Sujata Sharma kc - 18462180The development in economic prosperity is vital as lack of it bears an impact on the social status of an individual and also contributes to the denial of participation in economic and social activities. Australia has witnessed a reduction in employment rate among the indigenous people and particularly Torres Strait Islanders and Aboriginal. In 2008, the employment rate among people ages between 15-65 years reduced from 53.8% to 47.5% recorded in 2012-13 fiscal year. On the contrary, the employment rate of non-indigenous people rose to 75.6% from 75% during the same period. The employment gap between non-indigenous and indigenous people expands by 6.9 pointsduring the same period (Rudd & Australia.Department of Families, 2010). This was a 28.1% increase from earlier 21.2 percent. The essay aims to investigate the causes of these disparities explicitly while offering a critical assessment of the ideal recommendedeconomic policy and approach to address the huge gap in unemployment. To this regard, increased government spending targeting the economic as well as social life activities will assist the present government on track in sharing employment among the indigenous population.The evidence from social and economic historical accounts of the annexation of theindigenous people is the primary cause of their current predicaments. An intrusion intothe colonized region by the colonizing crowd in 1788 resulted in destruction of theirsocial and economic structures. For instance, during the time of colonization, theindigenous population was deprived of their farms a crucial factor of production whichduring those years and even currently aids in unraveling the potential of the peoplethrough farming activities. To add to colonization problems that add to the current lowlevel of prosperity among the indigenous population in Australia is the next governmentusage of the political mechanism (Hinton & (Australia), 2010). For instance, denial bythe government to empower this group while considering them as idiots and similar tochildren further made it complex their potential to take part economic and socialactivities of Australia. For instance, in current years, the indigenous population hasencountered financial extortions from the regime and excess inspection on transparencyand accountability of Aboriginal institutions. This together with the even threat for theirindependence has deprived them of a chance to advance their prosperity.