scholarly journals Wage Level as One of the Most Important Indicators of the Quantitative Aspect of the Standard of Living of the Population and Selected Indicators of Economic Maturity in OECD Member Countries

2020 ◽  
Vol 31 (3) ◽  
pp. 334-344
Author(s):  
Diana Bílková
Keyword(s):  
Purchasing Power Parity ◽  
Tertiary Education ◽  
Labour Productivity ◽  
Oecd Countries ◽  
Gdp Per Capita ◽  
Quantitative Aspect ◽  
Purchasing Power ◽  
Average Wage ◽  
Power Parity ◽  
Per Capita

The present paper focuses on the comparison of wage levels across OECD countries, the research data coming from an official OECD website. The following eight variables are employed in this study – the average wage, minimum wage, GDP per capita, tertiary education attainment, employment ratio, trade unions, labour productivity and inflation rate. The average wage represents the main explained variable in regression and correlation analysis, the remaining seven variables being used as potential explanatory ones. In order to compare living standards in different countries, average and minimum wages as well as per capita GDP data were adjusted to relative purchasing power parity. The principal objective was to identify which explanatory variables statistically significantly affect the average wage. The analysis showed that only three of them – namely the employment ratio, GDP per capita and labour productivity – have a significant effect at a 5% statistical level. The regression hyperplane with a forward stepwise selection was applied. Nine clusters of OECD countries were created based on both all the eight variables and four of them selected in regression analysis (the average wage and three explanatory ones) with the aim to identify the countries that coexist in the same cluster. Ward's method and Euclidean distance are utilized in cluster analysis, the number of clusters being determined with the use of the Dunn index. The study also aims at the prediction of the average wage by 2022, which was made via exponential smoothing of time series. (The greatest purchasing power is reported by Luxembourg, Switzerland, Iceland, the U.S., the Netherlands, Denmark, Norway and Austria, the highest average wage growth rate by 2022 being expected in the Baltic and some other post-communist countries.)

The effects of the economic crisis on income convergence in the European Union

2012 ◽  
Vol 62 (2) ◽  
pp. 161-182 ◽  
Author(s):  
Nenad Stanišić
Keyword(s):  
European Union ◽  
Economic Crisis ◽  
Purchasing Power Parity ◽  
Gdp Per Capita ◽  
The European Union ◽  
Income Convergence ◽  
Power Parity ◽  
Trade Theory ◽  
Per Capita

This paper evaluates income convergence in the European Union, between “old” (EU15) and “new” member states from Central and East Europe (CEE10), and among the countries within these two groups. The GDP per capita convergence should be expected according to the exogenous economic growth model and neoclassical trade theory. The presence of σ-convergence and both absolute and conditional β-convergence is tested for on a sample of 25 European Union countries (EU25). Results confirm the existence of β-convergence of GDP per capita at purchasing power parity among EU25, but not among EU15 and CEE10 countries. σ-convergence has been confirmed among EU25 and CEE10 countries, while GDP per capita has been diverging in the EU15 group of countries. Moreover, the results reveal that recent economic crisis has reversed long-term tendencies and led to income convergence within EU15 and divergence within CEE10. During the crisis, the income differences among the EU25 countries have increased, but the scope and duration of this effect has been limited and has not affected the long term convergence path. However, the obtained long term speed of convergence is significantly lower compared with the previous researches.

scholarly journals The Big Mac Index And Real-Income Disparity

2014 ◽  
Vol 12 (3) ◽  
pp. 231 ◽  
Author(s):  
Vidya Atal
Keyword(s):  
Czech Republic ◽  
Purchasing Power Parity ◽  
Real Income ◽  
Purchasing Power ◽  
Income Disparity ◽  
Power Parity ◽  
Per Capita ◽  
The Government ◽  
Role Of The Government

The Big Mac Index was introduced to (semi-humorously) test the theory of purchasing power parity and measure the disparity in currency values. Instead, in this paper, we consider this index to find out the per capita real-income disparity across 54 countries. We find that the per capita real-income can be very low in some countries even when Big Mac burgers are very cheap, like in India. Among these countries, Hong Kongs per capita Big Mac affordability is the highest with 47 burgers daily whereas Pakistans people could afford just one a day. Additionally, we find that Russia and Chinas Big Mac affordability has been significantly increasing over the last decade, Brazils has remained more or less constant, however USAs Big Mac affordability has been falling, indicating that per capita real-income of Americans has been decreasing over the last decade. Finally, we find that increased role of the government might be negatively correlated to per capita real-income. Czech Republic has been experiencing increased Big Mac affordability as the country has been reducing the governments role; whereas Argentina has been experiencing reduced Big Mac affordability as the country has been moving left and increasing the governments power.

scholarly journals The Role of Fiscal Policy in Human Development: The Pakistan’s Perspective

2012 ◽  
Vol 51 (4II) ◽  
pp. 381-396
Author(s):  
Syed Ammad Ali ◽  
Hasan Raza ◽  
Muhammad Umair Yousuf
Keyword(s):  
Economic Growth ◽  
Human Development ◽  
Purchasing Power Parity ◽  
Labour Productivity ◽  
Physical Capital ◽  
Sustainable Growth ◽  
Standard Of Living ◽  
Power Parity ◽  
Life Expectancy At Birth ◽  
Per Capita

Human development considered as the engine of the economic growth as it improves the economy’s strength and increases the standard of living of the people, increases the choices and maximises the welfare of the society that is the prime objective of any government. The development of the human capabilities is also necessary for the sustainable growth, as there are many channels through which human development foster the economic growth. It increases the labour productivity, labour demand, employment and output. On the other hand, human capital also attracts physical capital.1 Empirically, it is very difficult to have an exact measure of human development and social welfare. Several proxies used to measure human development, e.g. GNI per capita as a measure of standard of living, Purchasing Power Parity (PPP) criterion to measure the cost of living and to measure the welfare, average year of schooling, school enrolment rate and health expenditures as a percentage of GDP to capture this composite welfare and development indicator. A fair index of Human Development Index (HDI) was developed by United Nations Development Programme in 1990. This index based on the standard of living (natural logarithm of GDP PPP per capita), access to knowledge (adult literacy rate with two-third weighting and the remaining is the gross enrolment ratio) and a healthy life (life expectancy at birth). The value of index varies from 0 to 1, lower the HDI, lesser would be the human development and welfare in the country or vice versa.

LATVIAN THEME PARK DEVELOPMENT IN KURZEME AND VIDZEME

2021 ◽  
Author(s):  
Baiba Rivza ◽  
Uldis Plumite
Keyword(s):  
Purchasing Power Parity ◽  
Rapid Development ◽  
Gdp Per Capita ◽  
The European Union ◽  
Theme Parks ◽  
Power Parity ◽  
National Economic ◽  
Per Capita ◽  
National Economic Policy ◽  
The Eu

The economy of Latvia is experiencing rapid development in the European Union and is an active participant of the United Nations and North Atlantic Treaty Organization. In recent years there have been several changes in both sectors and national economic policy. The total population in Latvia was estimated at 1.9 million inhabitants in 2019 and a total GDP per capita was 63% of the EU average, the lowest GDP per capita in purchasing power parity was recorded in Bulgaria - 46% of the EU average, Romania - 60% and Croatia - 62%. Lithuanian and Estonian GDP per capita in 2019 was accounted for 74% of the EU average. Latvia has more than 12 theme parks, but the amusement offer is small. Most of the theme parks are mostly located in Kurzeme and Vidzeme. Attraction Parks historically evolved near the big cities, where the infrastructure is highly developed. The aim is to increase the influx of tourists in regions where tourism products are amusement parks, thus developing more local businesses and the city's environment, increasing the demand for an active economic environment, but regional laws often hinder this development.

Output, Employment and Labour Productivity in Europe Since 1955

1976 ◽  
Vol 77 ◽  
pp. 72-85 ◽  
Author(s):  
D.T. Jones
Keyword(s):  
Growth Rates ◽  
Purchasing Power Parity ◽  
Slow Growth ◽  
Labour Productivity ◽  
Purchasing Power ◽  
Power Parity ◽  
European Context ◽  
Industrial Performance ◽  
Post War ◽  
The Uk

This article sets the broad facts of the industrial performance of the UK in the post-war period within a European context. Using purchasing power parity rates the relative levels of labour productivity between countries are compared, for GDP, manufacturing and six sub-sectors of manufacturing. By 1973 the UK had the lowest level amongst the countries studied. Growth rates of output, employment and labour productivity are estimated for four periods since 1955 and the relatively slow growth rates in the UK are analysed.

scholarly journals THE MAIN DIRECTIONS OF IMPROVING THE EFFICIENCY OF PRODUCTION, TRANSMISSION AND DISTRIBUTION OF ELECTRICAL ENERGY

2018 ◽  
Vol 61 (1) ◽  
pp. 28-35 ◽  
Author(s):  
I. V. Zhezhelenko
Keyword(s):  
Gross Domestic Product ◽  
Purchasing Power Parity ◽  
Power Grids ◽  
Domestic Product ◽  
Analytical Determination ◽  
Regulation System ◽  
Purchasing Power ◽  
Power Parity ◽  
Per Capita ◽  
Transmission And Distribution

The main directions of increase of efficiency of production, transmission and distribution of electric energy have been formulated. The relation between the values of electricity losses during transmission via power grids of different countries and the level of the economies of these countries characterized by the value of gross domestic product at purchasing power parity per capita has been established. In the countries with a gross domestic product at purchasing power parity per capita less than 20 thousand US dollars electricity losses during its transmission via power grids are 1.5–2.5 times more than the ones transmitted via power grids of the industrialized countries where the specified purchasing power parity is in the range of 30.4–54.5 thousand US dollars. In the countries with more developed economies the technical culture of production, transmission and distribution of electricity is higher; the modern control systems of operation modes of electrical networks are used as well as of monitoring and accounting of electricity; also there are solvent and disciplined consumers in such countries as well as clear regulatory framework and tariff regulation system. However, the process of transmission and distribution of electricity is effective if not only low relative losses take place, but the normal (contractual) requirements for carrying capacity, quality and reliability of electricity supply are provided. The possibility of analytical determination of the optimum value of reserve capacity of power plants providing the required level of reliability of the power system has been considered.

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