Research Paper No. 511

Income Dynamics Over the Life Cycle: New Evidence for New Zealand

by

John Creedy.

April 1996

Department of Economics. University of Melbourne. Parkville Victoria 3052 Australia

CONTENTS

1 Introduction
2 Relative Income Mobility
• The framework of analysis
• Specification of mobility
• Empirical estimates
• Variations with age
3 Cohort Income Profiles
• Age and time effects
• Empirical estimates
• Variance Profiles
4 A Simulation Model
• Specification of the model
• Lifetime incomes
5 Conclusions

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