in 19th-century Australian history, an illegal occupier of crown grazing land beyond the prescribed limits of settlement. The inroad of squatters contributed to the growth of the country's wool industry and to the development of a powerful social class in Australian life. By the late 1840s the authorities recognized the economic good derived from the squatters' activity and issued them leases for their sheep runs and tenure extending as long as 14 years. By this time the squatters had a hold on the land; many had become wealthy grandees.

The 1850s saw a large influx of immigrants, as well as thousands of miners drawn to Australia by the gold strikes. A cry for land was raised from this quarter, which challenged the squatters' position. The cry was strong enough to prompt the Legislative Assemblies of the various colonies to pass “selection” acts in subsequent years. Generally, these provided for the sale of land at auction, forcing squatters to bid against prospective farmers for the land that they already controlled by leasehold. The wealthy squatters were able to purchase the choicest land, but much grazing area fell into the hands of small farmers, who found the agricultural yield disappointing. Their hostility against the selectors and their rugged pioneer ethos led the squatters often to resist social and political change.