I got a Manual License in 1997 as it was seen to be a big loser to get an Auto only license by my peers. It is as Rapunzel states, Manual license can drive Auto, Auto license drives Auto only. In Queensland now, you have to spend a minimum of 12 months on your Learners Permit (Must have a licensed Driver with you, log booking driving time to get Provisional License), 12 months on a restricted Provisional License (Limited to 80km/hr 4 Points on your license and time limits around the number of passengers.) Then you spend 3 years on a Provisional License with no Speed or passenger Limits, but still limited to 4 points, and then after that it becomes an Open license with 12 points.
As an example of how easily you could blow all the points on a restricted license, on a recent trip to Victoria (1600km each way), Michel got clocked by a mobile speed camera doing 115kmh in a 100 zone in the middle of nowhere. Fine was $200AUD and 3 points.
I grew up in the country and all the cars we ever had were manual, 76 Ford Cortina Wagon, 81 Ford XD Falcon, 1986 Mazda 626, 1991 Mazda 626 (The Car I learnt to drive in) and Mums current car a 2000 Mazda 626.
The first car I bought was a 1991 GMH Commodore with the Buick V6 and a 4spd Electronic Auto. The Second was a 1997 Ford Falcon Futura with the 4spd Auto and I6 engine, the Third was a 2000 Ford Fairmont Wagon with the same Auto and Engine and the Current one is a 2008 Ford BFII Falcon Futura Wagon with the most amazing 4spd Auto and the Dual VVT I6 engine.
I still drive both and find Mums Mazda to be the worlds easiest Manual to drive. Having driven Ford and GMH 6cyl manuals the gearing was wrong, the gearshift very harsh and really just not worth the hassel. First gear in the fords was good from 0 to 15kmh and then you had to change up to second before you redlined at 30kmh. In traffic it was a nightmare.
Up until this current car, I found the 4spd autos to be horrible things, lumpy shifts big gaps between ratios and compared to the 5spd Autos in our Landcruiser, just feeling really old and horrible. The Auto in the current car, which was the Ford update from early 2007 is just amazing. Perfectly smooth shifts, even on half throttle kickdown it just seamlessly moves through the gears, with only the engine note providing a clue that a gear change has happened.
For small cars, I say a manual, as it is much easier to really wring the power out of a smaller engine (Although the cheap small autos are getting more efficient) for large cars with more than 150kw, the auto is better at getting the power down to the road.