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Poverty and inequality in Australia, 2001–2018

In: Research Handbook on Measuring Poverty and Deprivation

Author

Listed:
  • Alessio Rebechi
  • Nicholas Rohde

Abstract

This chapter presents an overview of the evolution of poverty and inequality in Australia using data from the HILDA survey from 2001 to 2018. We report trends in poverty and income inequality and show that poverty has fallen over the last two decades, while inequality has risen modestly. Jointly, these results imply that the entire country has experienced income growth, but that this has occurred disproportionately in the right tail of the distribution. We also report an inequality analysis based upon a multidimensional aggregate (composed of income, education and health), and show that this has risen more than inequality in income. Lastly, we use some Inequality-of-Opportunity (IOP) techniques to model the transmission of socioeconomic status across generations. We find that IOP in Australia is relatively low, and that paternal education and job prestige are the most significant determinants of intergenerational transmission. Children born to high SES fathers are more likely to earn higher incomes later in life.

Suggested Citation

  • Alessio Rebechi & Nicholas Rohde, 2023. "Poverty and inequality in Australia, 2001–2018," Chapters, in: Jacques Silber (ed.), Research Handbook on Measuring Poverty and Deprivation, chapter 62, pages 663-672, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:20574_62
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