Australian election campaigns launch

Australia's political parties have launched their election campaigns, a day after Prime Minister Kevin Rudd called an election for 7 September. The economy is expected to be a key issue, along with asylum seekers and climate change. On Monday, Mr Rudd's Labor party announced an A$200m package to assist the car industry. The Prime Minister told ABC: "I'm a believer in manufacturing's future. On a case-by-case, industry-sector-by-industry-sector , the government will provide assistance where necessary". Meanwhile, Conservative opposition leader Tony Abbott pledged to repeal Australia's carbon tax at his first campaign event in Brisbane, saying: "Our first legislative priority will be to scrap the carbon tax". Polls currently show the opposition remains favorite to win the elections, although they show the Labor party has narrowed their lead since Mr Rudd ousted Julia Gillard as leader of the Labor party just several weeks ago.