The terms "social exclusion" and "social inclusion" arose because the debate about the causes and consequences of poverty has moved away from the rather narrow historical focus on the lack of income. The new focus on the dynamic social processes that perpetuate the lack of social participation in society is welcome; however, it is timely to ask what people are being socially excluded from or socially included in. Furthermore, do such distinctions matter? If social exclusion and/or social inclusion are important, how should policy be constructed to take it into account? Indigenous disadvantage is complex and multidimensional and the notions of social exclusion and social inclusion seem particularly relevant. However, a definition of social inclusion that includes local decision-making has not been implemented. It is theoretically difficult to achieve this when there is a wide cultural gap between Indigenous and non-Indigenous perspectives on the issues involved. There is little effective difference between social exclusion and inclusion as an organising principle for Indigenous policy. Notwithstanding, this article argues that it is important to attempt to reconcile these disparate perspectives to engage the Indigenous community so that problematic behaviours can be addressed in a constructive manner.