Decomposing Inequality Change in Australia 1984-1989: The Relative Contribution of Demographic and Economic Factors

Abstract

This report uses the technique of inequality decomposition in attempting to identify the role that factors such as changing age structure and family patterns played in explaining the increase in income inequality which was observed among Australian households in the 1980s. Such analysis is not intended to identify the underlying causes of the rise in inequality but rather to assist in a more detailed understanding of what has taken place, a process which will eventually help to identify the causes themselves.