Trends in the distribution of income and wealth By Sam Bahnert Higher Food Prices

Income distribution Income distribution is the spread of wealth within the economy. Australia, over recent years has seen a fall in the height of inequality among the distribution of income over recent years however it still remains at a high level compared to other developed countries.

Income distribution is the spread of wealth within the economy.

Australia, over recent years has seen a fall in the height of inequality among the distribution of income over recent years however it still remains at a high level compared to other developed countries.

The level of Inequality Weekly earnings in Australia generally range from $150 to $1200 This is showing the two Extrems of the economy

Weekly earnings in Australia generally range from $150 to $1200

This is showing the two

Extrems of the economy

Trends in Income - Gender Over time women have seen increases in the amount participation In the work force. However women on average have lower incomes overall then men E.g. Year 2005-2006 Male: $983 Female: $644

Over time women have seen

increases in the amount participation

In the work force.

However women on average have lower incomes overall then men

E.g. Year 2005-2006

Male: $983

Female: $644

Trends in Income - Ethnic & Culture Ethnic minorities will often have a lower average income then the majority of the economy

Ethnic minorities will often have a lower average income then the majority of the economy

Trends in Income - Familys Over time the make up of an Average family will change as of Lately we seen increased numbers In the number of single parent Families. These obviously would have A different level of income as well as needing to spend more on consumption.

Over time the make up of an

Average family will change as of

Lately we seen increased numbers

In the number of single parent

Families. These obviously would have

A different level of income as well as needing to spend more on consumption.

Benefits of Inequality

Benefits The labor forced is encouraged to work harder The labor force is encouraged to have a higher skill level and level of education It also allows the labor market to be more mobile

The labor forced is encouraged to work harder

The labor force is encouraged to have a higher skill level and level of education

It also allows the labor market to be more mobile

Downside To Inequality

Down Side Inequality reduces overall utility Can reduce economic growth Reduces consumption and investment Also the people that are on the lower spectrum of the income scale struggle more as prices rise as they spend more of their income on consumption.

Inequality reduces overall utility

Can reduce economic growth

Reduces consumption and investment

Also the people that are on the lower spectrum of the income scale struggle more as prices rise as they spend more of their income on consumption.

The End By Sam Bahnert

By Sam Bahnert