Was There a Skills Shortage in Australia?

Junankar, P. N. Raja

Was There a Skills Shortage in Australia?

19 Pages Posted: 28 Dec 2009

P. N. Raja Junankar

Western Sydney University - Department of Economics & Finance; University of New South Wales (UNSW) - Industrial Relations Centre; IZA Institute of Labor Economics

Abstract

The paper analyses the problem of a "skills shortage" in Australia. It begins with an analysis of the operation of a labour market in terms of stocks and flows of labour services and human capital acquisition. It discusses the definition of a skills shortage, why it persists, and then looks at evidence from Australia, in particular, the resource rich states of Queensland and Western Australia over the past decade. It discusses possible employer responses to a skills shortage. Finally, it discusses whether the government should intervene, and if so what policies may help to relieve a skills shortage.

Keywords: skill shortages, wage adjustments, migrants

JEL Classification: J24, J31, J48

Suggested Citation: Suggested Citation

Junankar, P. N. Raja, Was There a Skills Shortage in Australia?. IZA Discussion Paper No. 4651. Available at SSRN: https://ssrn.com/abstract=1528586