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Household Equivalence Scales: New Australian Estimates from the 1984 Household Expenditure Survey

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  • TRAN NAM BINH
  • PETER WHITEFORD

Abstract

Equivalence scales are measures of the relative incomes required by households of different size and composition to attain a similar standard of living, and are used in analysis of consumer expenditure patterns as well as in judging the appropriateness of the structure of income maintenance payments. The paper reviews equivalence scales previously derived for Australia and presents a range of new estimates based on the 1984 Household Expenditure Survey.

Suggested Citation

  • Tran Nam Binh & Peter Whiteford, 1990. "Household Equivalence Scales: New Australian Estimates from the 1984 Household Expenditure Survey," The Economic Record, The Economic Society of Australia, vol. 66(3), pages 221-234, September.
    • Handle: RePEc:bla:ecorec:v:66:y:1990:i:3:p:221-234
    DOI: 10.1111/j.1475-4932.1990.tb01724.x
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    References listed on IDEAS

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    1. Muellbauer, John, 1974. "Household composition, Engel curves and welfare comparisons between households : A duality approach," European Economic Review, Elsevier, vol. 5(2), pages 103-122, August.
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    3. Deaton, Angus S & Muellbauer, John, 1986. "On Measuring Child Costs: With Applications to Poor Countries," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 720-744, August.
    4. Van Hoa, Tran, 1986. "Measuring equivalence scales : A new system-wide method," Economics Letters, Elsevier, vol. 20(1), pages 95-99.
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    7. Lluch, Constantino, 1973. "The extended linear expenditure system," European Economic Review, Elsevier, vol. 4(1), pages 21-32, April.
    8. Pollak, Robert A & Wales, Terence J, 1979. "Welfare Comparisons and Equivalence Scales," American Economic Review, American Economic Association, vol. 69(2), pages 216-221, May.
    9. Seneca, Joseph J & Taussig, Michael K, 1971. "Family Equivalence Scales and Personal Income Tax Exemptions for Children," The Review of Economics and Statistics, MIT Press, vol. 53(3), pages 253-262, August.
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    11. Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
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    Cited by:

    1. John Creedy & Nicolas Hérault & Guyonne Kalb, 2007. "Comparing Welfare Change Measures with Income Change Measures in Behavioural Policy Simulations," Melbourne Institute Working Paper Series wp2007n21, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    2. Hielke Buddelmeyer & Nicolas Hérault & Guyonne Kalb & Mark van Zijll de Jong, 2009. "Linking a Dynamic CGE Model and a Microsimulation Model: Climate Change Mitigation Policies and Income Distribution in Australia," Melbourne Institute Working Paper Series wp2009n03, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    3. Matthew Gray & David Stanton, 2010. "Costs of children and Equivalence Scales: A Review of Methodological Issues and Australian Estimates," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 13(1), pages 99-115.
    4. John Creedy & Nicolas Hérault & Guyonne Kalb, 2009. "Abolishing the Tax-Free Threshold in Australia: Simulating Alternative Reforms," Fiscal Studies, Institute for Fiscal Studies, vol. 30(2), pages 219-246, June.
    5. Martina Mysíková & Tomáš Želinský & Michaela Jirková & Jiří Večerník, 2021. "Equivalence Scale and Income Poverty: Two Approaches to Estimate Country-specific Scale for the Czech Republic," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 156(1), pages 21-45, July.
    6. Geoffrey Lancaster & Ranjan Ray, 1998. "Comparison of Alternative Models of Household Equivalence Scales: The Australian Evidence on Unit Record Data," The Economic Record, The Economic Society of Australia, vol. 74(224), pages 1-14, March.

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