The colony was at first to be titled "New Albion", after Albion in Great Britain, but Phillip decided on "Sydney".
Conditions in the colony were not conducive to the development of a thriving new metropolis, but the more regular arrival of ships and the beginnings of maritime trade (such as wool) helped to lessen the burden of isolation.
Roads, bridges, wharves, and public buildings were constructed using convict labour and by 1822 the town had banks, markets, and well-established thoroughfares.
The Great Depression of the 1930s had a severe effect on Sydney's economy, as it did with most cities throughout the industrial world.
For much of the 1930s up to one in three breadwinners was unemployed.
Part of Macquarie's effort to transform the colony was his authorisation for convicts to re-enter society as free citizens.
Following the depression of the 1890s, the six colonies agreed to form the Commonwealth of Australia.However, numerous Aboriginal stone tools were found in Western Sydney's gravel sediments that were dated from 45,000 to 50,000 years BP, which would indicate that there was human settlement in Sydney earlier than thought.Cook was on a mission of exploration and was not commissioned to start a settlement.Captain Philip led the First Fleet of 11 ships and about 850 convicts into Botany Bay on 18 January 1788, though deemed the location unsuitable due to poor soil and a lack of fresh water.He travelled a short way further north and arrived at Port Jackson on 26 January 1788. Phillip described Sydney Cove as being "without exception the finest harbour in the world".It was not until 1788 when the First Fleet, which contained convicts and was led by Captain Arthur Phillip, arrived in Botany Bay to found Sydney as a penal colony, the first European settlement in Australia.