The Effects of Inflation of Inequality and Social Welfare in Australia: International Comparisons

Justin van de Ven

No 575, Department of Economics - Working Papers Series from The University of Melbourne

Abstract: When the prices of goods that form a relatively large proportion of the total expenditure of low income households rise in relation to all other goods, the inequality of the real income distribution increases. This paper models the effect on inequality and welfare if, ceteris paribus, Australian consumers faced foreign country prices and not Australian prices during the period 1980 to 1995.

Keywords: INCOME DISTRIBUTION; WELFARE ECONOMICS (search for similar items in EconPapers)
JEL-codes: D31 D6 (search for similar items in EconPapers)
Pages: 28 pages
Date: 1997
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Persistent link: https://EconPapers.repec.org/RePEc:mlb:wpaper:575

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