Abstract
Internationalisation of the Australian economy is profoundly changing the macroeconomic fabric of the Australian labour market. This study aims to shed light on both trade and technology effects on the Australian labour market during the study period 1983(4)‐1995(3). The study uses unit root and multicointegration econometrics, general to specific modelling and encompassing tests to test how trade liberalisation and technical progress have immiserised Australian labour by increasing unemployment or through the widening of skill differentiated wage disparity. The study concludes with some policy perspectives on labour market deregulation in Australia.
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