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Understanding changes in Māori incomes and income inequality 1997–2003

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  • Sylvia Dixon
  • David Maré

Abstract

This paper reports findings from a study of changes in Maori income levels and income dispersion between 1997 and 2003. Data from Statistics New Zealand's Income Survey are used to describe and evaluate the main changes in the Maori income distribution in this period, which was marked by substantial increases in employment rates and improvements in the skill levels of working-aged Maori. A parallel analysis of the main changes in the European/Pakeha income distribution is provided for comparative purposes. The results show significant reductions in the proportion of Maori with no weekly income in the reference week, or incomes of $150-200 a week, and significant increases in the proportion with incomes above the peak income level of approximately $550 per week. Income inequality within the total working-aged Maori population declined, while income inequality among employed Maori was stable. An analysis of some of the key factors contributing to change in the income distribution suggests that the transition of many Maori into employment during this period was the single most important driver of change.
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Suggested Citation

  • Sylvia Dixon & David Maré, 2007. "Understanding changes in Māori incomes and income inequality 1997–2003," Journal of Population Economics, Springer;European Society for Population Economics, vol. 20(3), pages 571-598, July.
  • Handle: RePEc:spr:jopoec:v:20:y:2007:i:3:p:571-598
    DOI: 10.1007/s00148-006-0083-x
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    1. Barsky R. & Bound J. & Charles K.K. & Lupton J.P., 2002. "Accounting for the Black-White Wealth Gap: A Nonparametric Approach," Journal of the American Statistical Association, American Statistical Association, vol. 97, pages 663-673, September.
    2. Sholeh A Maani, 2000. "Secondary and Tertiary Education Attainment and Income Levels for Maori and Non-Maori Over Time," Treasury Working Paper Series 00/18, New Zealand Treasury.
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    Cited by:

    1. Sylvia Dixon & David C. Maré, 2005. "Changes in the Mâori Income Distribution: Evidence from the Population Census," Labor and Demography 0509006, University Library of Munich, Germany.
    2. Damien S. Eldridge & Ilke Onur & Malathi Velamuri, 2017. "The impact of private hospital insurance on the utilization of hospital care in Australia," Applied Economics, Taylor & Francis Journals, vol. 49(1), pages 78-95, January.
    3. Eldridge, Damien & Koç, Cagatay & Onur, Ilke & Velamuri, Malathi, 2011. "The impact of private hospital insurance on utilization of hospital care in Australia: Evidence from the national health survey," Working Paper Series 18596, Victoria University of Wellington, School of Economics and Finance.

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    More about this item

    Keywords

    Income distribution; Decomposition; D31 personal income and wealth distribution; J15 economics of minorities and races;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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