Refitting the Kuznets curve using a gender-specific threshold model

Tom Kennedy, Russell Smyth, Abbas Valadkhani, George Chen

Research output: Contribution to journalArticleResearchpeer-review

1 Citation (Scopus)

Abstract

Previous studies have reached mixed conclusions regarding the relationship between inequality and per capita income. These studies, however, fail to consider gender differences in income inequality and how these may impact on the relationship between income inequality and per capita income. Using Australian taxation statistics, we derive three sets of Gini coefficients (i.e. female, male and total) for the period 1950–2013. We then examine the relationship between inequality and real per capita income and find that a gender-specific threshold panel regression outperforms three other conventional models. Our findings suggest that ‘one set of coefficients does not fit all’ in that the use of aggregate and constant coefficients may mask variations within, and between, gender inequality over time.
Original languageEnglish
Pages (from-to)1847-1854
Number of pages8
JournalApplied Economics
Volume49
Issue number19
DOIs
Publication statusPublished - 2017

Keywords

  • Australia
  • inequality
  • Taxation

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