Understanding New Zealand's Changing Income Distribution, 1983–1998: A Semi-parametric Analysis

  1. Dean R. Hyslop1,
  2. David C. Maré2

Article first published online: 19 JUL 2005

DOI: 10.1111/j.0013-0427.2005.00426.x

Issue

Economica

Economica

Volume 72, Issue 287, pages 469–495, August 2005

Additional Information

How to Cite

Hyslop, D. R. and Maré, D. C. (2005), Understanding New Zealand's Changing Income Distribution, 1983–1998: A Semi-parametric Analysis. Economica, 72: 469–495. doi: 10.1111/j.0013-0427.2005.00426.x

Author Information

  1. 1

    New Zealand Treasury

  2. 2

    Motu Economic and Public Policy Research Trust, Wellington

Publication History

  1. Issue published online: 19 JUL 2005
  2. Article first published online: 19 JUL 2005
  3. Final version received 14 October 2003.

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This paper analyses income distribution changes in New Zealand between 1983 and 1998. We use a semi-parametric kernel density approach and a range of inequality summary measures to assess the distributional effects of changes in five sets of factors: household structure, National Superannuation (old age pension), socio-demographic attributes, employment outcomes, and ‘economic returns’ to such attributes and employment outcomes. Changes in household structure and attributes are the main factors contributing to the rise in inequality. Employment changes and changing returns had a more modest impact. The results are qualitatively robust to a variety of equivalization, income, and weighting measures.

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