David Anderson, an ambitious and shrewd Australian politician, disagreeing with the Australian Labor Party's views on how to deal with the Great Depression, with the help of a loyal band of supporters, forms his own separate political party, the Australians for Peace and Prosperity Party.
Despite an early electoral sidelining, the APP has gained traction and gained publicity. David Anderson becomes a prominent public figure, known for his charisma and political wit.
David Anderson's popularity surges following a number of high profile defections from the Australian Labor Party to the APP. The popularity of the APP is beginning to outweigh that of the Labor Party. Many suspect the upcoming election will become a race between the APP, the Labor Party and the conservative Liberal Party.
In November, facing diminishing poll results, the ALP formally agrees to dissolve and join the APP, to prevent splitting the progressive vote in the upcoming election.
The Australian Prime Minister Joseph Lyons calls for an election, beginning the electoral campaigns from both parties. Nationwide support already marginally favours Anderson.
In October, the APP wins the popular vote, as well as both houses of Parliament. The newly elected Prime Minister Anderson declared that Australia will no longer be a fringe country, but will take its place as a Great Power. Needless to say, this causes a considerable stir.
Australia passes a referendum establishing itself as a republic, with an elected President who also functions as Head of State. At the encouragement of its next-door-neighbour, New Zealand follows suit.
Germany and the Soviet Union launch a joint invasion of Poland. The Second World War begins. However, Australia and New Zealand decline to send troops into Europe and instead ratify a treaty combining their military power to focus on localised defence from nearby Axis power Japan.