Dynamic Properties of Income Support Receipt in Australia

24 Pages Posted: 15 Apr 2008

See all articles by Yi-Ping Tseng

Yi-Ping Tseng

University of Melbourne - Melbourne Institute of Applied Economic and Social Research

Ha Vu

University of Melbourne

R Wilkins

affiliation not provided to SSRN

Date Written: 2007-06

Abstract

Using administrative records on Australian income support (welfare) recipients over the period July 1995 to June 2002, we examine dynamic properties of income support receipt and the personal characteristics associated with alternative patterns of receipt. We draw on three concepts: churning the process of ending a spell on income support and subsequently commencing a new spell; transferring moving from one payment type to another within a spell on income support; and Total Time On payments (TTO) the proportion of time on income support in a given period. We find that churning and transferring are significant features of income support receipt in Australia. For example, over half of recipients churn within five years of commencing an income support spell, and one-fifth make a payment transfer within the same time frame. Examination of the characteristics associated with each of five distinct patterns of receipt reveals substantial differences in patterns by age, family composition, unemployment status, health status, and recent history of income support receipt.

Suggested Citation

Tseng, Yi-Ping and Vu, Ha and Wilkins, Roger, Dynamic Properties of Income Support Receipt in Australia (2007-06). Australian Economic Review, Vol. 41, Issue 1, pp. 32-55, March 2008. Available at SSRN: https://ssrn.com/abstract=1120501 or http://dx.doi.org/10.1111/j.1467-8462.2008.00474.x

Yi-Ping Tseng (Contact Author)

University of Melbourne - Melbourne Institute of Applied Economic and Social Research ( email )

Level 5, FBE Building, 111 Barry Street
Parkville, Victoria 3010
Australia

Ha Vu

University of Melbourne

185 Pelham Street
Carlton, Victoria 3053
Australia

Roger Wilkins

affiliation not provided to SSRN

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