The Distribution of Income in Ireland (2000) - Combat Poverty Agency

24 The Distribution of Income in Irelandill head or one working full-time in the home. In 1994, thesedifferences in mean income across the groups accounted forabout 27 per cent of the inequality in the overall sample. By1997, the inequality produced by these differences in mean incomehad fallen, and accounted for 24 per cent of overall inequality.In terms of within-group inequality, there was a sharpincrease for households headed by someone unemployed or ill.The size of some of the groups had also changed, with the proportionof employees increasing and unemployed falling.Table 3.7: Decomposition of Inequality in DisposableEquivalised Income by Labour Force Status of Head, 1994and 1997 LLT SurveyA: 1994GroupEmployeeSelf-employedUnemployed/illRetiredHome DutiesAllOf which:Inequalitywithin Group(MLD*1000)1012405510575160Within group inequality (% of total)Between group inequality (% of total)B: 1997EmployeeSelf-employedUnemployed/illRetiredHome DutiesAllOf which:9923510011665167Within group inequality (% of total)Between group inequality (% of total)Group MeanIncome(£ per week)152.50140.3269.59112.3482.92123.64116(72.9)44(27.1)188.65187.3386.16142.9693.73159.35128 (76.4)39 (23.6)Group Share inPopulation(%)4119171210100461914139100Finally, it is interesting to focus on the role of social welfaretransfers by distinguishing two groups: households which re-The Distribution of Income in the 1990s 25ceive more than half their total income from transfers andhouseholds which do not. Table 3.8 shows that, unsurprisingly,the 30 per cent of households who do receive more than halftheir income from transfers have both lower mean equivalisedincome and lower within-group inequality than the rest of thesample. The table also shows that inequality between these twogroups accounted for about 35 per cent of overall inequality inthe 1994 sample.Table 3.8: Decomposition of Inequality in DisposableEquivalised Income by Social Welfare Dependency, 1994and 1997LLT.SurveysGroupInequalitywithin Group(MLD*1000)A: 1994Social Welfare13650% or Less ofTotal IncomeSocial Welfare29More that 50% ofTotal IncomeAll160Of which:Within group inequality (% of total)Between group inequality (% of total)B: 1997Social Welfare50% or Less ofTotal IncomeSocial WelfareMore that 50% ofTotal IncomeAll13736167Of which :Within group inequality (% of total)Between group inequality (% of total)Group MeanIncome(£ per week)147.3368.02123.64104 (65.2)56 (34.8)183.8379.75159.35113(67.9)54(32.1)Group Share inPopulation(%)By 1997, inequality within both groups had increased, and accountedfor a slightly larger share in total inequality than in1994. This reflects the fact that although the mean income of70301007624100