I reported last month on a simple exercise I’d done that seemed to show the post-tax distribution of income in Australia becoming more unequal under the Howard Government. In response,Â a few readers wrote that these figures seemed to be at odds with data fromÂ the Australian Bureau of Statistics, which showed a drop in inequality from 1996-2003. To confuse us all further, the Luxembourg Income Study has just concluded an agreement with the ABS to add Australia to its inequality comparison.* Here’s what they find:
|Gini||Atkinson (e=0.5)||Atkinson (e=1.0)||90/10||90/50||80/20|
It looks to me as though LIS thinks inequality has indeed risen under Howard, though by less than it did under Hawke and Keating.
* For the data nerds, LIS is the best data for comparing income distribution across countries over the last couple of decades.