Stability of Incomes for small geographies: REPORT FOR NATIONAL SCHOOL RESOURCING BOARD

In the original specification of the SES index, occupation and education were included in the index to reduce the effect of variability in incomes for small areas. [...] In the original specification of the SES index, occupation and education were included in the index to reduce the effect of variability in incomes for small areas (SA1). [...] The incomes standardised to 2005/06 values were calculated as: 2005_? ? ? 2005_? ? ? ? ? = ? ? ? ? ? ∗ ? ? ? ? Where 2005_PIT iy is the PIT for SA2 i in Year y in 2005/06 prices; PIT iy is the PIT for SA2 i in year y; 2005_PIT is the PIT in 2005/06 for the capital city/balance of state that SA2 i is in; and PITy is the PIT for year y for the capital city/balance of state that SA2 i is in. [...] Note that because the percentage change was from the base year rather than change from the previous year, the graphs are interpreted as total change over the period, i.e., if there is an increase in incomes in one year, and there is no change in the next year, the change line will show the next year as high also rather than returning to 0. [...] The full results (line graphs for the 2010/11 to 2014/15 period for all SA2’s in each capital city/balance of state; distribution of RMSE’s for all SA2’s; and scatterplot of population and RMSE) for median income is shown in Appendix 7, and the results for a smoothed median income are shown in Appendix 8.