It looks like no-one is really sure, but this site
Larry 1 has a couple of theories.
QUOTE-There’s a suggestion that it comes from the name of the nineteenth-century Australian boxer Larry Foley (1847-1917), though why he was especially happy nobody now seems able to say.-UNQUOTE
It also may be a corruption of the word 'larrikin'.
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The key to everything is patience. You get the chicken by hatching the egg, not smashing it.
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