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The Relationship between Environmentally Sustainable Income, Employment and Wages in Australia

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  • Mallick, Seeme
  • Sinden, J A
  • Thampapillai, D J

Abstract

The environment is an asset that provides essential services. Like any other asset, its services will diminish as it depreciates. The environmentally sustainable income of a nation depends on a sustained flow of these services, and can be estimated by including the environment in a macroeconomic framework, with a goal to achieve both full employment and sustainability. The relationship of national income to employment is estimated at full employment, actual employment and the employment level that is necessary to maintain sustainable income, for the Australian economy. There proved to be a widening gap between actual income and environmentally sustainable income, and between actual income and income to guarantee full employment. Wage reduction and improvement of technology are analysed as possible ways to meet the goal of an environmentally sustainable income. Copyright 2000 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia

Suggested Citation

  • Mallick, Seeme & Sinden, J A & Thampapillai, D J, 2000. "The Relationship between Environmentally Sustainable Income, Employment and Wages in Australia," Australian Economic Papers, Wiley Blackwell, vol. 39(2), pages 231-244, June.
    • Handle: RePEc:bla:ausecp:v:39:y:2000:i:2:p:231-44
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    Cited by:

    1. Seeme Mallick, 2007. "Sustainable Income, Employment, and Income Distribution in Indonesia," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(4), pages 579-596.
    2. Randall, Alan, 2008. "Is Australia on a sustainability path? Interpreting the clues," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(1), pages 1-19.

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