Income Inequality in Small Regions: A Study of Australian Statistical Divisions

Abstract

This paper provides "empirical analysis of the nature of the relationship between economic development of regions and income inequality in Australian sub-state regions. It does so in the context of considering the validity of the 'augmented inverted U' hypothesis and the influence of factors such as the business cycle, political issues, and demographic trends, which are likely to cause income inequality to change over time." Data are from the Australian censuses for the years 1976 and 1981.