Earnings Inequality in Australia: Changes and Causes

This paper reviews research which has examined recent developments in earnings inequality in Australia. Three main issues are addressed. First, what have been the dimension and timing of changes in earnings inequality which have occurred? Second, how have earnings differentials between workers in different age groups and with different levels of educational attainment changed, and to what extent can those changes be explained by shifts in the relative demand for labour and relative supply of labour by level of skill? Third, what do we know about the causes of changes in earnings inequality?

Comment On The 'Five Economists' Plan: The Original Idea and Further Developments

In this paper Peter Dawkins argues for the "wage-tax trade-off" proposed by the "Five Economists" as part of their policy package for reducing unemployment. As he explains, the trade-off involves using an earned income tax credit (EITC) scheme "as a way of increasing the incomes of low-wage earners in low-income families, rather than increases in the award wages safety net". My comments will focus on the EITC component of the package, taking as an example the Lambert (2000) scheme reported in the paper. I will also concentrate on the effects of the scheme for two-parent families.

Union Effects and Earnings Dispersion in Australia, 1986-1994

In Australia, a large decline in union density has occurred since the mid-1970's. This paper examines the relation between the decline in union density and the dispersion of earnings in Australia between 1986 and 1994. Changes in union density are found to be associated with an increase in earnings dispersion for male employees over this period, but do not appear to be strongly related to changes in earnings dispersion for female employees. The main cause of changes in earnings dispersion for both male and female employees has been an increase in the dispersion of earnings of nonunion employees.

Economic Explanations of Earnings Distribution Trends in the International Literature and Application to New Zealand

This report, commissioned by the Treasury, reviews the international and New Zealand evidence on trends in the distribution of earnings over the past 20 years. It assesses the international evidence on the strength of the various explanations for changes in the earnings distribution. It concludes with suggestions on how the trends in the earnings distribution in New Zealand might be further analysed. Considerable variation has occurred in trends in the distribution of earnings between industrialised economies, with English speaking countries showing the greatest increases in earnings inequalities, and European countries showing the least. The New Zealand evidence also shows a growth in earnings inequality, and indicates that this has been due to both growth in inequality in wage rates and in weekly hours of work. Trends in earnings inequalities together with changes in the distribution of employment appear to explain much of the movement in income inequality in New Zealand. The international literature has attributed changes in the distribution of earnings to labour supply side factors (eg, education, age, gender), demand side factors (eg, technological change, international trade), and institutional factors (eg, union effects, labour market regulation). The relative importance of these effects differs between countries. In the United States, where the most detailed analysis has taken place, about one third of the increase in overall earnings inequality can be explained by widening earnings differentials between education/experience groups; and another one-third by institutional factors, primarily declines in the value of minimum wages, and declines in union density. Possible (untested) explanations of the remaining increase include increasing returns to unobserved cognitive or inter-personal skills, and changing social norms. The evidence suggests that the growth in inequality between groups of workers with different levels of educational attainment and experience can be best explained by changes in the demand for and supply of skills. Changes in the relative demand for skill categories appear to be mainly explained by technological change.

Aquilegia, Vol. 13 No. 3, May-June 1989: Newsletter of the Colorado Native Plant Society

https://epublications.regis.edu/aquilegia/1046/thumbnail.jp

Aquilegia, Vol. 13 No. 1, January-February 1989: Newsletter of the Colorado Native Plant Society

https://epublications.regis.edu/aquilegia/1044/thumbnail.jp

The Case against a Smoker's License

Tobacco continues to kill millions of people around the world each year and its use is increasing in some countries, which makes the need for new, creative, and radical efforts to achieve the tobacco control endgame vitally important. One such effort is discussed in this PLOS Medicine Debate, where Simon Chapman presents his proposal for a "smoker's license" and Jeff Collin argues against. Chapman sets out a case for introducing a smart card license for smokers designed to limit access to tobacco products and encourage cessation. Key elements of the smoker's license include smokers setting daily limits, financial incentives for permanent license surrender, and a test of health risk knowledge for commencing smokers. Collin argues against the proposal, saying that it would shift focus away from the real vector of the epidemic--the tobacco industry--and that by focusing on individuals it would censure victims, increase stigmatization of smokers, and marginalize the poor