PARETO EXTRAPOLATION USING GROUPED INCOME DATA*

ABSTRACT. The distribution of above-median income groups can be described accurately by OLS regression of the Pareto distribution. The excellent fit of log-linear regression has led some researchers to conclude that extrapolated income measures in the open end of the distribution are reliable. The analysis of income distribution data for metropolitan areas reveals: (1) that OLS tends to consistently overestimate the number of families in the tail, and (2) that the overestimation can have serious implications for hypothesis testing.     

LOCATION AND MARKET POWER HOTELLING REVISITED*

ABSTRACT This paper analyzes the determination of industry structure in a product market, given a monopolistic factor market. The characteristics of industry structure examined include the number of firms, their pricing and locational pattern. It is shown how a monopolistic factor owner–a landowner–structures the product market in order to extract maximum rent. Asymmetry characterizes the resulting locational pattern. All the product market firms charge different prices in equilibrium. No matter how large the number of firms competing in the product market, the landowner can always guarantee himself positive profits. The paper concludes with a discussion of possible applications and tests of the theory.     

Variations in the Spatial Pattern of Settlement Locations: An Analysis Based on Proportional Hazards Models

Models based on hazard functions are used to analyze spatial trends in the distance intervals separating point locations. The proportional hazards model, which has been widely applied to analyze intervals of time, is used to investigate variation in the spacing of settlements in Nebraska. This model allows spatial trends in the intervals between settlements to be investigated under very general conditions regarding the interdependence of settlement locations and permits the coordinate locations of the intervals to be treated as spatially varying covariates. An empirical analysis reveals an East-West trend in the spacing of settlements.     

Australian liberalism and corporatism

George Brandis, Tom Harley and Don Markwell (eds), Liberals face the Future: Essays on Australian Liberalism, Melbourne, Oxford University Press, 1984, pp. 386, $14.99 (paper) and Katharine West, The Revolution in Australian Politics, Melbourne, Penguin Books, 1984, pp. 116, $4.95 (paper).

John Rickard, H.B. Higgins: the rebel as judge. Sydney, Allen & Unwin, 1984, pp.350. $29.95 (cloth).

Stuart Macintyre, Militant: the life and times of Paddy Troy, Sydney, Allen & Unwin, 1984, pp.225. $19.95 (cloth), $9.95 (paper).

Alan Metcalfe, In Their Own Right: The Rise to Power of Joh's Nationals, St. Lucia, University of Queensland Press, 1984, pp.268. $20.00 (cloth)

Peter Love. Labour and the Money Power: Australian Labour Populism 1890–1950, Melbourne University Press, 1984, pp.240. $9.95 (paper).

L.F. Crisp, George Houston Reid: Federation Father; Federal Failure? Canberra, ANU, 1979; The Later Australian Federation Movement 1883–1901: Outline and Bibliography, 1979; George Richard Dibbs: Premier of New South Wales, Prophet of Unification, 1980; Federation Prophets Without Honour: A.B. Piddington, Tom Price, H.B.Higgins, 1980; The Unrelenting Penance of Federalist Isaac Isaacs, 1897–1947, 1981; Charles Cameron Kingston: Radical Federationist, 1984.

Philip Toyne and Daniel Vachon, Growing Up the Country: The Pitjantjatjara struggle for their land, Melbourne, Penguin Books and McPhee Gribble, 1984, pp.157. $6.95 (paper)

Jim Kemeny, The Great Australian Nightmare, Melbourne, Georgian House, 1983, pp. 130. $14.95 (paper).

Peter Sekuless, The Lobbyists, Sydney, Allen & Unwin, 1984, pp. 145. $14.95 (paper).

Jennifer Aldred (ed.), Industrial Confrontation, Sydney, Allen and Unwin and Australian Institute‐of Political Science, 1984, pp.111. $15.95 (cloth), $7.95 (paper).

Glenn Withers (ed.), Bigger or Smaller Government? Papers from the sixth symposium of the Academy of the Social Sciences in Australia, 1982, Canberra, Academy of the Social Sciences in Australia, 1983, pp. ix, 115. $8.50 (paper)

Commonwealth Grants Commission, Equity in Diversity: Fifty Years of the Commonwealth Grants Commission, Canberra, Australian Government Publishing Service, 1983, pp. 180. $15.60 (cloth), $9.90 (paper).

Robin Walker, Under Fire: A History of Tobacco Smoking in Australia, Melbourne, Melbourne University Press, pp. 155. $19.50 (cloth).1

Hugh Saddler, Energy in Australia: Politics and Economics, Sydney, Allen and Unwin,1981, pp.205. $7.95 (paper)

Brian Kennedy, A Tale of Two Mining Cities: Johannesburg and Broken Hill 1885–1925, Melbourne, Melbourne University Press, 1984, pp. 146. $25.00 (cloth)

Basile Kerblay, Modern Soviet Society, London, Methuen, 1983, pp.321. $37.50 (cloth), $23.95 (paper).

Gary Littlejohn, A Sociology ofthe Soviet Union, London, Macmillan, 1984, pp.286. $16.95 (paper).

Talal Asad and Roger Owen (eds), Sociology of “Developing Societies”: The Middle East, London, Macmillan, 1983, pp.264. $11.95 (paper).

Richard Mulgan, Democracy and Power in New Zealand: a study of New Zealand politics, Auckland, Oxford University Press, 1984, pp.171. $A12.99 (paper)

Rex Mortimer, Stubborn Survivors, ed. H. Feith and R. Tiffen, Monash Papers on South East Asia No. 10, 1984, pp.xvii, 180. $6.00 (paper).

Philip Lowe and Jane Goyder, Environmental Groups in Politics, London, Allen and Unwin, 1983, pp. 208. $18.95 (paper)

John Surrey (ed.), The Urban Transportation of Irradiated Fuel, London, Macmillan, 1984, pp. 336. $14.95 (paper)

Ian Hancock, White Liberals, Moderates and Radicals in Rhodesia 1953–1980, London and Sydney, Croom Helm, 1984, pp.230. $31.95 (cloth).

Peter Hain, Political Trials in Britain, London, Allen Lane, 1984. pp 318. $29.95 (cloth).

Anthony Hyman, Afghanistan Under Soviet Domination, 1964–1983, London, Macmillan, 1984, pp. 235. $18.95 (paper).

Ivor Crewe and Anthony Fox, British Parliamentary Constituencies: A Statistical Compendium, London, Faber and Faber, 1984, pp.397. $67.95 (cloth).

Frederick C. Teiwes, Leadership, Legitimacy, and Conflict in China: From a Charismatic Mao to the Politics of Succession, London, Macmillan, 1984, pp.167. $21.95 (paper)

John Wong, The Political Economy of China's Changing Relations with Southeast Asia, London, Macmillan, 1984, pp.246. $14.95 (paper)

Adrian Leftwich (ed.), What is Politics? The Activity and its Study, Oxford, Basil Blackwell, 1984, pp. 172. $25.00 (cloth), $11.95 (paper).

Ted Benton, The Rise and Fall of Structural Marxism: Althusser and his Influence, London, Macmillan, 1984, pp. 259. $14.95 (paper).

Ben Fine, Marx's Capital, London, Macmillan, second edition, 1984, pp. 87. $9.95 (paper).

Stefan Collini, Donald Winch and John Burrow, That Noble Science of Politics: A Study in Nineteenth‐Century Intellectual History, Cambridge University Press, 1983, pp. 385. $25.00 (paper).

William W. Bostock, Approaches to Political Explanation, Melbourne, RDI Press, 1983, pp.123. $9.00 (paper).

Ronald Beiner, Political Judgment, London, Methuen, 1983, pp. 199. $17.95 (paper).

John F. Wilson, The Politics of Moderation: An Interpretation of Plato's Republic, New York, University of America Press, 1984, pp.213. $12.25 (U.S.) (paper).

Aristotle, The Athenian Constitution, trans. P.J. Rhodes, Penguin Books, 1984, pp. 198. $6.95 (paper).

Carol O'Donnell, The Basis of the Bargain: Gender, Schooling and Jobs, Sydney, Allen and Unwin, 1984, pp.186. $19.95 (cloth), $9.95 (paper).

Dorothy H. Broom (ed.), Unfinished Business: Social Justice for Women in Australia, Sydney, Allen and Unwin, 1984, pp.213. $24.95 (cloth), $10.95 (paper).

S. Fabian and M. Loh, The Changemakers: Ten Significant Australian Women. Milton, Jacaranda Press, 1983, pp. 190. $14.25 (paper).     

INTERREGIONAL WAGE DIFFERENTIALS: AN EQUILIBRIUM PERSPECTIVE*

ABSTRACT This paper empirically analyzes two competing explanations for observed interregional wage differentials among full-time U.S. workers: (1) differences in the average levels of market valued labor characteristics, and (2) differences in rates of return to the characteristics. Hedonic wage equations are estimated for broad U.S. regions using detailed measures of human capital, work environment, and personal attributes collected by a national random sample mail survey. Statistical tests reveal little tendency for interregional structural shifts in the wage equations estimated, an outcome which rests on the inclusion of important, but seldom measured, wage determining variables.