what is federal government responsible for
Areas of responsibility. The federal government is responsible for making laws and determining policy in relation to the following areas: Banking, Taxation and Currency: the federal government decides how it will raise money by charging taxes and how it will spend money on behalf of Australian citizens.efence: the federal government has the responsibility of operating the country's armed forces. Foreign Affairs: the federal government, through the Foreign Minister, is responsible for Australia's relations with the rest of the world.