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Disparities in Australian Regional Incomes: Are They Widening or Narrowing?
Author(s) -
Cashin Paul,
Strappazzon Loris
Publication year - 1998
Publication title -
australian economic review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.308
H-Index - 29
eISSN - 1467-8462
pISSN - 0004-9018
DOI - 10.1111/1467-8462.00047
Subject(s) - gini coefficient , dispersion (optics) , per capita income , demographic economics , economics , distribution (mathematics) , total personal income , per capita , inequality , divergence (linguistics) , census , convergence (economics) , econometrics , geography , economic inequality , demography , economic growth , population , mathematics , public economics , gross income , sociology , mathematical analysis , linguistics , physics , philosophy , tax reform , optics , state income tax
In this study we examine Australian census data on regional incomes for the period 1976–91. Following a discussion of theories and empirical evidence regarding regional income adjustment, the regional dispersion of per capita income is analysed for the six Australian states and at the sub‐state level (statistical divisions, SDs). The coefficient of variation is used as the measure of dispersion, and Gini coefficients are also calculated to analyse income equality within regions. For Australia, the cross‐state dispersion of per capita incomes increased over the period, whereas there was neither convergence nor divergence of incomes among Australia’s 57 SDs. In addition, the intrastate dispersion of per capita incomes across SDs remained largely unaltered over the period. Gini coefficients indicated that across income strata, the distribution of incomes both within states and within SDs has become more equal.