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How Reliable are Estimates of Poverty in Australia? Some Sensitivity Tests for the Period 1981-82 to 1985-86

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  • Bruce Bradbury
  • Peter Saunders

Abstract

The alleviation of poverty is one of the most important objectives of the Australian social security system. Estimates of poverty across different groups and over time are thus in principle a significant indicator of the effectivenss of social security programs. This paper investigates the reliability of Australian Poverty estimates for 1981-82 and 1985-86 by assessing their sensitivity to changes in the assumptions used to construct a poverty line. The exercise utilizes data from the 1981-82 Income and Housing Survey and the 1986 Income Distribution Survey. The results indicate that many broad conclusions about poverty incidence and trends are robust over the period studied. However, poverty estimates exhibit considerable sensitivity for those groups heavily reliant on the social security system for their income. Copyright 1990 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia
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Suggested Citation

  • Bruce Bradbury & Peter Saunders, 1990. "How Reliable are Estimates of Poverty in Australia? Some Sensitivity Tests for the Period 1981-82 to 1985-86," Discussion Papers 0018, University of New South Wales, Social Policy Research Centre.
    • Handle: RePEc:wop:sprcdp:0018
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    Cited by:

    1. Peter Saunders, 1995. "The Welfare State and Poverty: A Reply to Fred Gruen," The Economic and Labour Relations Review, , vol. 6(1), pages 139-148, June.
    2. Nanak Kakwani, 2000. "Economic Growth, Poverty And Income Support Programmes In Australia," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 5(1-2), pages 14-37.
    3. Peter Saunders & George Matheson, 1991. "An Ever-Rising Tide? Poverty in Australia in the Eighties," The Economic and Labour Relations Review, , vol. 2(2), pages 143-171, December.
    4. David N. F. Bell & Russell J. Rimmer & Sheila M. Rimmer, 1992. "Poverty Among Young Australians," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 25(3), pages 5-18, July.
    5. David Johnson, 1996. "Poverty Lines and the Measurement of Poverty," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 29(1), pages 110-126, January.

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