Australia: Selected Issues
IMF Staff Country Reports, January 18, 2024
Source details
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- Australia: Selected Issues
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Bibliographic details
- Published: January 18, 2024
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400264054.002
Overview
- This Selected Issues paper examines macroeconomic impact of migration in Australia.
- Migration in Australia has historically been a significant source of population growth, with a third of the population born overseas.
- Migration is set to become even more important as the population natural growth rate declines.
- Australia attracts some of the best-educated migrants to Organization for Economic Cooperation and Development countries who are mostly skilled workers and students, with high labor force participation rates and low unemployment.
- Disentangling macroeconomic effects of migration from drivers of migration is challenging.
Macroeconomic effects and labor market outcomes
- Within Australia, migration surges have historically been associated with:
- higher growth,
- favorable labor market outcomes,
- negligible price pressures except in the housing market.
- Migrants in Australia are mostly skilled workers and students, exhibiting high labor force participation rates and low unemployment.
Cross-country evidence
- Cross-country analysis using instrumental variables confirms a positive impact of migration on macroeconomic outcomes—output, employment, and productivity—without significant inflationary impact.
Housing affordability and supply
- While housing affordability is impacted at the margin, this could represent structural supply shortages.
- Policy implication: housing affordability issues would be best addressed by boosting supply.
Publication and access notes
- The IMF eLibrary offers over 25,000 IMF publications in multiple formats.
- Pages: 21
- Volume: 2024
- Issue: 012
- DOI: https://doi.org/10.5089/9798400264054.002
- ISBN: 9798400264054
- Stock No: 1AUSEA2024002
- Series: Country Report No. 2024/012
International Monetary Fund. Asia and Pacific Dept "Australia: Selected Issues", IMF Staff Country Reports 2024, 012 (2024), accessed 9/11/2026, https://doi.org/10.5089/9798400264054.002
Content in this bundle
- Australia: Selected Issues; IMF Country Report No. 24/12; December 4, 2023