This book explores the areas of income distribution and welfare. Analyzing redistribution policies develops appropriate techniques to analyze the extent and nature of income inequality and welfare and to measure the direct impact of taxes and government cash transfers on the distribution of income by size of income and other household characteristics. What is the extent of inequality of income and which way is it moving? Is the burden of taxation evenly distributed across the population? Do the rich pay proportionately more or less taxes than the poor? What are the effects of current government programs on the welfare of particular groups in the community? An attempt has been made to answer these and other related questions by an analysis of the Australian data obtained from the 1975-1976 Household Expenditure Survey. Written in a fairly nontechnical manner, Analyzing redistribution policies can be understood with limited knowledge of economics and statistics.