I’m not sure why your theory reserves Australia for the Japanese in due time, but I would like to say Australians should be justly proud of their nation and the great accomplishments of Australia in its relatively short history. I think the Australian culture is distinctive in many ways and, at least among the Japanese, Australians are admired and well liked.
As to your question regarding Buddhism and Shinto, with the proviso that I am not a scholar of religion and much of what I know is based on observation and personal reading, I would say there are several differences between the two religions, and though elements of Buddhism and Shinto are often interwoven in the Japanese imagination and worship, it would be a mistake to think they are the same. For one thing, Buddhism, like Christianity, is seen as a foreign religion in Japan; an import which can never really adapt itself fully to Japan. It sits upon Japan in the same way an ice sheet or a glacier sits upon the earth. It may seem an integral part of the landscape and even carve its own contours within the earth, but it is not the earth itself and never will be.
Shinto, on the other hand, is the indigenous folk religion originating in the mist of Japanese prehistory. It consists of a general belief that the world is filled with spirits (or Kami) which inhabit various places in the earth, an ancient rock or tree, for example, and which are able to protect or injure humans if they are not respected and placated. These beliefs probably orignated in the rhythms of spring planting and harvest rituals of the ancient peoples who first populated Japan. There is also an emphasis on ritual purity in Shinto, though what actually constitutes purity is a bit unclear to me. To be pure means to be, well, Japanese, but what it means to be Japanese is ambiguous and hard to define. If you have to ask, I suppose, well, that means you’re not it.
When Buddhism first arrived in the 6th Century from China, it was first accepted among the intelligentsia and rulers of Japan as a mark of civilization and used to give legitimacy and power to these elite, but it was not seen as a rival of the Shinto practices of the populace and did not attempt to alter or eradicate these folk beliefs. Buddhism was accepted as a means of spreading learning through Japan and uniting the various populations behind the clans who ruled Japan and, as another poster mentioned, was laid over the more ancient folk practices of the nation.
I’m sorry, but I’ll have to continue this at another time. I have to run to class right now.