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Movements Into and Out of Child Poverty in New Zealand: Results from the Linked Income Supplement


  • Suzie Ballantyne

    () (formerly Ministry of Social Development)

  • Simon Chapple

    () (Ministry of Social Policy)

  • David C. Maré

    () (Motu Economic and Social Policy Research)

  • Jason Timmins

    () (Motu Economic and Social Policy Research)


This paper considers the dynamics of child income poverty in New Zealand. Annual movements into and out of poverty by children's households in New Zealand over the 1997/98, 1998/99, and 1999/2000 periods are analysed. The annual Income Supplement to the Household Labour Force Survey allows tracking of dwellings and people in two consecutive June quarterly weeks, and thus allows observation of changes in equivalised household disposable income over a June year. This project is the first to use the Linked Income Survey for analysis of income dynamics and is part of the Ministry of Social Policy's ongoing research on family dynamics. New Zealand adult and child poverty transitions are compared. Child poverty transitions in New Zealand are compared and contrasted to those of five other countries-Britain, Germany, Hungary, Russia and Spain-where a similar current income measure of poverty is available. The frequency of poverty "trigger events" in New Zealand and their impact on the chances of children exiting and entering poverty are compared to similar data for Britain and West Germany.

Suggested Citation

  • Suzie Ballantyne & Simon Chapple & David C. Maré & Jason Timmins, 2003. "Movements Into and Out of Child Poverty in New Zealand: Results from the Linked Income Supplement," Working Papers 03_13, Motu Economic and Public Policy Research.
  • Handle: RePEc:mtu:wpaper:03_13

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    References listed on IDEAS

    1. Jantti, Markus & Jenkins, Stephen P., 2013. "Income mobility," ISER Working Paper Series 2013-23, Institute for Social and Economic Research.
    2. Peter Gottschalk & Sheldon Danziger, 1999. "Income Mobility and Exits from Poverty of American Children, 1970-1992," Boston College Working Papers in Economics 430, Boston College Department of Economics, revised 15 Feb 2001.
    3. Böheim, René & Jenkins, Stephen P., 2000. "Do current income and annual income measures provide different pictures of Britain's income distribution?," ISER Working Paper Series 2000-16, Institute for Social and Economic Research.
    4. Mary Jo Bane & David T. Ellwood, 1986. "Slipping into and out of Poverty: The Dynamics of Spells," Journal of Human Resources, University of Wisconsin Press, vol. 21(1), pages 1-23.
    5. Duncan, Greg J & Gustafsson, Bjorn & Hauser, Richard & Schmauss, Gunther & Messinger, Hans & Muffels, Ruud & Nolan, Brian, 1993. "Poverty Dynamics in Eight Countries," Journal of Population Economics, Springer;European Society for Population Economics, vol. 6(3), pages 215-234.
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    7. Dean Hyslop, 2000. "A Preliminary Analysis of the Dynamics of Individual Market and Disposable Incomes," Treasury Working Paper Series 00/15, New Zealand Treasury.
    8. Gregg, Paul & Wadsworth, Jonathan, 2000. "Mind the Gap, Please: The Changing Nature of Entry Jobs in Britain," Economica, London School of Economics and Political Science, vol. 67(268), pages 499-524, November.
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    Cited by:

    1. Dave Mare, 2004. "What Do Endogenous Growth Models Contribute?," Development and Comp Systems 0412002, EconWPA.
    2. Grimes, Arthur, 2005. "Regional and industry cycles in Australasia: Implications for a common currency," Journal of Asian Economics, Elsevier, vol. 16(3), pages 380-397, June.
    3. John Micklewright, 2003. "Child Poverty in English-Speaking Countries," Papers inwopa03/25, Innocenti Working Papers, revised 2003.
    4. Arthur Grimes, 2005. "Intra & Inter-Regional Industry Shocks: A New Metric with an Application to Australasian Currency Union," Macroeconomics 0509019, EconWPA.
    5. Michelle Poland & David C Maré, 2005. "Defining Geographic Communities," Urban/Regional 0509016, EconWPA.
    6. Crawford, Ron, 2009. "Variations in earnings growth: evidence from earnings transitions in the NZ Linked Income Survey," ISER Working Paper Series 2009-18, Institute for Social and Economic Research.
    7. David C Maré, 2005. "Indirect Effects of Active Labour Market Policies," HEW 0509004, EconWPA.
    8. David C. Maré, 2003. "Ideas for Growth?," Working Papers 03_19, Motu Economic and Public Policy Research.
    9. Suzi Kerr & Andrew Aitken & Arthur Grimes, 2004. "Land Taxes and Revenue Needs as Communities Grow and," Public Economics 0403001, EconWPA.

    More about this item


    Child poverty; household income; income mobility;

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth


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