I grew up in Perth and have lived in Brisbane, Port Moresby, Melbourne, Sydney, Melbourne, Amsterdam and Melbourne. I keep coming back to Melbourne. I haven't died, so it must be liveable for me at least.
I preferred Melbourne as it was in the 70s. Perth was nice place to live too in that era. But having visited China recently, Melbourne is definitely a great city despite its sprawl and associated traffic. Plus you can see blue sky.