As the economy of Australia is expanding in different aspects in accordance with different fields, there is a requirement of new and different skills for performing certain tasks. This is basically happening due to fast progress in technology. This major issue cannot be eliminated entirely all at once. It requires appropriate policies and programs for reducing the affect of structural unemployment (Coy 2012). As there is a lack of congruency in the skills required and skills possessed, there are positive chances for this problem to be solved with the help of appropriate training sessions and education programs. Also, the government should be focusing on providing these training sessions and education programs to the young population of Australia. This is because the young population will be having more years of initiating productivity that will be beneficial for the entire economy of the nation.
In addition to training sessions and education programs, expansion in the monetary and fiscal policies will be having some positive long term effect on the problem of structural unemployment (Harry 2010). While stimulation of the economy can contribute in reducing structural unemployment on temporary basis, as long as there is progress being made in the technological field, the problem of structural unemployment will ultimately return to the normal level.
The most important and major issue in the macroeconomics of Australia is unemployment. This is related to the increased number of unpaid overtime hours and lack of congruency in skills required for a job and skills possessed by the worker. Structural unemployment tends to last for a longer duration of time in comparison with frictional unemployment. This is what is actually happening in the unemployment case of Australia. Structural unemployment takes when there is difficulty in labour market for providing jobs to everyone who are willing to work. There are positive chances for this problem to be solved with the help of appropriate training sessions and education programs. In addition to training sessions and education programs, expansion in the monetary and fiscal policies will also have some positive long term effect.