Suchergebnisse

How well have New Zealand households fared over a decade of extensive economic and social changes? This study compares household incomes in 1997/98 with household incomes in 1987/88, using the concept of "final income". Final income is a measure of the income accruing to households after adjusting for payments to, and benefits from, central government, whether these benefits are in cash or in kind. In particular, receipt of government health and education services is counted as adding to a household's income, and payment of consumption taxes is counted as taking away from a household's income. In all income deciles, the real final incomes of households were, on average, at least the same in 1997/98 as they were in 1987/88, and in most cases had increased. Government intervention, through taxes, cash benefits and social services, has maintained the incomes of less well-off households over a period of upheaval in New Zealand.

The NZ Treasury is currently engaged in a project to identify cost-effective interventions to improve outcomes for children and young adults in order to maximise the value of government expenditures across the social sector. The central aim of this paper is to provide an empirically-robust framework to compare intervention across a range of social sectors. There are two key components to the framework. The first is a life-course view of child development that emphasises that experiences and influences in childhood can affect well-being throughout life. The second component involves viewing social expenditures as investments addressed at achieving particular outcomes, typically directed at enhancing well-being. The paper presents evidence from a review of the literature on how the process and experiences of childhood have a later impact on wellbeing; how child development and outcomes are influenced by individual, family and communal factors and how risk and resilience can be used to indicate that an individual is at increased or decreased risk of negative outcomes. Case studies of youth suicide, teenage pregnancy, educational underachievement and youth inactivity provide evidence about what interventions work using key empirical findings from the literature.

There has recently been a rapid growth in international literature and research on the links between economic growth and social capability and their impact upon well-being. This paper draws on that literature to build upon previous Treasury work at the intersection of economic and social policy. It examines the relationship between a productive economy and a society that enjoys high levels of participation, connection and cohesion, and their combined impact of peoples' well-being. It suggests that the objective in an inclusive economy is to improve the well-being of New Zealanders by directing policy to ensure that there are broad based opportunities to participate in society and the economy. The paper notes the 'virtuous' and 'vicious' circles that can occur when positive or negative interrelationships arise as a result of the above links. It suggests that there are five broad policy themes that are particularly important for building a more inclusive New Zealand economy. In particular there are a small number of policy areas where there appear to be opportunities for gains in equity and participation while being neutral or even positive for growth. These opportunities lie in focusing on education and jobs in the lower part of the distribution of attainment and skills; on strengthening Maori institutions and governance; and improving understanding of and reporting of the results of government action. Three Treasury companion papers to this one expand on particular aspects of the inclusive economy. They are Reducing Disparities in an Inclusive Economy (forthcoming), Human Capital and the Inclusive Economy and Geography and the Inclusive Economy: A Regional Perspective.