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Main article: States and territories of Australia

A clickable map of Australia's states, mainland territories and their capitals
Australia has six states—New South Wales (NSW), Queensland (QLD), South Australia (SA), Tasmania(TAS), Victoria (VIC) and Western Australia (WA)—and two major mainland territories—the Australian Capital Territory (ACT) and the Northern Territory (NT). In most respects these two territories function as states, but the Commonwealth Parliament can override any legislation of their parliaments. By contrast, federal legislation overrides state legislation only in areas that are set out in Section 51 of the Australian Constitution; state parliaments retain all residual legislative powers, including those over schools, state police, the state judiciary, roads, public transport and local government, since these do not fall under the provisions listed in Section 51.^[97]
Each state and major mainland territory has its own parliament—unicameral in the Northern Territory, the ACT and Queensland, and bicameral in the other states. The states are sovereign entities, although subject to certain powers of the Commonwealth as defined by the Constitution. The lower houses are known as theLegislative Assembly (the House of Assembly in South Australia and Tasmania); the upper houses are known as the Legislative Council. The head of the government in each state is the Premier and in each territory the Chief Minister. The Queen is represented in each state by a Governor; and in the Northern Territory, the Administrator.^[98] In the Commonwealth, the Queen's representative is the Governor-General.^[99]
The federal parliament directly administers the following territories:^[84]

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  Ashmore and Cartier Islands
  
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  Australian Antarctic Territory
  
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  Christmas Island
  
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  Cocos (Keeling) Islands
  
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  Coral Sea Islands
  
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  Heard Island and McDonald Islands
  
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  Jervis Bay Territory, a naval base and sea port for the national capital in land that was formerly part of New South Wales
  

The external territory of Norfolk Island previously exercised considerable autonomy under the Norfolk Island Act 1979 through its own legislative assembly and anAdministrator to represent the Queen.^[100] In 2015, the Commonwealth Parliament abolished self-government, integrating Norfolk Island into the Australian tax and welfare systems and replacing its legislative assembly with a council.^[101]
Macquarie Island is administered by Tasmania, and Lord Howe Island by New South Wales.
Foreign relations and military
Main articles: Foreign relations of Australia and Australian Defence Force
Australian Army soldiers conducting a foot patrol during a joint training exercise with US forces in Shoalwater Bay (2007).
Over recent decades, Australia's foreign relations have been driven by a close association with the United States through theANZUS pact, and by a desire to develop relationships with Asia and the Pacific, particularly through ASEAN and the Pacific Islands Forum. In 2005 Australia secured an inaugural seat at the East Asia Summit following its accession to the Treaty of Amity and Cooperation in Southeast Asia, and in 2011 attended the Sixth East Asia Summit in Indonesia. Australia is a member of the Commonwealth of Nations, in which the Commonwealth Heads of Government meetings provide the main forum for co-operation.^[102]
Australia has pursued the cause of international trade liberalisation.^[103] It led the formation of the Cairns Group and Asia-Pacific Economic Cooperation.^[104][105] Australia is a member of the Organisation for Economic Co-operation and Development and the World Trade Organization,^[106][107] and has pursued several major bilateral free trade agreements, most recently the Australia–United States Free Trade Agreement^[108] and Closer Economic Relations with New Zealand,^[109]with another free trade agreement being negotiated with China—the Australia–China Free Trade Agreement—and Japan,^[110]South Korea in 2011,^[111][112] Australia–Chile Free Trade Agreement, and as of November 2015 has put the Trans-Pacific Partnership before parliament for ratification.^[113]
Along with New Zealand, the United Kingdom, Malaysia and Singapore, Australia is party to the Five Power Defence Arrangements, a regional defence agreement. A founding member country of the United Nations, Australia is strongly committed to multilateralism^[114] and maintains an international aid program under which some 60 countries receive assistance. The 2005–06 budget provides A$2.5 billion for development assistance.^[115] Australia ranks fifteenth overall in the Center for Global Development's 2012 Commitment to Development Index.^[116]
Australia's armed forces—the Australian Defence Force (ADF)—comprise the Royal Australian Navy (RAN), the Australian Army and the Royal Australian Air Force(RAAF), in total numbering 81,214 personnel (including 57,982 regulars and 23,232 reservists) as of November 2015. The titular role of Commander-in-Chief is vested in the Governor-General, who appoints a Chief of the Defence Force from one of the armed services on the advice of the government.^[117] Day-to-day force operations are under the command of the Chief, while broader administration and the formulation of defence policy is undertaken by the Minister and Department of Defence.
In the 2015–16 budget, defence spending was A$31.9 billion or 1.92% of GDP,^[118] representing the 13th largest defence budget.^[119] Australia has been involved in UN and regional peacekeeping, disaster relief and armed conflict, including the 2003 invasion of Iraq; it currently has deployed about 2,241 personnel in varying capacities to 12 international operations in areas including Iraq and Afghanistan.^[120]
Geography and climate