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The paper considers questions of the nature, extent and role of the third sector in the development of welfare strategies in Australia. Based upon both qualitative and quantitative data, a typology of third sector welfare organisations is discussed together with the identification of current operational models of welfare: charity; activism; welfare state industry and market. The organisational types of third sector welfare organisations in Australia are outlined and the field characterised as being large, diverse and growing. The paper reflects on the claims that the third sector provides a site for the establishment of active, pluralistic forms of welfare. [ABSTRACT FROM AUTHOR]