I’ve often thought that NSW should secede from Australia. In terms of fascilitating a freeing up of domestic trade, federation has essentially been a failure. The intention was to remove domestic trade barriers but the Federal income tax now represents a larger barrier to inter-household trade than a few excise duties on border crossings ever did. The only sense in which federation can really be considered a success is in forging a common cultural identity, and even that is over rated. If NSW did secede then we could do the rest of the country a big favour by land locking Canberra.
Of course talk of NSW seceding isn’t likely to go mainstream any time soon. However the Texans are not afraid to talk about the idea. Their state governor recently suggested it was an option;
“There’s a lot of different scenarios,” Perry said. “We’ve got a great union. There’s absolutely no reason to dissolve it. But if Washington continues to thumb their nose at the American people, you know, who knows what might come out of that. But Texas is a very unique place, and we’re a pretty independent lot to boot.” #
Here is the governor talking to the point.
Any half decent system of federalism should codify reasonably means for an orderly secession of states. However few seem to. Historically the USA has been quite aggressive towards states that attempt to secede.