Although the popular consciousness in Australia links nation-building with physical infrastructure: with roads, railways,^[5] reservoirs and dams, in reality nation-building is about more that just bricks and mortar. Frequently overlooked is the contribution to nation-building of core civic, cultural or social institutions. It can be argued that nation-building was a driving force in the establishment of institutions such as the Post Master General (now Australia Post), the Australian Broadcasting Corporation (the ABC) or the Commonwealth Scientific and Industrial Research Organisation (the CSIRO) — or, for that matter, the Commonwealth Bank or Telecom (now Telstra) which, unlike their privatised descendants, were not initially concerned solely with maximising financial returns to their shareholders. Even Australia’s Parliament, our body of law and our democratic system of government, are essential components of ongoing nation-building.

It can also be said that past investment in public health, education and the arts had the broader purpose of creating a particular kind of society embodying those values held by broad consensus to be quintessentially ‘Australian’. If we accept that proposition, what then can we say about the contemporary attitude towards these institutions? Does privatisation or disinvestment in public health and education, for example, signal a diminishing attachment to these values?

Certainly, a number of commentators on contemporary Australian affairs (Pusey 1992, 2003; Mackay 1993, 2007; and Aitkin 2005) have expressed concern that the diffusion to Australia of neo-conservative precepts of government (see Mishra 1990:69-95; Gould 1993: 129-130; Glennerster 1989:108-128) have threatened to seriously undermine public confidence in the capacity of public institutions to address societal needs.

It is possible that future nation-building enterprises will have ‘soft ‘ and ‘hard’ elements. Examples of soft nation-building might include such things as reconciliation between indigenous and non-indigenous Australia or achieving an Australian republic. Hard nation-building — as ever — will focus on delivering physical infrastructure to support the nation’s productive capacities. In all likelihood, nation-building enterprises deserving of the name will embody soft and hard elements — structural reforms to health or education, for example, will require major investments in social, human and physical capital.