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The Distribution of Earnings in New Zealand

Summary

Changes in the distribution of individual earnings are examined in this paper, using previously unanalysed data from the Household Economic Survey. Published in the Labour Market Bulletin, Issue 1996:1.

The data indicate that the average real pre-tax weekly and hourly earnings of wage and salary earners declined between 1984 and 1994. Some demographic groups in the labour force (males, young people, and workers with university qualifications) experienced larger reductions in their average real earnings than others (females). The dispersion of weekly earnings across all wage and salary earners increased between 1984 and 1994, but there was little change in the dispersion of hourly earnings. Results obtained from a regression of log real hourly earnings on demographic characteristics point to a decline in the earnings deficit associated with being female, and some interesting shifts in the earnings premium associated with university qualifications.

Author: Sylvia Dixon


All publications in subject category: Wages, earnings and incomes


All publications in series: 1996:1