I think its a bit of both really.....
I think the Aussies really struggled in this test and their key players such as Ponting and Clarke just didnt perform! It will be interesting to see how the Australians come back from this and also if Ponting remains captain. Australia were such an amazing side a few years back with the likes of Mcgrath, Warne, Hayden, langer and the Waugh's et al... that we expect such high things from them. I'm not sure if Australia will ever produce another breed of fine cricketers as from that era as they were simply amazing ( in every format) and if our current side was to play the Australia of old i think we'd come a considerable 2nd......
As for now i think England are a decent set up and are strong in all areas, The good thing about us is were a relative settled side although i would like to see Colingwood dropped for the last test and Morgan slotted in ( i love his style of batting).