Why Have Maori Relative Income Levels Deteriorated Over Time?

Author InfoSholeh A. Maani Abstract In 1986 two thirds of the Maori population had left secondary school by age 16 without school qualifications. A decade later, while educational attainment of the New Zealand population had increased significantly, over 60 per cent of the Maori population remained without qualifications.

This paper provides comprehensive evidence on how income returns to postcompulsory and higher education have contributed to a widened income gap over the decade following the economic reforms. Utilising individual-level Census data for 1986 and 1996, stability tests and decompositions, it establishes the significance of educational attainment as a strategy for reducing disparity. An important feature of the study is the distinction between full and part-Maori.

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