Australia's Labor Government has seen a rebound in popularity from record lows after Prime Minister Julia Gillard floated the prospect of compensation for a controversial tax aimed at cutting carbon emissions.
Labor led the Coalition by 51 per cent to 49 per cent, a Newspoll in the Australian showed, putting her one-seat Government ahead for the first time since November.
Gillard is preferred as leader over Tony Abbott by 50 per cent to 31 per cent.
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