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Reliance on Income Support in Australia: Prevalence and Persistence

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  • Yi‐Ping Tseng
  • Roger Wilkins

Abstract

Welfare dependence or reliance is widely regarded to have adverse consequences for both the community and welfare recipients, yet there have been few studies of the extent and nature of welfare reliance. Indeed, the concept of welfare reliance does not seem to be well defined. In the present paper, we clarify the meaning of the concept and derive reliance measures consistent with this concept. These measures are applied to describe the extent and nature of reliance on income support payments in Australia of persons aged 15–64 years, using Australian Bureau of Statistics income survey data and Australian government administrative data for income support payments.

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  • Yi‐Ping Tseng & Roger Wilkins, 2003. "Reliance on Income Support in Australia: Prevalence and Persistence," The Economic Record, The Economic Society of Australia, vol. 79(245), pages 196-217, June.
    • Handle: RePEc:bla:ecorec:v:79:y:2003:i:245:p:196-217
    DOI: 10.1111/1475-4932.t01-1-00098
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    References listed on IDEAS

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    1. Gottschalk, Peter & Moffitt, Robert A, 1994. "Welfare Dependence: Concepts, Measures, and Trends," American Economic Review, American Economic Association, vol. 84(2), pages 38-42, May.
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    Cited by:

    1. Cobb-Clark, Deborah A. & Dahmann, Sarah C. & Salamanca, Nicolás & Zhu, Anna, 2022. "Intergenerational disadvantage: Learning about equal opportunity from social assistance receipt," Labour Economics, Elsevier, vol. 79(C).
    2. Andrew E Clark & Rong Zhu, 2023. "Taking Back Control? Quasi-Experimental Evidence on the Impact of Retirement on Locus of Control," Working Papers halshs-04335808, HAL.
    3. Bubonya, Melisa & Cobb-Clark, Deborah A., 2021. "Pathways of Disadvantage: Unpacking the Intergenerational Correlation in Welfare," Economics of Education Review, Elsevier, vol. 80(C).
    4. Elliott Fan & Chris Ryan, 2011. "Reconciling income mobility and welfare persistence," CEPR Discussion Papers 651, Centre for Economic Policy Research, Research School of Economics, Australian National University.
    5. Robert G. Gregory, 2013. "The Henderson Question? The Melbourne Institute and 50 Years of Welfare Policy," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(2), pages 202-215, June.
    6. David Johnson & Roger Wilkins, 2004. "Effects of Changes in Family Composition and Employment Patterns on the Distribution of Income in Australia: 1981–1982 to 1997–1998," The Economic Record, The Economic Society of Australia, vol. 80(249), pages 219-238, June.
    7. Yi-Ping Tseng & Ha Vu & Roger Wilkins, 2006. "Dynamic Properties of Income Support Receipt in Australia," Melbourne Institute Working Paper Series wp2006n23, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    8. Immervoll, Herwig & Jenkins, Stephen P. & Königs, Sebastian, 2015. "Are Recipients of Social Assistance 'Benefit Dependent'? Concepts, Measurement and Results for Selected Countries," IZA Discussion Papers 8786, Institute of Labor Economics (IZA).
    9. Robert G. Gregory & Eva Klug & Prem J. Thapa, 2008. "Cut‐offs, Knock‐ons and Welfare Payment Taper Changes: An Evaluation of the July 2000 Tax and Welfare Changes for Lone Mothers," The Economic Record, The Economic Society of Australia, vol. 84(266), pages 291-309, September.
    10. Gray, Matthew & Renda, Jenny, 2006. "Reservation wages and the earnings capacity of lone and couple mothers: Are wage expectations too high?," MPRA Paper 1067, University Library of Munich, Germany.

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