Understanding the Drivers of Poverty Dynamics in Australian Households
AbstractUsing longitudinal household data and an econometric model of conditional poverty transitions, this paper contributes to the growing literature on poverty dynamics in Australian households. The results reveal that a range of household head, partner and demographic characteristics in addition to life-changing events have an impact on both the likelihood of remaining poor and slipping into poverty. These findings have important implications for Australian policymakers: tertiary education and employment are key factors in keeping households out of poverty; having a disability increases the probability of becoming poor and remaining in such a situation; households in outer-regional or remote areas are more likely to become poor and continue to live under such hardship; and finally, life-changing events, especially becoming separated, can lead households into persistent poverty. These results are robust to a range of poverty definitions. By drawing on research that utilizes such longitudinal data, policymakers will be much better informed about the drivers of material deprivation in Australia and subsequently how best to design policies that target and support the most vulnerable households.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2827.
Length: 29 pages
Date of creation: Jun 2007
Date of revision:
Publication status: published in: Economic Record, 2008, 84 (266), 310-321
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Other versions of this item:
- Hielke Buddelmeyer & Sher Verick, 2008. "Understanding the Drivers of Poverty Dynamics in Australian Households," The Economic Record, The Economic Society of Australia, vol. 84(266), pages 310-321, 09.
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
- C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-07-07 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cappellari, Lorenzo & Jenkins, Stephen P., 2002.
"Modelling low income transitions,"
ISER Working Paper Series
2002-08, Institute for Social and Economic Research.
- Cappellari, Lorenzo & Jenkins, Stephen P., 2002. "Modelling Low Income Transitions," IZA Discussion Papers 504, Institute for the Study of Labor (IZA).
- Lorenzo Cappellari & Stephen P. Jenkins, 2002. "Modelling Low Income Transitions," Discussion Papers of DIW Berlin 288, DIW Berlin, German Institute for Economic Research.
- Ann Huff Stevens, 1995.
"Climbing Out of Poverty, Falling Back In: Measuring the Persistence of Poverty over Multiple Spells,"
NBER Working Papers
5390, National Bureau of Economic Research, Inc.
- Ann Huff Stevens, 1999. "Climbing out of Poverty, Falling Back in: Measuring the Persistence of Poverty Over Multiple Spells," Journal of Human Resources, University of Wisconsin Press, vol. 34(3), pages 557-588.
- Peter Saunders & Bruce Bradbury, 2006. "Monitoring Trends in Poverty and Income Distribution: Data, Methodology and Measurement," The Economic Record, The Economic Society of Australia, vol. 82(258), pages 341-364, 09.
- Mitra, Sophie & Posarac, Aleksandra & Vick, Brandon, 2011. "Disability and poverty in developing countries : a snapshot from the world health survey," Social Protection Discussion Papers 62564, The World Bank.
- Sara Ayllón, 2013. "Understanding poverty persistence in Spain," SERIEs, Spanish Economic Association, vol. 4(2), pages 201-233, June.
- REINSTADLER Anne & RAY Jean-Claude, 2010. "Macro Determinants of Individual Income Poverty in 93 Regions of Europe," CEPS/INSTEAD Working Paper Series 2010-13, CEPS/INSTEAD.
- FUSCO Alessio & ISLAM Nizamul, 2012. "Understanding the drivers of low income transitions in Luxembourg," CEPS/INSTEAD Working Paper Series 2012-31, CEPS/INSTEAD.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.