The article explores the nature of Australian federalism by examining four major themes in the period from Hawke to Howard. The investigation of these themes - Australian conceptions of federalism; the role of party in shaping federalism; the way problems and politics have influenced policy-making and thereby federalism; and the nature of federal judicial review - suggests that Australian federalism can most accurately be characterised as pragmatic. It appears as a federalism shaped by pressing problems, specific policy agendas and the prevailing political dynamic, rather than by overarching conceptions of federalism derived from political theory or articulated in party ideology. This pragmatic federalism explains important aspects of Australian federalism, especially the trend towards centralisation of authority.