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Medium-Term Changes In The Structure Of The Monthly Earnings



    () (Institute of National Economy)


The paper represents a study of the labour market functionality through the employment degree and how much of the employment improvement is reflected in the wage revenues. The study is based on the analysis and forecast of the earnings structure by branches and regions and also by property forms, being structured in 4 chapters. Within the study the earning is analyzed starting from two reasons: first, the wage synthetically reflects the structural evolution of the labour market and, second, the wage conditions and influences the employment possibilities. An important part of the study is represented by the analysis of the correlation between employment and earnings, marking out some features. First, 2002-2006 represented the period with structural changes in employment, the wages evolution being independent of the economic context or of the labour market imbalances. Second, in regional and county profile the correlation between the employment structure and the evolution of the earnings is more lax than the national economy level. If for the regions the main explanation could be the structural homogeneity of the regional economies, at county level the determinant element is the economic gap. In the first years of the actual development cycle, even if the intercounty economic gaps have maintained or deepened, the improvement of the employment has adequately been reflected in the increase in the average wage revenues. The paper also presents some perspectives on the earnings structure, marking out the fact that until 2010 the gaps between regions – from the net average earnings point of view – will not significantly improve, but there will be created the conditions for a future decrease. This fact can be explained, on one hand, by the absorption of the community funds which will be more consistent after 2009 (it is about the project implementation, not the contract), and, on the other hand, because – in a first stage – the more developed areas will access easier the European funds, having resources and also project and implementation organization competences, and for the fund allocation national projects (transport, education infrastructure, etc.) will be important.

Suggested Citation

  • Ion GHIZDEANU, 2007. "Medium-Term Changes In The Structure Of The Monthly Earnings," Romanian Journal of Economics, Institute of National Economy, vol. 25(2(34)), pages 60-83, December.
  • Handle: RePEc:ine:journl:v:2:y:2007:i:25:p:60-83

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    More about this item


    Employment; Wages; Wage structure; Wage differential; Vacancies;

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General


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