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Microeconomic Reform and Income Distribution: The case of Australian Ports and Rail Freight Industries

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  • George Verikios
  • Xiao-guang Zhang

Abstract

We analyse structural changes in the Australian ports and rail freight industries during 1990s that were driven by microeconomic reform. We estimate the direct and indirect effects on household income groups of these industry changes by applying a computable general equilibrium model incorporating detailed household income and expenditure accounts, and microsimulation behaviour. The model contains both top-down and bottom-up linkages. The structural changes lead to a small increase in household welfare in most regions, with an overall increase of 0.18%. Income inequality is estimated to have decreased slightly by 0.02%.

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Bibliographic Info

Paper provided by Victoria University, Centre of Policy Studies/IMPACT Centre in its series Centre of Policy Studies/IMPACT Centre Working Papers with number g-230.

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Date of creation: Jun 2012
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Handle: RePEc:cop:wpaper:g-230

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Related research

Keywords: computable general equilibrium; household income distribution; microeconomic reform; microsimulation; ports; rail freight;

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  1. David Blanchflower & A Oswald, 1993. "International Wage Curve," CEP Discussion Papers dp0116, Centre for Economic Performance, LSE.
    • David G. Blanchflower & Andrew Oswald, 1995. "International Wage Curves," NBER Chapters, in: Differences and Changes in Wage Structures, pages 145-174 National Bureau of Economic Research, Inc.
  2. Arntz, Melanie & Boeters, Stefan & Gürtzgen, Nicole & Schubert, Stefanie, 2008. "Analysing welfare reform in a microsimulation-AGE model: The value of disaggregation," Economic Modelling, Elsevier, vol. 25(3), pages 422-439, May.
  3. Guyonne Kalb, 1998. "An Australian Model for Labour Supply and Welfare Participation in Two-Adult Households," Discussion Papers 0082, University of New South Wales, Social Policy Research Centre.
  4. DeVuyst, Eric A. & Preckel, Paul V., 1997. "Sensitivity analysis revisited: A quadrature-based approach," Journal of Policy Modeling, Elsevier, vol. 19(2), pages 175-185, April.
  5. G. A. Meagher & Nisha Agrawal, 1986. "Taxation Reform and Income Distribution in Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 19(3), pages 33-56.
  6. Meagher, G A & Dixon, Peter B, 1986. "Analyzing Income Distribution in Australia," The Economic Record, The Economic Society of Australia, vol. 62(179), pages 427-41, December.
  7. W. Jill Harrison & K.R. Pearson, 1994. "Computing Solutions for Large General Equilibrium Models Using GEMPACK," Centre of Policy Studies/IMPACT Centre Working Papers ip-64, Victoria University, Centre of Policy Studies/IMPACT Centre.
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Cited by:
  1. Maheshwar Rao & Robert Tanton & Yogi Vidyattama, 2013. "‘A Systems Approach to Analyse the Impacts of Water Policy Reform in the Murray-Darling Basin: a conceptual and an analytical framework’," NATSEM Working Paper Series 13/22, University of Canberra, National Centre for Social and Economic Modelling.

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