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Enhancing Food Security and Physical Activity for Māori, Pacific and Low-income PeoplesTable 2.1.5 Distribution of individuals across income quintiles (BHC) by varioushousehold and individual characteristics (%)(sum to 100% across rows)HES 2007AgeEquivalised disposable household incomeQ1 Q2 Q3 Q4 Q50-17 21 27 25 17 11 108718-24 18 16 20 25 22 39225-44 13 19 22 23 24 116845-64 17 13 17 23 30 100065+ 43 25 13 9 10 487All 20 20 20 20 20 4134Household typeOne person 65+ 58 21 8 6 6 148Couple 65+ 39 22 14 11 15 306One person under 65 30 14 14 22 20 196Couple under 65 11 8 14 28 39 520SP with dependent children 55 23 13 7 2 2862P with dependent children 12 27 27 20 15 1599Other family HHs with dependent children 23 25 28 18 5 336Family HHs with no dependent children 10 10 12 28 40 511Non-family HHs 13 14 24 21 29 231All 20 20 20 20 20 4134EthnicityEuropean/Pākehā 16 19 20 22 24 2793NZ Māori 35 26 20 12 9 611Pacific 23 29 17 23 9 242Other 22 18 23 19 19 529All 20 20 20 20 20 4134Main source of incomeMarket 9 19 23 24 25 -Government transfer 67 26 5 2 1 -All 20 20 20 20 20 -Children by household typeChildren in SP HHs 58 23 12 5 2 171Children in 2P HHs 12 28 27 19 14 750Children in other family HHs 25 26 29 16 4 144All children 21 27 25 17 11 1066Allindividuals(000s)Source: Perry B. June 2008. 24 Notes: 1) See note on page 29 for the need for caution in interpretingresults for smaller sub-groups; 2) The HES is known to underestimate beneficiary numbers by around athird so population estimates are not given for the ‘main source of income’ panel.Two-parent households with dependent children are relatively evenly distributed, withsome concentration though in the lower to middle-income range. By ethnicity, 61percent of Māori are in the two bottom quintiles, and 52 percent of Pacific peoples,whereas 40 percent would be around the expected proportion v for a fully equitabledistribution by ethnicity.Table H.5 in Perry (not given here) shows, for 2006/07, 15 percent of children to beliving in workless households, and 21 percent in households with no full-time worker(including the ‘workless’ category). An intervention such as an increase in minimumwage would provide little assistance to such households.v There would be some variation caused by ‘lifecycle stage’ differences, and difference in reproductionrates.27
Enhancing Food Security and Physical Activity for Māori, Pacific and Low-income PeoplesOverall, a Smart Card or voucher scheme, applying universally to all dependentchildren, does provide significant increased purchasing power to many lower incomehouseholds, and to Māori and Pacific people in lower income households. These aresignificant equity gains. Offsetting this are the gains accruing to higher-incomehouseholds with children, though these become less significant relative to‘equivalised’ household incomes.Literature ScanA literature search was carried out by D. Gorton. Her search strategy used thefollowing phrases, databases, and other likely sources. The search generated over100 items, and additional papers came from various other sources.GST search: 1) “value added tax” or VAT.mp; 2) goods and services tax” or GST.mp;3) tax.mp; 4) food price policy.mp; 5) 1 or 2 or 3 or 4; 6) food or fat or health.mp; 7) 5and 6; 8) limit 7 to English language and humans; 9) cigarette or tobacco or smokingor insurance.mp; 10) 8 not 9; 11) limit 10 to yr=”1992 to 2009”’Smart card search: 1) Coupon OR voucher OR incentive OR subsidy; 2) Electronicbenefit transfer OR smart card; 3) 1 or 2; 4) Food OR nutrition OR fruit OR vegetableOR fat; 5) Food stamps.ti OR food assistance.ti; 6) Price discount$ OR pricereduction$ OR price elasticity OR price responsiveness; 7) 3 and 4; 8) 6 and 4; 9) 4and 5: 10) 7 or 8 or 9’ 11) Limit 10 to English language and humans and yr=”1992 to2009”.Databases: Medline, CINAHL, EBM Reviews (All), Embase, PsycINFO, InternationalBibliography of the Social Science, Scopus, EconLit, EconPapers, ExpandedAcademic, ABI/INFORM, Current Contents, Dissertations & Theses, ProQuestCentral, ProQuest Social Science. Limits could not be applied to all databasesGoogle search of relevant websites and keywords: NBER, NZIER, FOE, Brookings,USDADiscussion of selected papers found in literature searchA selection only of the 200-odd papers located is discussed here. The topics focusedon included:• price and income elasticities. This material is discussed earlier in this chapterwhen discussing relevant factors in the economic environment.• the use of economic instruments, or modelling of the use of such instruments,and• the practicability of Smart Card schemes, or Electronic Benefit Transfer (EBT).Modelling the use of economic instruments for Food and Nutrition policyA WHO Europe paper (2006) 25 reviewed the “effectiveness of economic instruments’,but mainly from the viewpoint of preventing and treating obesity. It is a cautiouslyworded document. It does say, however, that “a small body of evidence indicates thatreducing the price of fruits, vegetables and other healthy snacks at the point ofpurchase (vending machines, cafeterias) increases their consumption.”A New Zealand review 26 of four RCTs found that ’all four trials demonstrated a positiveeffect of monetary incentives on food purchases, food consumption, or weight loss’.However, the trials had some methodological limitations including small sample sizesand short durations.28
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