This paper describes trends in Australian immigration policy and analyses impacts of immigrants and immigration on the Australian economy. The first part defines the term of international migration and its categories. The second section is devoted to the description and explanation of particular migration theories, which are used during the study of international migration. Assumptions, causes and effects of migration are investigated in detail. Impacts of migration on the economy are further explored in the third part of the thesis. The influence of immigrants on the labor market, wages and unemployment, economic growth and international trade are continued to be examined. Fiscal effects of immigration and a problem of population aging are also described. The next part talks about Australian immigration policy, its evolution and current situation. It analyses different waves of immigration to Australia from 1788 to present. The beginnings of the White Australia Policy are portrayed as well as the change to multiculturalism. The last chapter analyses the composition of Australian immigration population and covers the impacts of the Australian immigration policy on the Australian economy, growth and international trade.

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