The prevalence of asthma in Australian children is amongst the highest in the world. Improved understanding of the way asthma and related wheezing illnesses progress through early childhood may have important implications for practice and policy. This report presents findings about asthma and wheezing illness in infants (first year of life) and in kindergarten children (fifth year of life) who were followed over two years in the national Longitudinal Study of Australian Children. The report also links the children's data to the use of health service through the records of the Medical Benefits Schedule (MBS) and the Pharmaceutical Benefits Scheme (PBS).