English, Article edition: Income Policy During the 90-ties: State, Effects and Long-term Perspective Vassil Tsanov

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Physical Description
  • article
Language
  • English

Edition details

Title
  • Income Policy During the 90-ties: State, Effects and Long-term Perspective
Author
  • Vassil Tsanov
Physical Description
  • article
Notes
  • The article does an overall analysis of the income policy during the 90-ties. Because of the fact that income is one of the main macroeconomic stabilising factors, the implemented policy has predominantly restrictive character. The Bulgarian economy entered into a deep and prolonged income crisis, as a result of the restrictions and of the unfavourable internal and external economic environment. The measurements of the income crisis are identified and investigated. The deepness and the scope of this crisis are expressed by a considerable decrease of the real incomes, an increase of the differentiation of earnings, lagging of minimal wages in respect of inflation, formation of unfavourable income structure and others. The economic and social effects are connected with a wide expansion of poverty, decrease of consumption and savings, demotivation of the labour force, a weak dependence of the working salary on economic results, stimulation of the informal economy and others. On this basis, conclusions and proposals for changes of the income policy are made, so as to solve the accumulated problems and answer the challenges of Bulgaria’s accession to the EC.
  • RePEc:bas:econth:y:2001:i:1:p:3-22
Language
  • English
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