I live in Melbourne, which is apparently the cultural capital of Australia.
I'm pretty proud of living here, it's a beautiful city and I would never want to live anywhere else in the world. Great culture, bearable weather (compared to the rest of Aus) and the people are just great. At night the city is full of quirky little bars with bands playing, there's tons of art galleries, great food, great opportunity.
...which is precisely why I stayed here when my parents and the rest of my family moved overseas!