Abstract of thesis entitled Import Demands, Term of Trade Effects and Total Factor Productivity in Australia, submitted by Lam Sut Ngo (M-A7-6805-3) for the degree of Master of Social Sciences in Economics at the University of Macau in April 2012. Australia’s nominal GDP has experienced a rapid growth since the 1960s. Its nominal GDP in 2007 is almost 43 times than that in 1966. The main reason is that the increasing in price leads the economic growth. Nevertheless, the growth in real GDP has not been substantial. Moreover, the prices and factor endowments play important role in the determination of Australian imports. Results from the economic literatures show that the own price elasticity of imports is larger in the medium run than in the short run. The purpose of this thesis is to investigate the role of prices and factor endowments in the determination of Australian imports and to examine each factor (e.g. technological change, terms of trade, factor endowments and domestic prices) contributes on Australian nominal GDP growth. Empirical results indicate that the own price elasticity of imports in the medium run is larger than that in the short run, which is consistent to the findings of previous studies. We also find that domestic prices and capital dominate the Australia’s nominal GDP growth.