The Structure and Distribution of Household Wealth in Australia
2002 saw the first large-scale survey of household wealth carried out in Australia since World War I. Conducted as part of the second wave of the Household, Income and Labour Dynamics in Australia (or HILDA) Survey, it covered all main components of asset portfolios and debts. This paper uses these data to provide an overview of the structure and distribution of household wealth in Australia, providing estimates of the mean and median levels of household wealth by type of asset or debt, and estimates of the degree of inequality of wealth holdings. The data confirm that wealth is very unequally distributed, with the bottom half of the distribution owning less than 10 per cent of total household net worth (assets less debts), while the wealthiest 10 per cent account for 45 per cent of total net worth. The paper also includes an analysis of the factors associated with household wealth that indicates that wealth is significantly related to a range of factors including age, country of birth, parental occupational status, education, marital status, working hours, income, self-reported savings behaviour, a willingness to take risks and even various lifestyle behaviours, such as smoking and alcohol consumption.
|Date of creation:||Jul 2004|
|Date of revision:|
|Contact details of provider:|| Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia|
Phone: +61 3 8344 2100
Fax: +61 3 8344 2111
Web page: http://www.melbourneinstitute.com/
More information through EDIRC
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.:
- Phillip B. Levine & Tara A. Gustafson & Ann D. Velenchik, 1997. "More Bad News for Smokers? The Effects of Cigarette Smoking on Wages," ILR Review, Cornell University, ILR School, vol. 50(3), pages 493-509, April.
- J. W. Nevile & N. A. Warren, 1984. "How Much Do We Know About Wealth Distribution in Australia?," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 17(4), pages 23-33.
- F. Thomas Juster & James P. Smith & Frank Stafford, 2004.
"The Measurement and Structure of Household Wealth,"
Labor and Demography
- Mark Wooden & Simon Freidin & Nicole Watson, 2002. "The Household, Income and Labour Dynamics in Australia (HILDA)Survey: Wave 1," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 35(3), pages 339-348.
- Piggott, John, 1984. "The Distribution of Wealth in Australia-A Survey," The Economic Record, The Economic Society of Australia, vol. 60(170), pages 252-65, September.
- A. W. Dilnot, 1990. "The Distribution and Composition of Personal Sector Wealth in Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 23(1), pages 33-40.
- Webster, Elizabeth, 2000. "The growth of enterprise intangible investment in Australia," Information Economics and Policy, Elsevier, vol. 12(1), pages 1-25, March.
- N. Podder & N. C. Kakwani, 1976. "Distribution Of Wealth In Australia," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 22(1), pages 75-92, 03.
- van Ours, Jan C., 2004. "A pint a day raises a man's pay; but smoking blows that gain away," Journal of Health Economics, Elsevier, vol. 23(5), pages 863-886, September.
- Becker, Gary S & Murphy, Kevin M, 1988.
"A Theory of Rational Addiction,"
Journal of Political Economy,
University of Chicago Press, vol. 96(4), pages 675-700, August.
- Gary S. Becker & Kevin M. Murphy, 1986. "A Theory of Rational Addiction," University of Chicago - George G. Stigler Center for Study of Economy and State 41, Chicago - Center for Study of Economy and State.
- Barrett, Garry F, 2002. "The Effect of Alcohol Consumption on Earnings," The Economic Record, The Economic Society of Australia, vol. 78(240), pages 79-96, March.
- Nicole Watson & Mark Wooden, 2004. "Sample Attrition in the HILDA Survey," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 7(2), pages 293-308, June.
When requesting a correction, please mention this item's handle: RePEc:iae:iaewps:wp2004n12. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Abbey Treloar)
If references are entirely missing, you can add them using this form.