Depression formed some time in 1982 in Melbourne, Victoria, on the East coast of Australia. Smeer, who had been playing in the early Australian punk band The Desert Rats, met up with two locals called Liddy and Spike (no, not the girl from Degrassi). After only a short while, Depression started to play regular shows at "The John Barleycorn Hotel". After about a year of playing there, Depression began playing at "The Seaview Ballroom", a venue which became a mainstay of the Melbourne Punk/Hardcore scene. Around this time, the Dead Kennedys toured Australia, and talks between the band and Jello resulted in Depression being part of the legendary Welcome to 1984 compilation on Maximum Rock'n'Roll Records.

After being approached by Phil MacDougall of Reactor Records (Perdition, Vicious Circle, etc.), the band went into a studio and recorded three songs for $120. These songs, "Money Chain", "Soldiers Never Cry" and "World Leaders", became the Money Chain EP and the first record for Reactor Records.

In 1985, the band went into a "good" studio to record material for a full length. Hassles with printers and not obtaining the sound the band wanted resulted in a delayed release for Depression's self titled LP. Despite the delays, the record was one of the most important for the band and the Reactor Records label.

November 1985 saw the release of the band's next full length, Australia, Australia. Again on Reactor Records, this album recieved good reviews in the US and UK. Things were looking up for the Depression/Reactor partnership.

However, in 1986, Phil's reluctance to finance an overseas tour for the band ended the relationship and Depression and Reactor parted company. However in 1988, Depression appeared on the famous Not So Lucky Country double LP on Reactor Records. In the meantime, Depression headed in a more metallic direction, releasing the Ultra Hardcore, Mega Heavy, Punk, Metal, Thrash live album, the Thrash Till Death album and finally in 1989, the Hardcore History album which was made up of demos and early cuts.

In 1989, Depression called it a day after mixed reactions to their later work and differences within the band. Depression were one of the most successful Australian Punk/Hardcore acts from the era.