Even though is one of the most developed and equal countries of the world, Australia presents important disparities on economic development across its regions. For instance, weekly family net income in 2006 varied from $478 to $5,000 across sub-state regions and unemployment rate shown figures of zero to up to 20%. The factors underlying these disparities across the country are not fully understood and research trying to capture their relevant contribution to different development indicators is scarce. This study builds on previous literature to econometrically assess the extent to which different natural, demographic and geographic factors determine economic development across all Australian regions, looking with special attention to changes in population, income, employment and urban growth over the period 2006-2011.