian soldiers fight as hard for Australia as American soldiers were doing.

Curtin appealed to his ALP to allow the use of the Citizen Military Forces outside Australia, a dramatic reversal of historic labor policy. Curtin was motivated by electoral calculations and a shrewd response to the campaign of the opposition. In addition American General [[Douglas MacArthur]] influenced Curtin, and the move should be seen in the light of Curtin's appeal for greater assistance from the United States at a time when the Southwest Pacific was low on the list of global priorities. That is, the Americans insisted that Australian soldiers fight as hard for Australia as American soldiers were doing.

 

Curtin also held the post of Defense Minister, and under his direction Australia took rapid strides to full wartime production. In September 1942 Curtin launched the "austerity campaign," saying, "If we do not strip ourselves to save our country, the enemy will do it with ruthless efficiency and a maximum of misery." New restrictions were imposed on sporting events; taxes were raised on all classes of entertainment; liquor consumption was cut back; hotel meals were limited to three courses, and tough laws curbed black markets. Some items were petty, but program was designed to boost the national morale with a sense that everyone is sacrificing at a time when soldiers were dying for their country. It also financed the war as far as possible by taxation supplemented by public national loans, and it placed the highest priority on war production. By December 1942, 60% of Australia's men were in uniform or on fulltime war work of all kinds. The factories cut their civilian production in half, as 500,000 of 700,000 factory workers made war goods.  

Curtin also held the post of Defense Minister, and under his direction Australia took rapid strides to full wartime production. In September 1942 Curtin launched the "austerity campaign," saying, "If we do not strip ourselves to save our country, the enemy will do it with ruthless efficiency and a maximum of misery." New restrictions were imposed on sporting events; taxes were raised on all classes of entertainment; liquor consumption was cut back; hotel meals were limited to three courses, and tough laws curbed black markets. Some items were petty, but program was designed to boost the national morale with a sense that everyone is sacrificing at a time when soldiers were dying for their country. It also financed the war as far as possible by taxation supplemented by public national loans, and it placed the highest priority on war production. By December 1942, 60% of Australia's men were in uniform or on full-time war work of all kinds. The factories cut their civilian production in half, as 500,000 of 700,000 factory workers made war goods.  

Over 200,000 women entered war industry by the end of 1942. Thousands of others joined auxiliary women's branches of the fighting services: WAAAF (Women's Auxiliary Australian Air Force), which services cars, drives ambulances, performs administrative and clerical routine, etc.; AWAS (Australian Women's Army Service) numbering 6,000, some of whose members have been posted for combat duty in coastal batteries; WRANS (Women's Royal Australian Naval Service); and WANS (Women's Australian National Service).  

Over 200,000 women entered war industry by the end of 1942. Thousands of others joined auxiliary women's branches of the fighting services: WAAAF (Women's Auxiliary Australian Air Force), which services cars, drives ambulances, performs administrative and clerical routine, etc.; AWAS (Australian Women's Army Service) numbering 6,000, some of whose members have been posted for combat duty in coastal batteries; WRANS (Women's Royal Australian Naval Service); and WANS (Women's Australian National Service).  

====Finances====

====Finances====

Total government spending for both war and civil purposes for the six years ending June 30, 1945, reached £A2,790,000,000 ($9,067,500,000). Half was met from taxes and half from from loans. War expenditures alone totalled £A2,111,000,000 ($6,860,000,000) 45% came from taxes. The total amount borrowed was £A1,387,000,000, which was made up of public loans £A898,000,000; war savings certificates £A53,000,000; treasury bills £A343,000,000; temporary use of treasury balances £A85,000,000, and interest-free loans £A8,000,000.

Total government spending for both war and civil purposes for the six years ending June 30, 1945, reached £A2,790,000,000 ($9,067,500,000). Half was met from taxes and half from from loans. War expenditures alone totaled £A2,111,000,000 ($6,860,000,000) 45% came from taxes. The total amount borrowed was £A1,387,000,000, which was made up of public loans £A898,000,000; war savings certificates £A53,000,000; treasury bills £A343,000,000; temporary use of treasury balances £A85,000,000, and interest-free loans £A8,000,000.

==Postwar==

==Postwar==