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Could there be something in the constitution to prevent it? The Australian constitution is derived from UK and US, and section 92 mandates free trade between states.

Update: it seems there is. http://in.answers.yahoo.com/question/index?qid=2010032513551...



This isn't relevant; it only governs the actions of the US Congress. Australia has similar language to prevent the Commonwealth Parliament from discriminating between the states.




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