Nominal and real income. Income indicators of the population Real incomes of the population reflect

Let's define what is income and what types of income are.

Population income is the sum of money and material goods received or produced by households over a certain period of time. The level of consumption of the population directly depends on the level of income.

The income of the population can be divided into cash and natural.

Cash income- these are incomes, which include all receipts of money to the family budget in the form of wages of employees, income from entrepreneurial activities, pensions, scholarships, various benefits, income from property (interest on deposits, rent, dividends on securities, income from real estate) , fees, etc.

In-kind income is income, which includes products produced by households for their own consumption.

Income can also be classified as:

• aggregate, representing the total amount of cash and in-kind income from all sources of their income;
• nominal, characterizing the level of cash income regardless of taxation and price changes;
• disposable, nominal income minus taxes and other obligatory payments, that is, funds used by the population for consumption and savings;
• real, characterizing nominal incomes, taking into account inflationary increases in prices and tariffs;
• real disposable cash income, which is determined based on the cash income of the current period minus mandatory payments and taxes adjusted for the consumer price index.

The main income of workers is wages, which make up 70% of workers' income. Distinguish nominal and real wages.

Nominal wages- these are the funds that the employee receives (or that are credited to him) in monetary terms for his work for a certain period of time. The nominal wage is fixed in the employment agreement (contract) concluded between the employee and the employer.

Real wages reflects the purchasing power of the money received and represents the nominal wages adjusted for the consumer price index. If the rate of increase in nominal wages is lower than the rate of growth in the level of prices for goods and services, then real wages go down. Therefore, with an increase in nominal wages, it is necessary to take into account the rise in prices, otherwise the increase in the size of wages will not carry a stimulating function.

The distribution of income occurs between the owners of economic factors of production - labor, land, capital, entrepreneurial abilities. However, if employees participate in the profits of the enterprise, then they also receive part of the factor income.

In addition to wages, the monetary income of the population includes income from entrepreneurial activity (profit), income from property (interest, dividends, rent), social transfers (pensions, benefits, scholarships) and other receipts (insurance claims, winnings, income, received by way of inheritance, etc.).

The structure of income of the population of the Russian Federation under a planned economy differs significantly from the structure of income under market conditions of management. A positive manifestation of the market economy is the growth of income from property and income from entrepreneurial activity, although they are received by a smaller part of the population. During the period of the planned economy of the USSR, there was a high percentage of income from wages and social payments to the population, which indicated a high social protection of workers, but income from property and entrepreneurial activity was extremely small, since under the current legislation, almost all types of such activities were considered illegal.

The ratio in the structure of monetary incomes of the population to the share of wages and social transfers plays an important role in motivating workers. If the structure of monetary income is dominated by wages or income from entrepreneurial activity, this indicates the growth of entrepreneurial initiative and economic independence. The trend towards an increase in social transfers in the structure of monetary income can lead to a psychology of social dependence among a part of the working-age population.

Differences in per capita income are called income differentiation... Income inequality is common in any economic system. However, with an increase in the level of socio-economic development of the country, indicators of income differentiation decrease.

In modern Russia, the differentiation of incomes of the population is significantly higher than in economically advanced countries, and tends to further increase. This is largely due to the fact that many enterprises that were formerly city-forming and often the only sources of income for many citizens turned out to be uncompetitive and closed. At the same time, a social stratum emerged, living and acting according to the laws of the market, “fit into market relations” and having immeasurably higher incomes. But as more and more wider strata of the population are involved in market relations, as well as the expansion of state support for socially vulnerable segments of the population, the size of inequality should decrease.

The degree of income inequality is reflected by the Lorenz curve (see figure). The abscissa represents the percentage of households, and the ordinate represents the percentage of total income received. The Lorenz curve is the cumulative distribution of the population and the corresponding income.

Lorentz curve: OCA - full equality; ODA - after taxes; OEA - before taxes

Absolutely even distribution of income (complete equality) is represented in the figure by one line OCA, which indicates that any percentage of households receives a corresponding percentage of income. The area between the perfect equality line and the Lorenz curve ODA reflects the degree of income inequality. The wider this area, the greater the degree of income inequality.

To overcome social inequality in most countries of the world, proportional-progressive taxation of income is used. Until 2001, Russia also had a proportional-progressive income tax. Since 2001, personal income tax (PIT) has been levied at a flat rate of 13%. On the one hand, this, of course, is not bad, since the majority of the country's population is still close to the poverty line, but on the other hand, the abolition of the proportional-progressive tax is contrary to the democratic principle, which says: "He who earns more, pays more."

Progressive taxes reduce social inequality in society... This principle of justice, formulated by A. Smith, is clearly demonstrated by the depicted Lorentz curve. The figure shows that proportional-progressive taxes make the distribution of income more even.

In world practice, the following coefficients are used to quantify the level of income inequality:

• fund ratio- the ratio between the average values ​​of the incomes of the compared groups or their shares in the total income;
• decile factor- the ratio between the average income of 10% of the most affluent and the average income of 10% of the least affluent citizens;
• population income concentration index, or Gini coefficient ranging from 0 to 1; the closer this coefficient is to one, the stronger the inequality in society.

Gross income is dominated by cash income, representing the amount of money that a household has to cover its expenses. Cash income is generated from the following sources:

1) the remuneration of household members received in the implementation of labor agreements upon employment, as well as bonuses, permanent wage increments, payments by employers for socio-cultural purposes: benefits, payment for transport services, vouchers, etc .;

2) income from entrepreneurial activity in the form of profit, dividends, interest on securities and deposits, rent, etc .;

3) state social payments (transfers), pensions, benefits and other payments from the budget and off-budget social funds.

4) other receipts (insurance claims, income from the sale of property, etc.)

The relationship between these three sources changed sharply: in the conditions of the administrative-command system with state ownership, the main income of households was wages and payments from the budget. With the development of market relations, the role of the second source began to increase. However, even today, wages remain the main income. The value of a particular type of source for a particular family is determined by its social composition. For example, there are households where wages make up almost 100% of monetary income, for example, a working married family without children. There are households where cash income is generated only through government social transfers. For example, retired spouses raising young grandchildren. The structure of household income is influenced by the place of residence - in the city or in the countryside.

In Kazakhstan, cash income from employment in total cash income was 81% in 2010; of the volume of income from labor activity, income from employment accounted for 70.9%; from self-employment and entrepreneurship – 9.5%; social transfers - 15.5%; property income - 0.7%; material assistance from relatives and other income - 3.4%.

In addition, households' monetary incomes are replenished from in-kind receipts (for example, products produced in subsidiary plots or services provided for their own consumption, as well as goods received as incentives from employers or the state).

Income from wage employment - wage; all types of incentive pay, wage supplements; fees; awards; payments: from profit, sick leave, severance pay; compensation for medical expenses received from the employer, in cash and in kind.

Self-employment income- income from entrepreneurial activity in cash and in kind.

Social transfers- pensions, scholarships, allowances, compensation payments, additional benefits, charitable assistance.

Property income- dividends and winnings on shares and other securities; interest on deposits, for the use of amounts provided in the form of debt; winnings on deposits; income from the rental of housing, vehicles, equipment, land.

Sales revenue- income from the sale of real estate, various products and goods; food products obtained from a personal backyard (subsidiary farm); provided on the side of various services.

Other sources of income- alimony, receipts from relatives and friends.

Disposable cash income- cash income minus mandatory payments and contributions.

Real cash income- cash income, taking into account changes in consumer prices.

- cash income minus mandatory payments and contributions, taking into account changes in consumer prices.

Cash income can be nominal(before taxes and mandatory payments) and available(after making these payments). Real cash income–Money income excluding changes in consumer prices. Calculated by dividing monetary income by the consumer price index. Real disposable cash income–Money income minus mandatory payments and contributions, excluding changes in consumer prices.

The classification of incomes is based on different characteristics.

1. Depending on the source of income, they are divided into:

Salary and additional payment for labor activities;

Business income; income from valuable

The rent for the property transferred for temporary use

Insurance compensation;

Income from the sale of property;

Payments from public funds (budgets, extra-budgetary

government funds);

2. Depending on the uniformity of income, incomes are distinguished:

Regular (wages, rent, etc.);

Accidental or one-time (gifts, income from the sale of property

3. Depending on the reliability of receipts, incomes are distinguished:

Guaranteed (state pensions, state income

war loans);

Conditionally guaranteed (wages);

Non-guaranteed (fees, commission).

In Kazakhstan, there is a significant differentiation in per capita income used for consumption. The ratio of their maximum and minimum values ​​by region per year: in 2005 - 4.8 times, in 2010. - 3.7 times. The differentiation of the subsistence minimum is much less, although it is also quite large - 1.4 times.

The growth of income used for consumption was in 2010. - 22.5%. However, the value of the subsistence minimum in 2010. increased by 6.5%, that is, the real increase in income used for consumption amounted to 16%.

In 2005, the average monthly nominal cash income per capita amounted to 15.8 thousand tenge, in 2010. - 40.5 thousand tenge, which is 2.5 times higher than in 2005. Real cash income in 2010 increased by 10.2% over the year. The average monthly nominal wage per employee in 2005 amounted to 34.06 tenge, in 2010 77.5 thousand tenge, an increase of 14.6% compared to the previous year, and the real one - by 7.0%. The wages of agricultural workers remain constantly low - 41.3% of the national average; salaries of workers in the financial sector are 2.0 times higher than the average republican level; in industry - 1.3 times; differences in the gender aspect persist: the average salary of men is 1.3 times higher than that of women. The gap by region is also significant - 3.2 times

Due to the specifics of economic development, there are differences in the level and structure of incomes of urban and rural households, the monetary incomes used for consumption of the urban population is 1.45 times higher than that of the rural population (30.5 thousand tenge versus 21.0 thousand tenge). tenge); poverty is more widespread in rural areas - the share of the population with incomes below the subsistence minimum, in cities - 3.7%, in rural areas - 10.1%.

In 2005, incomes exceeded the subsistence minimum by an average of 2.6 times, in 2010 - 3 times.

Considering that labor incomes make up almost three quarters of all monetary incomes of the population, and among them more than two thirds are the incomes of employees, it should be recognized that unemployment can play a significant role in the amount of income. Calculations show that there is a noticeable correlation between the unemployment rate and the poverty level of the population relative to the subsistence minimum in terms of the correlation coefficient. A 1 percentage point reduction in unemployment results in a 3 percentage point reduction in poverty.

Course work

in the discipline "Statistics"

« Statistical Study of Population Incomes "

Introduction …………………………………………………………………… ..3

Theoretical part ……………………………………………………… .. 5

1. The concept of living standards of the population ………………………………… ... 5

2. Statistics of population incomes …………………………………………… .5

2.1. Types and sources of income of the population ……………………………… 5

2.2. Population income indicators and indicator

living wage ……………………………………………… ..6

2.3. Methods for Studying the Dynamics of Real Incomes

population ………………………………………………………………… 10

2.4. Methods for studying income differentiation and

poverty rate ……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

Calculation part ……………………………………………………………… 17

Analytical part …………………………………………………… ... 33

Conclusion ……………………………………………………………… .. 37

List of used literature ……………………………………… .39

Introduction

The processes of formation and use of income of the population are the receipt at its disposal of resources in cash and in kind, obtained through labor activity, the use of property in the form of transfers and their direction to meet personal needs, production goals and accumulation.

In countries with economies in transition, studies of population income are extremely relevant. This is due to the fact that in the conditions of socio-economic transformations affecting all aspects of the life of society, objective information about the living conditions of the population, effective consumer demand, the degree of social stratification and the level of poverty, the cost of social programs is especially required.

For countries with a large territory and federal structure, statistical assessments of the purchasing power of the incomes of the population of the territories are of significant importance for the development of economic policy measures.

The statistics of the population's income is of great importance, first of all, for the analysis of the standard of living, the development of an adequate social and tax policy. However, its significance is not limited to this, since it provides information for studying the influence of household income on other macroeconomic processes, for example, for studying the factors that determine the saving rate and affect investment activity in the economy. Thus, income statistics are essential for governments making decisions on a wide range of economic policy issues, as well as academics doing research in this area.

In the section of the statistical methodology of this course work, a number of issues related to the analysis of inequality in the distribution of income between individual groups of the population will be disclosed and the indicators necessary to assess the differentiation of the population by living standards will be considered.

In the calculation part of the work, we will calculate the average per capita income for the studied households, the indicators of variation, the structural characteristics of the distribution series; according to the available data on the distribution of the total cash income of the population of the region, we will determine the income concentration index of A. Gini and construct the Lorentz curves; we will determine the analytical and average indicators of a number of dynamics, we will build a graph of the dynamics of the average per capita income of the population; according to the data on the dynamics of the incomes of the population of the region, we will calculate the nominal and disposable cash incomes, as well as the indices of the purchasing power of the ruble, real disposable incomes and the real wages index.

In the analytical part of the work, we will carry out an automated statistical analysis of the dynamics of the average per capita income of the population of Russia per month for 5 years using a package of applied programs for processing MS Excel spreadsheets in a Windows environment.

Theoretical part

1. The concept of living standards of the population

Studying the standard of living of the population is one of the main tasks of socio-economic statistics. The definition of the category of living standards is still a subject of debate among economists and statisticians. The standard of living should characterize the degree of satisfaction of the various needs of the population not only for material benefits, but also for non-material services. Therefore, the standard of living can be defined as a complex socio-economic category, reflecting the degree of satisfaction of the population's needs for material benefits and intangible services, as well as the conditions available in society for the development and satisfaction of these needs.

2. Statistics of income of the population

2.1. Types and sources of income of the population

The central place in the system of indicators of living standards is occupied by indicators of income of the population. Income is understood as the sum of money and other goods obtained as a result of the distribution of the product produced in society among the owners of the factors of production. There are the following main types of income of the population:

· Income from employment (wages);

· Income from personal subsidiary plots;

· Pensions, allowances, scholarships, subsidies for vouchers to sanatoriums, rest homes, dispensaries, children's health camps, for the maintenance of children in preschool institutions;

· Income from other sources, in particular from property and business.

Incomes of the population have both monetary and in-kind forms. The overwhelming majority of income goes to the population in the form of money. In-kind income is income from personal subsidiary plots, farmers' income, part of the wage fund, and most of the charitable assistance.

When studying the income of the population, it is of great importance to group it according to sources of livelihood and income. This grouping covers the entire population, regardless of age. At the same time, the following main sources of income are distinguished:

· Wages and other payments that employees receive for their work (in cash and in kind) - for example, bonuses, commissions, vacation pay, various allowances, etc .;

· Income from individual entrepreneurial activity;

· Payments and benefits from public consumption funds (transfers - pensions, scholarships, allowances, etc.), special funds, annual payments for life insurance;

· Property income (eg payments for the use of financial assets, buildings, land, copyrights, patents, etc.);

· Income from personal subsidiary plots, orchards, vegetable gardens (net production value).

Other sources of income are also possible (winning the lottery, prize for winning a competition, competition, etc.).

2.2. Indicators of income of the population and the indicator of the subsistence level

To measure the level and structure of the population's income, a number of indicators are used that characterize them in various aspects.

One of the indicators of income is the volume personal income of the population (LDN)- all types of income of the population received in cash or in kind.

Aggregate (total) incomes of the population (SDI) are determined by summing up personal income and the cost of free and preferential services provided to the population at the expense of social funds.

The total cash income of the population of Russia in 2005 amounted to 13667.8 billion rubles. and increased in nominal terms by 1.25 times over the year. Data reflecting the change in their structure for the period from 2000 to 2005. are shown in Table 1.

Table 1

The structure of cash income of the population of Russia

(in% of total)

Cash income, total
including:
salary
social transfers
property income
business income
other income

Source: Russian Statistical Yearbook. -M., 2006 - P.173

Analysis of the data in the table shows an increase in the share of social transfers in monetary income from 2000 to 2002, and then its decrease. At the same time, there is an increase in income from property with a simultaneous decrease in income from entrepreneurial activity.

The named indicators, calculated in the prices of the current period, are called nominal income... They do not determine the real content of income, that is, they do not show how much material goods and services are available to the population at the current level of income.

Subtracting taxes, compulsory payments and contributions to public organizations (NP) from the personal nominal income of the population (NP), we find personal disposable income (PDI) population - that part of personal income that their owners direct to consumption and saving:

LRD = LDN - NP

The share of this part in the total volume will be:

To assess changes over time in the purchasing power of income in aggregate form, we use real income indicators population. Real total income (LAR) of the population are defined as personal disposable income with the addition of the cost of free or provided on preferential terms services to the population at the expense of state and non-state sources, adjusted for changes in consumer prices. Real disposable income (RRD) population - personal disposable income adjusted for changes in consumer prices. It reflects the maximum cost of goods and services that could be purchased by the population for their current income, based on the prices of the base period, without resorting to using their accumulated financial and non-financial assets and not increasing their financial liabilities.

Average per capita cash income population is calculated by dividing the total amount of monetary income for the year by the average annual population.

Average per capita nominal monetary incomes of the population of Russia per month, thousand rubles:

Source: Russian Statistical Yearbook.-M., 2006.-P.171

Practical calculations of nominal and disposable cash income will be presented in the calculation part of the course work (Task 4, p. 28).

In a statistical study of the level and boundaries of poverty, first of all, an income boundary is established that ensures consumption at the minimum acceptable level, that is, the cost of the subsistence minimum is determined, with which the actual incomes of certain segments of the population are compared. Living wage represents a cost estimate of the minimum set of foodstuffs necessary to preserve human health and maintain its vital activity, as well as the costs of non-food products and services, taxes and mandatory payments, based on the share of costs for these purposes in the budgets of low-income groups of the population; used as a criterion of poverty in characterizing the processes of socio-economic differentiation.

Currently, along with the general subsistence minimum, it is determined physiological minimum, which is the total cost of goods and services, which can be considered as the lower limit that allows you to maintain physical condition, but only for a certain time. The living standards of consumption include only expenses for food, basic sanitation and hygiene items, medicines, utilities and other obligatory payments. As an indicator of changes in the cost of vital food products per person per month, 19 essential food products are selected, the daily energy value of which is 2236.7 kcal. If the population does not have enough income to meet the minimum needs, this means that the country lives below the poverty line.

Information on the dynamics of the subsistence minimum in Russia, the number and share of the population with lower incomes is given in Table 2.

table 2

The dynamics of the subsistence minimum in Russia

Source: Russian Statistical Yearbook. –M., 2006. - P.171

In 2004, the income deficit in Russia amounted to 225.6 billion rubles. or 2.1% in relation to the total amount of cash income; 25.2 million people or 17.6% of the total population lived below the poverty line. The composition of this group is far from homogeneous, while part of the population (according to an estimate of at least 5%) has incomes below the physiological minimum (among them, the beggars themselves, who, according to the methodology of the International Labor Organization (ILO), include persons whose total income is 2 times lower than the subsistence level. minimum).

2.3. Methods for Studying the Dynamics of Real Incomes of the Population

Not every rate of growth of money income in the presence of inflation in the economy can indicate an improvement in the standard of living of the population.

In order to eliminate the factor of price changes leading to a change in the purchasing power of money, nominal and disposable money incomes of the population are calculated in real terms, adjusted for consumer price indices (consolidated and sub-indices for individual commodity groups).

The calculation of indicators in real terms is carried out by dividing the corresponding indicators of the current period by the consumer price index (CPI of the ruble), or by multiplying by the purchasing power of money index (PSI).

Real disposable income (RRD) population are calculated by the formula:

RRD = (LDN - NP) I,

where I = = is the index of the purchasing power of money

Similarly calculated real total income (LAR) population - as total income (SDI), adjusted for the purchasing power of money:

ROD = SDN I =.

To characterize the dynamics of these indicators, corresponding indices are built, for example, real disposable income index :

I = = = I I I

Consequently, the rate of change in real disposable income depends on three factors: the rate of growth of nominal income, changes in tax rates, and changes in the purchasing power of money.

The change in the real disposable cash income of the population of Russia is characterized by the following I:

Dynamics of real money incomes of the population of Russia

(in% to the previous year)

Source: Russian Statistical Yearbook. - M., 2006 .-- p. 36

So, in 2000 there was an increase in real incomes, then in 2001 a decrease, in 2002-2003. growth again, and in 2004-2005. decline again.

Practical calculations of the indices of the purchasing power of the ruble and real disposable income will be presented in the calculated part of the course work (Task 4, p. 29).

2.4. Methods for Studying Income Differentiation and Poverty Levels

The basis for measuring the economic differentiation of the population is the analysis of inequality in the distribution of income between individual groups of the population. To assess the differentiation of the population in terms of living standards, the following indicators are used:

· Distribution of the population by the level of average per capita income;

· Coefficients of income differentiation of the population;

· Distribution of the total volume of monetary incomes among different groups of the population;

· Income concentration coefficient (Gini index);

· The size of the population with incomes below the poverty line, the poverty rate.

Average value of income is defined as follows:

x - the middle of the i-th interval of the distribution of the population by income;

The frequency of the i-th interval.

To study the features of population differentiation by income level, the structural characteristics of distribution series are used: fashion, median, quartiles, deciles, and others.

Modal value of income (Mo) calculated by the formula:

M = x + i where

x- the lower border of the modal interval;

i

Median Income (Me) Is the income level dividing the income distribution series into two equal parts: half of the population has a per capita income that does not exceed the median income, the other half has an income that is not less than the median. The calculation of this indicator is determined by the formula:

M = x + i where

x- the lower border of the median interval; i S- cumulative frequency of the interval preceding the median; is the frequency of the median interval.

The following estimates can give a structural characteristic of the population's income:

· Quartiles of distribution - divide the entire population into 4 parts equal in volume;

· Quintiles of distribution - divide the population into 5 equal groups;

· Deciles - divide the totality into 10 equal parts.

The degree of population differentiation in terms of average per capita income is estimated using income differentiation ratios... There are two differentiation indicators:

· stock differentiation coefficient ( TO f ) Is the ratio between the average incomes of the compared groups of the population (usually these are the average incomes received from 10% of the population with the highest and lowest incomes):

· decile coefficient of income differentiation ( TO d ) , which shows how many times the minimum income among the 10% of the richest population exceeds the maximum income among the 10% of the poorest population; it is calculated by comparing the ninth and first deciles:

Practical calculations of average income, fashion, median, first and ninth deciles, as well as the decile coefficient of income differentiation will be presented in the calculated part of the course work (Task 1, p. 18).

The tool for analyzing the concentration of income of the population is Lorentz curve and calculated on its basis income concentration index (Gini coefficient) .

Lorentz curve establishes a correspondence between the population and the amount of total income received. To build it, the population is divided into groups that are equal in size and differ in the level of per capita income. Groups are ranked in terms of per capita income. For each group, the frequencies are determined - the shares in the total population (, where is the population of the group; is the total population) and in the total income (where is the average income in the group), and on their basis, the accumulated frequencies. With an even distribution of income, 1/10 of the population with the lowest incomes will have 10% of the total income, 1/20 of the population - 20% of the total income, etc. In Figure 1, the uniform distribution of income is represented by a straight line connecting the origin A and point C.

The line corresponding to the actual distribution of income deviates from the line of equal distribution the more, the more significant the inequality in the distribution of income.

Total income

(accumulated frequencies)

Income concentration coefficient (Gini coefficient) allows you to analyze the degree of concentration of income among different groups of the population and to quantify the unevenness of their distribution.

The Gini coefficient is determined by the formula:

The share of the population belonging to the () group in the total population;

The share of income concentrated in i- th group of the population;

n- the number of social groups;

cum y- cumulative (accrued) share of income.

The Gini coefficient varies from 0 to 1. With a uniform distribution, it tends to zero, and the higher the polarization of income in society, the closer it is to unity.

The practical calculation of the income concentration index A. Gini, as well as the construction of the Lorenz curve will be presented in the calculated part of the course work (Task 2, p. 23).

Based on data on the income of the poor, the following indicators are calculated: the average per capita income of the poor, income deficit, poverty rate, poverty depth index, poverty severity index.

Income deficit is estimated as the total income of the poor, which is short of the subsistence level.

A general view of the formula for poverty measures was proposed by Foster, Grier and Thorbecke. The formula looks like this:

where

Р - indicator (measure) of poverty;

but- parameter showing the type of poverty indicator;

Z is the poverty line for the j-th household, defined as the average per capita subsistence minimum for the household, calculated taking into account the age and sex composition of the household;

Y is the average per capita income of the j-th household with an income level below the subsistence minimum;

q is the number of poor households;

H is the total number of households;

j is the number of each household.

Using this formula, three indicators of poverty can be determined:

1. Poverty ratio ( R about ) , or the share of poor households in their total number:

;

2. Poverty Depth Index ( R 1 ) :

;

3. Poverty severity index ( R 2 ) :

.

Calculated part

Exercise 1

Based on the materials of a 1% mechanical sample of households in the region, the following data on the distribution of households by average per capita income were obtained:

Table 1

According to the survey, determine:

1. The structure of households by per capita income.

2. Average per capita household income.

3. Indicators of variation: variance, standard deviation, coefficient of variation. Assess the quality (homogeneity) of the population.

4. Fashion, median, first and ninth deciles.

5. Calculate the decile coefficient of income differentiation.

6.With a probability of 0.954:

a) possible limits of the average per capita income of households in the region;

b) the possible limits of the proportion of households with an income of less than 2,000 rubles.

Draw conclusions.

Decision.

1. Let us determine the structure of households by average per capita income by dividing the number of households in each group by the total number of households in the sample and multiplied by 100%. We put the results in the table:

table 2

Household structure by per capita income

The table shows that a large share of households in the sample is made up of households with average per capita monetary incomes from 1,000 to 2,000 rubles. per month - almost 60%.

2.3. Let us determine the average per capita household income in the sample and the indicators of variation:

Let's compose a calculation table:

Table 3

Estimated Values ​​Needed to Calculate Mean and Variance

Average per capita cash income per month,	Number of households	Middle interval,				(X-Xm) ^ 2 * f
Up to 1000		500
1000-2000		1500
2000-3000		2500
3000-4000		3500
over 4000		4500
Total:		-				1506840000

rub.,

those. the average per capita income in the sample was 1,885 rubles.

The variance of a feature is the mean square of the deviations of the options from their mean value, in our case the weighted variance for the variation series is equal to:

The standard deviation is equal to the square root of the variance: rub.

Determine the coefficient of variation,%:

The coefficient of variation is used as a characteristic of the homogeneity of the population. The population is considered quantitatively homogeneous if the coefficient of variation does not exceed 33%. In our case, V51.5%, therefore, this set of households is quantitatively heterogeneous.

4. Determine the mode, median, first and ninth deciles by the formulas for the interval series:

M = x + i where

x- the lower boundary of the modal interval (the interval with the highest frequency is called modal);

i- the value of the modal interval;

Modal interval frequency;

The frequency of the interval preceding the modal;

The frequency of the interval following the modal.

The interval with the boundaries of the average per capita income of 1000-2000 rubles in this distribution is modal, since it has the highest frequency. Then the mod is equal to:

Median M:

M = x + i where

x- the lower border of the median interval (the median is the first interval, the accumulated frequency of which exceeds half of the total frequency sum);

i- the value of the median interval;

S- cumulative frequency of the interval preceding the median;

The frequency of the median interval.

The median is the interval with the boundaries of 1000-2000 rubles:

rub.

To calculate the first and ninth deciles for an interval variation series, formulas for calculating the median are used, only in this case, instead of the median interval, intervals are used, in which there are variants that cut off 10% of the number of frequencies at different ends of the distribution series.

To calculate the first and ninth deciles, we will use the formulas:

,

,

where is the lower boundary of the interval containing the first decile (the interval is determined by the accumulated frequency, the first exceeding 10%);

The lower limit of the interval containing the ninth decile (the interval is determined by the accumulated frequency, the first exceeding 90%);

The size of the decile interval;

Accumulated frequency of the interval preceding the interval containing the first decile;

The same for the ninth decile;

The frequency of the interval containing the first decile;

The same for the ninth decile.

Let's calculate the first and ninth deciles.

The first decile is in the range of 0-1000 rubles, the accumulated frequency of which is 184 people, and the ninth decile is in the range of 3000-4000 rubles, the accumulated frequency of which is equal to 1520 households. Hence the lowest incomes are equal:

rub.

The highest earnings are equal:

rub.

5. Let's calculate the decile coefficient of income differentiation of the population according to the formula:

times.

The decile coefficient of income differentiation of the population shows that the average per capita monetary income, above which the income of 10% of the population (high-income group), in the analyzed period, exceeded the income level 3.9 times, below which the income of 10% of the population (low-income group).

6.a) Determine with a probability of 0.954 the limits of the average per capita income of households in the region:

When calculating the sampling error for the average per capita income, we use the formula:

;

Or 1% on condition; - general average; - sample mean; - sample variance of the same feature.

Therefore, we substitute the previously obtained values ​​into the formula:

; ;

Marginal sampling error for the mean with mechanical selection:

The normalized deviation (“confidence factor”) depends on the probability with which the marginal sampling error is guaranteed (P = 0.954).

According to the table, P = F (t) = 0.954, therefore t = 2.

At t = 2, with a probability of 0.954, it can be argued that the difference between the sample and general indicators will not go beyond the limits.

The marginal sampling error allows you to determine the limiting values ​​of the characteristics of the general population and their confidence intervals for the mean:

;

;

The sample average is equal to 1885 rubles. Let's calculate the boundaries:

With a probability of 0.954, it can be argued that the average per capita household income will be in the range from 1836.8 to 1933.2 rubles.

b) Let us determine the possible limits for the proportion of households with an income of less than 2000 rubles.

The specific weight or sample rate (w) is calculated by the formula:

The marginal sampling error for the share is determined by the non-repeat selection formula:

Substituting the obtained values ​​into the formula, we get:

The general share (p) is calculated by the formula:

We calculate the boundaries within which the general share will be based on the double inequality:

;

Substituting the values, we get:

, or

Thus, with a probability of 0.954, it can be argued that the proportion of households with an income of less than 2,000 rubles will be in the range from 66.5% to 71.1%.

Assignment 2

There is data on the distribution of the total cash income of the region's population,%:

Table 4

For the base and reporting year:

a) determine the indices of concentration of A. Gini's income;

b) build Lorentz curves.

Draw conclusions.

Decision.

a) To find the income concentration indices, we use the formula:

Let's compose a calculation table to find the corresponding amounts:

Table 5

	Social population	population,	Share in total The volume of cash income,	Estimated indicators
Basic
Reporting
				The Lorenz curve illustrates the increasing unevenness in the distribution of the total volume of cash income in the reporting year compared to the baseline. Thus, the richest group of the population concentrated 47% of income in the reporting year against 42% in the base year, and the share of the poorest group in the total income increased from 5.8% to 6.2%. Assignment 3 In the region, the average monthly cash income per capita in the first half of the reporting year is characterized by the following data: Table 6 According to a number of dynamics, determine: 1. Chain and basic: a) absolute gains; b) the rate of growth and growth; 2. The absolute content of 1% gain. Present the results in the table. 3. Average indicators of a number of dynamics: a) the middle level of the series; b) average monthly absolute growth; c) average monthly rate of growth and gain. Build a graph of the dynamics of the average per capita income of the population. Give an analysis of the indicators and draw conclusions. Decision. 1.2. Let us calculate the chain and basic indicators of a number of dynamics of average monthly incomes per capita by months, as well as the absolute content of 1% growth. The designations are accepted: Indicator for the considered (th) time interval; Indicator for the previous (th) time interval; Indicator for the base time interval. chain, rub.	Baseline absolute growth, rub.		basic,			growth, rub.

3. Let's calculate the average annual indicators of a number of dynamics using the following formulas:

a) Determine the average level of the series using the arithmetic mean:

b) Average absolute increase in cash income

rub.

c) Average growth rate

or 105.4%

average growth rate

Let's build a graph of the dynamics of the average per capita income of the population.

Fig. 2. Dynamics of the average monthly income of the population

Analyzing the obtained indicators, we can say that in the first half of the year there was a gradual increase in the average per capita income of the population, i.e. In this series of dynamics, there is a positive development trend, as evidenced by the average growth rate of 5.4% (or an average absolute growth of 24 rubles) per month, as well as positive chain growth and growth rates.

Assignment 4

There is the following data on the dynamics of incomes of the population of the region, mln.

Table 8

Consumer prices in the reporting year increased by 16% compared to the baseline.

Define:

1. For each year:

a) nominal cash income;

b) the structure of nominal cash income;

c) disposable cash income.

The calculation results are presented in the table.

Draw conclusions.

Decision.

1.a) Let's define the nominal income of the population as the sum of all monetary income for each year:

for the base year we have: 374 million rubles. (see table)

for the reporting year we have: 503 million rubles. (see table).

The absolute increase in nominal cash income in the reporting year compared to the base year amounted to 129 million rubles. (503-374).

b) Let's define the structure of the nominal money income of the population:

Table 9

The structure of money income of the population

c) The disposable cash income of the population for each year will be found as the difference between nominal personal income (NAP) and the payment of mandatory payments and contributions:

LRD = LDN-NP

for the base year we have: LRD = 374-29 = 345 million rubles.

for the reporting year we have: LRD = 503-45 = 458 million rubles.

The absolute increase in disposable cash income of the population in the reporting year compared to the baseline amounted to 113 million rubles.

2. Determine the purchasing power index of the ruble for each year using the formula:

However, first you need to find the index of nominal wages using the formula:

or 130.9%.

Then the real wage index is:

or 112.8%.

This means that in the reporting year, nominal wages increased by 30.9%, while real wages increased by only 12.8% compared to the base year.

Analytical part

1. Statement of the problem

The study of the average per capita income of the population is highly relevant. The distribution of the population by the size of the average per capita income is the main characterized differentiation of the population by the level of material well-being. In addition, this indicator characterizes not only the economic role of the population and the degree of dependence of the economy on its behavior, but also the ability of the population to meet their needs, the cost of social programs, that is, at the same time it is one of the important indicators of the standard of living.

The purpose of the analytical part of the work is to study and compare the average per capita money income of the population per month for 2000-2004.

According to the data on the average per capita income of the population of Russia per month for 5 years, presented in Table 1, we will reveal the general trend in the change in monetary income, freed from the action of such a factor as inflation. To do this, we will calculate the following indicators:

Absolute growth,

· growth rate,

Growth rate,

Absolute value of 1% increase,

· The average level of the series for the period, absolute growth, growth and growth rates.

Table 1

Average per capita monetary income of the population of Russia per month

You have probably noticed that in different years for a certain amount of money you can afford to purchase a different amount of goods and services. For example, in 2010, you could buy 5 kg of meat for 1,000 rubles, and in 2017, the money for you is much less, although the amount of money has not changed. All professional economists are familiar with this paradox. And that is why they distinguish between real and nominal income. Below we will find out what types of income are, and also find out what the dynamics of the real incomes of the population of Russia is.

Types of income

Income is understood as the totality of cash payments, goods and services that a person receives over a certain period of time (for the billing period, one year is most often taken). Income has the following structure:

• Cash income. The sources of cash receipts do not matter - it can be wages, various government benefits and payments, rent, an increase in savings in the bank, income from the sale of agricultural products, cash gifts, and so on.
• Income in kind. Income in kind refers to the totality of goods that a person receives directly, and does not buy for money. These can be agricultural products (vegetables, fruits and other products that a person himself or collectively produced as a result of his labor), various gifts, material assistance, and so on.
• Indirect income. Indirect income refers to income that a person receives free of charge, using various institutions of social infrastructure. This can be treatment in a hospital, getting an education, raising a child in kindergarten, and so on.

Economists distinguish between nominal and real income.

By nominal income is meant the totality of cash receipts for a certain period. It is also important to remember that nominal income is calculated excluding taxes.

Why, then, is the term “real income” introduced? And how does the real income differ from the nominal one?

The fact is that in different periods of time a person can receive the same nominal income, but for this income he can afford a different amount of goods and services. In simple words, the real income of the population is the aggregate of monetary receipts, taking into account certain factors that affect the amount of goods and services that can be purchased for these incomes.

The following factors influence the level of real income:

1. Price index. Due to inflation, every year there is a depreciation of money, which leads to a decrease in the number of goods and services that a person can buy for a fixed amount of money.
2. Tax level. Every month most of the citizens of the Russian Federation make tax payments to the regional and federal budgets, but the tax rate may change. Therefore, due to an increase or decrease in taxes, the amount of money that a person actually receives in his hands after paying all payments to the budget may change.
3. Payment for mandatory services. Basically, this group includes utilities.

You also need to understand that often these factors directly affect each other.

For example, when taxes are raised, many entrepreneurs will raise prices for their goods and services so as not to go bankrupt. This will lead to an increase in prices, which will significantly affect the amount of goods and services that a person can purchase for a fixed wage.

Another example is tax cuts. The fact is that by nominal income is meant the totality of money excluding taxes. With a decrease in the tax rate, a person on hand will receive a large amount. The difference is to allow the purchase of additional goods and services, that is, in fact, real incomes will increase with tax cuts.

Remember that real incomes of the population are always less than nominal at a fixed level of profit, since in all modern states, money depreciates due to inflation.

Real income dynamics

To understand the dynamics of the real incomes of the population of Russia, it is necessary to consider the issue of the ratio of the growth of inflation and the growth of real wages. Why is this question so important? The fact is that in the media you can often hear that recently wages have increased, which means that the standard of living has increased. Indeed, if we turn to statistics, we can find that over the past 10 years wages have been growing in almost all sectors of the economy.

But does this mean that the standard of living has increased?

This question is controversial and economists have no definitive answer. However, we can assume the following:

If nominal wages grow faster than inflation (with a fixed level of taxes and equal cost of utilities), then the real level of income increases.

Let's look at an example. Let's say that the level of taxes in the country has not changed over the year and prices for utilities have not risen, and real wages have increased by 10%. Inflation for the year was 5%. Then the real growth of wages was 10% - 5% = 5%.

In this case, the country is experiencing economic growth, the population has more money. Surplus money is used either for new spending (buying things or services). Also, people can put money in a bank, which in turn will give this money as credit loans to other people for business development, which will create new jobs, increase the variety of goods on the market, and so on.

If nominal wages grow more slowly than inflation, or they grow at the same level (with a fixed level of taxes and equal cost of utilities), then the real level of income of the population decreases or remains unchanged.

Let's say that in one country there were no changes in taxes and no rise in utility prices during the year, but real wages increased by 5%, while in another country the same thing happened, but real wages increased by 3%. Let's also assume that inflation in both countries was 5%. Then the real growth of wages in the first country amounted to 5% - 5% = 0%, and in the second, the growth of real wages will be 2% - 5% = -3%.

In this case, in the first country, the real income of the population has not changed compared to last year. And in the second country, they decreased. With a general rise in wages, the population becomes poorer.

When the tax rate changes, real incomes also change. For example, with an increase in the tax rate, there is a double reduction in wages for employees - firstly, now the employee transfers a large amount of money to the budget, and secondly, entrepreneurs, having lost part of their profits, usually cut the salaries of their employees.

How have the real incomes of Russians changed recently? Numerous statistical studies show the following:

• In the nineties, real incomes collapsed. The peak of the collapse occurred in 1998 - then the real wages collapsed by 49% compared to the Soviet period. However, one must always remember that in the nineties, economic accounting was rather poorly conducted, and there were also many clandestine industries. Therefore, a large number of salaries were not taken into account, so it is quite possible that the collapse was still somewhat less.
• In the zero years, there is a gradual real growth in income. The 2000s also saw gradual macroeconomic stabilization. Real incomes grew by an average of 3-4% per year, although not all economists agree with this estimate. In 2008, the global economic crisis began, which led to a moderate drop in real incomes of the population.
• In the tenths, due to various factors (the consequences of the global economic crisis, sanctions, and some others), real incomes began to decline again. Experts call different numbers of decline, but most economists are inclined to the version that the rate of decline in real incomes of Russians in 2016 was 5% per year, and over the past 5 years, real incomes have decreased by a total of 15-20%.

Conclusion

Now let's summarize the above.

The totality of goods, services and money that a person receives over a certain period is called income. Income is formed both from cash receipts that a person stores or spends on certain goods and services, and from natural goods. Another source of income is various free services provided by the state.

The purely monetary part of income is called nominal income. Nominal income is calculated excluding tax deductions to the budget. Economics claims that for a fixed amount of money at different times, you can buy a different amount of the same goods and services. This is due to inflation and changes in the tax burden. To emphasize this feature, economists have coined the term "real income". Real income is the nominal income, taking into account the price index and tax deductions.

When comparing living standards, many journalists often compare only the size of salaries. However, such a comparison will not be very correct, since both salaries and the level of prices for goods and services may change at different times. To avoid this disadvantage, it is necessary to pay attention to the growth of real wages, since they more correctly reflect the well-being of the population.

Real wages in the Russian Federation at different times were quite different from each other. In the nineties, real wages fell quite strongly compared to the Soviet period, but in the zero years they began to rise again. After the global economic crisis and sanctions, real wages began to decline again, although the decline compared to the 1990s is not that significant.

Social instability in society often leads to all sorts of conflicts.

One of the tasks of the state is the prevention of these conflicts and the maximum elimination of social inequality.

In order to determine the level of inequality, the state analyzes the amount of income of the population with the aim of further redistributing it between all levels of society.

The concept and types of income of the population

Cash incomes of the population appear in the form of a set of all material and intangible values ​​reproduced within their own households during a certain period of time. They also include funds that have been received from other external sources.

This indicator plays an important role in identifying consumption level of citizens of a particular country.

Since the real level of profitability directly reflects the level of consumption of each person, it is used to compare the well-being of the population of different countries, cities and citizens with different living conditions. Most often, several economic indicators of profitability are used for this, namely, real and nominal.

All incomes of the population are divided into several main types:

• cash- consist of all kinds of income to the family budget exclusively in the form of cash;
• natural... This category of income includes products manufactured at their own expense;
• nominal income- make up the sum of money receipts of the population. They are calculated excluding taxes and price surges for goods and essential services;
• real income- are essentially identical to the nominal ones. Their difference is that the calculation takes into account the effect of taxes and the level of prices (inflation);
• cumulative- income, which consists of the above types of income (in kind and cash);
• real disposable... This type is understood as current cash income, minus all taxes and regular obligatory payments, and also takes into account the rise or fall of prices.

Since wages are always the main income of the majority of citizens, wages are divided into nominal and real.

Nominal - funds received by the employee for a specified period of time. Its value is indicated in the employment contract between the employer and the employee.

Real wages - shows the aggregate of all funds received over a period of time, taking into account changes in consumer prices. It should be borne in mind that when the rate of growth of nominal wages is less than the rate of increase in the general level of prices, then in this case the ability of wages to cover costs will gradually decrease.

What is nominal income

Definition nominal income refers to absolutely all types of monetary receipts of citizens.

It consists of a set of material goods and funds received by the budget for a certain time.

Sources, with the help of which the nominal income is formed, there are a lot, and they can be very diverse. But, the main ones can be distinguished:

• profit received as a result of business activities;
• salary;
• rent received by property owners;
• social transfer payments;
• payments received under government programs;
• profit resulting from an increase in the value of securities (bonds, debt obligations, shares);
• funds received from bank loans, loans;
• lottery winnings;
• payments in the form of compensation;
• income from the sale of your own things.

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What is real income

Based on the fact that real income characterize the value that is derived by dividing the nominal income by the inflation rate in the present time and after deducting taxes, then it can still be reflected in the aggregate of goods and services purchased for the amount of funds equated to nominal income.

Sources of the incomes of these two main types are identical.

Distinctive features

The considered indicators differ in that the nominal income reflects the amount of money that the family receives during the month, and the real income reflects the totality of goods and services that the family can afford to purchase during this period. Therefore, when prices rise, the nominal income will be higher than the real one, and on the contrary, the real income will be higher when the prices go down.

Understanding the importance of monetary relationships in the daily activities of people is also very important. To increase the nominal income, you need to have an idea of ​​the existence of preferential goods and services.

There is also an increase in qualifications in their work activities, which leads to an increase in cash receipts in the form of wages.

The amount of total cash receipts from residents to the state budget directly depends on the amount of material wealth that each family has in stock.

These benefits include: real estate, land, transport, and other values. All these components significantly increase a person's financial situation. An important value is assigned to monetary assets that are in the use of each member of society. Real incomes are directly related to the well-being of the population.

To raise the level of nominal income, residents of the country sell their services to the labor market, conduct business activities or sell household products.

Real income may rise, as mentioned above, also due to falling prices and taxes. In addition, raising real income is the task of the country's government.

It is implemented through effective management of the state financial system and the correct conduct of monetary policy.

The higher the existing rate of inflation, the less goods and services a person can afford to purchase from the income received. The sharpest and most embarrassing decline in real income is causing hyperinflation... It leads not only to an unexpected drop in profitability, but also to the rapid destruction of the standard of living of the entire population.

The value of the income level of the population for the state

As a result, we can conclude. The real income of residents is one of the most important indicators for the government of the country. It helps to determine the level of material security of the population.

In addition, this indicator can be used to influence the productivity growth of the working population. Therefore, research on new ways of calculating indicators of living standards is constantly being conducted.

It is worth highlighting the ability of the size of the real income of society to influence the social climate within the state. The amount of material wealth among the population by its growth motivates the improvement of the general standard of living of the entire country. For this, only one condition must be observed - an equal distribution of real incomes among all citizens.

Real income, as an economic indicator, allows you to most effectively adjust the amount of profit received by all segments of the population, as well as develop new methods to increase the standard of living in the country. Indeed, the higher the financial situation of society, the higher and more stable the level of financial receipts to the state budget.

The incomes of the country's residents at the present time are not at a high enough level to stabilize the economic and social situation in the state. But the government pays special attention to the development of bills, plans and all kinds of methods that will contribute in the near future to an increase in the general standard of living for all segments of the population.

For information on incomes of the population and their types, see the following video lecture:

Nominal and real income

In any economic activity, both in production and in the family budget, not only the size of the available financial income is important, but also the amount of goods and services that can be purchased for this amount of money.

In economics, there are concepts of nominal and real income. What it is, what other types of profitability are there, how nominal incomes differ from real ones - every modern person should have an idea of ​​all this.

Definition

Income is the total cash payments, goods and services that an individual or legal entity receives for a certain time (most often, when calculating, a period of time of one year is taken).

Cash income of the population is a set of tangible and intangible values ​​produced by their own household in a specific time period.

In addition, these include funds received from external sources.

Income is classified into several main types:

Income Explanation of the meaning of the term

Cash	The sources of financial receipts can be considered wages, benefits and payments from the state, rent, growth in savings in the bank, profit from the sale of agricultural products, cash gifts, etc.
Natural	These are aggregate goods received directly, and not purchased for money: agricultural products (vegetables and fruits grown independently), valuable gifts, material assistance, etc.
Indirect	Obtained free of charge in social institutions: hospital treatment, education, etc.
Nominal	Are made up of the sum of all cash receipts. The calculation does not include taxes and price surges for goods and services.
Real	Calculated taking into account taxes and inflation (price level)
Aggregate	Consist of natural and cash receipts
Real disposable	These are current financial profits minus all taxes and regular mandatory payments, taking into account the rise or fall of prices

Nominal income

Nominal income refers to absolutely all receipts of monetary amounts for a certain period of time and consisting of the total amount of material goods and money that replenished the budget. The sources that form the nominal budget can be very different. The main ones are:

• profits from doing business;
• wage;
• rental payments received by the owner of the property;
• social payments;
• payments received under state programs;
• profit that was formed with an increase in the value of securities (shares, bonds);
• funds borrowed from a bank;
• lottery winnings;
• compensation payments;
• income from the sale of personal belongings.

Real income

Unlike nominal, real income is all financial receipts, taking into account the factors that affect the ability to purchase a certain amount of services and goods that are bought for this money. That is, this is the value obtained by dividing the nominal income by the current inflation rate. The sources of real income are identical to the nominal ones.

Real profitability is expressed in natural form by the benefits and goods that can be purchased at the real price. It is an indicator of the subsistence potential of a certain source of profit and is regulated by current prices. The real income of the population is considered to be part of the national income.

To determine the level of real incomes, it is necessary to combine all monetary and in-kind incomes of citizens. This amount includes: salaries, pensions, royalties and other sources of income.

The amount of deductions to the state budget, voluntary contributions to various organizations, contributions and payments for utilities are deducted from the resulting indicator.

The result will be the level of actual income that people live on at a given time.

The value of the income of the population for the country

The real income of the population is one of the most important indicators for the government of the country, with the help of which the degree of material security of all citizens is determined. In addition, this indicator can influence the growth of workers' productivity. Therefore, new methods for calculating the indicator of the standard of living are regularly researched.

The value of the real profitability of society affects the social climate in the state. With the growth of material benefits of the population, the general standard of living of the state improves. For this it is necessary to observe the only condition - to evenly distribute real incomes to the entire population of the country.

Real income is an economic indicator that allows you to effectively adjust the quantitative profit that all segments of the population receive and develop new ways to improve the standard of living in the state. The higher the material condition of society, the more stable and large-scale payments will be made to the state budget.

The ratio between real and nominal income is expressed by the formula: ДР = ДН / Ц. Where:

1. DR - real profitability.
2. DN - nominal yield.
3. C is the absolute price level.

Real income dynamics

In order to determine the dynamics of the real incomes of citizens, for example, in Russia, it is necessary to calculate how much the inflation rate differs from the growth in real wages.

The mass media often write that the salaries of the population have increased, therefore, the standard of living has also increased.

If we turn to statistics, indeed, over the past decade, salaries have been growing in many areas of the economy.

Does this mean that the standard of living has also increased? Economists are debating this issue, and there is no definitive answer to it yet. If the growth of nominal wages is faster than inflation (with fixed tax payments and stable utility costs), the real expression of profitability increases.

How to calculate real wage growth? For example, tax payments and utility prices did not increase in the country over the year, while real wages rose by 10%. Annual inflation is 5%. In this case, the difference in real wage increases will be 5% (10% - 5%). This means that the economy is growing and the population has more money.

Savings are spent on purchases or deposited in bank accounts. The bank will issue these funds as a loan to other individuals to expand their business, which will provide the population with new jobs and fill the market with various goods, and so on. Savings of the population are:

• Personal. This is part of the family's savings after tax payments, which is not spent on buying consumer goods.
• Forced. The state restricts citizens in spending their money by compulsory subscription to government loans, increases consumer taxes and mandatory payments under the pension program.

When the growth of nominal wages is slower than inflation or is at the same level (with fixed taxes and a stable price of utilities), real incomes of the population will decrease or remain unchanged.

Attention! When tax rates change, real income also changes. When taxes go up, workers' wages are cut twice. First, by paying the increased tax, the employee gives more money to the budget. Secondly, entrepreneurs who have lost part of their profits most often lower the salaries of their employees.

Nominal income

Nominal income- the amount of funds (money) that a person receives in the form of wages, profits or rent.

Nominal income is the total amount of money at the disposal of the recipient.

Nominal income is a profit, expressed in cash equivalent, and represents funds without taking into account the inflationary component, pricing policy and purchasing power of funds at a particular point in time.

Nominal income from assets (securities) - interest paid by the issuer. This type of profit differs from real income in that it does not take into account the main economic factors. As a rule, such funds have a monetary value.

Nominal income: essence and place in the classification

In most cases, the definition of “nominal income” refers to the income earned by ordinary citizens during their lifetime. The concept of total profit includes the sum of material goods and funds received and produced in a specific period of time. In this case, the role of the profit obtained is determined by the level and activity of its consumption.

The parameter of monetary income includes all income from business, wages, scholarships, pensions, benefits, dividends from bonds, rent, profit from the sale of assets, agricultural products, real estate, various products, and so on. At the same time, the level of profit of each of the citizens of society is a key indicator of well-being, a high level of spiritual and material life.

The presence of a certain income allows you to meet basic needs, maintain a high level of health, receive education and rest. Among the many factors affecting the amount of income, one can single out the size of wages, the amount of profit on securities, the cost of prices, market saturation, and so on.

To assess the dynamics and level of income of the population, you can use the indicators of disposable, real and nominal income. Each of them has its own nuances:

1. Nominal income (designated as NT) - the total amount of funds that are received by specific individuals in a certain period of time. According to the nominal income, you can determine the level of an individual's profit without taking into account taxation.

2. Disposable income (denoted as DI) - income that can be used for personal savings and consumption.

Disposable income is lower than nominal, because mandatory payments and taxes are deducted from it, that is, funds allocated for savings and consumption.

To measure the dynamics of disposable income, the parameter of real disposable income is used, which is calculated taking into account the index in the price sphere.

3. Real income (denoted as RI) - the total volume of services and goods that can be purchased with the available funds within a certain period, that is, taking into account the change in the price level.

One of the main tasks for an individual is to maximize the level of profit, which is the basis for the activity of an active market participant, his incentive and impetus for development.

At the same time, a high nominal income is beneficial not only to a person, but also to society and the state. The growth of profits ultimately makes it possible to meet the needs of all spheres, including production.

All segments of the population are covered (including low-income citizens).

The basic tenet of market strategy is the fact that not everyone can be wealthy in a society. The main thing is that there are no poor people. At the same time, the recipients of profit are always concerned about three main points - the source of receipt, the justification of taxes imposed on profits, and the efficiency of using the funds received.

In fact, nominal income is a monetary value of the results of the work of a citizen or a company as an economic entity. Economic theory pays special attention to this point. In it, income is an amount of money that is regularly and legally placed at the disposal of a person.

Nominal income usually has a monetary value. This means that the condition for obtaining it is mandatory participation in public life (primarily in the economic sphere). Each person is committed to doing something useful for society. At the same time, profit is the result of an individual's participation in economic life, because money can only be obtained from other people.

Violation of the dependence of nominal income on the market sphere occurs only under one condition - a person cannot take part in the economic process.

It is on his behalf that the government pays various benefits.

Nominal income is the result of useful actions of a person (entrepreneur, citizen) in relation to other people. Consequently, the level of profit depends on the coincidence of demand and the offered goods (services). At the same time, the very fact of the interaction of supply and demand is a mechanism for the formation of nominal incomes in the country's economy.

Nominal Income: Features of Formation and Causes of Inequality

As mentioned, this type of profit is generated from different sources. This includes financial receipts from government programs, factor profit, and so on.

The money of hired citizens, transferred for the performance of certain work, also plays an important role in the formation of the profit of the entire group.

This can include wages, labor factors, profit from the operation of the enterprise, income from bonds, and so on.

State aid payments play one of the main roles in the formation of nominal income. These funds cover the needs in the social sphere, optimize medical care, organize the payment of benefits to the unemployed, and provide assistance to low-income strata of the population.

It is important to understand that the ratio of wages and transfer payments has a direct impact on motivation. Moreover, the more nominal income a person has, the more actively society develops.

In the case of the dominance of wages, such qualities as initiative and responsibility appear. If payments under state programs increase, then reverse processes begin - prerequisites for dependency, abandonment of production activities, arise.

It becomes easier for a person to live on everything that is ready than to go to work.

The nominal income received through the monetary system can be represented as:

- payments for government programs;

- profit from the growth in the value of debt securities (bonds), growth in the price of shares, winnings and redemptions on debt obligations;

- bank loans issued for housing construction, loans to members of consumer communities, and so on;

- lottery wins;

- payment of various compensations in case of damage or injury;

- temporarily free capital resulting from the acquisition of credit goods.

Other financial receipts include the income of the population received from the sale of things through buying outlets, as well as commission shops.

In addition, the nominal income includes (in addition to net profit) also mandatory payments. The latter are carried out through the financial system through fees and taxes. With the help of such payments, the state can receive additional resources.

Further, through the distribution of capital, the country provides assistance and support to low-income families. To avoid a shortage of funds, the government can set a ceiling on the level of income from which tax is not collected.

At the same time, overpriced rates are set to increase the incoming profit.

The sources of income for nominal income are very diverse. But, despite this, the main components are profit from business activities, receiving wages, social transfers, and so on. At the same time, the problem of inequality in the Russian Federation has become really painful in recent years. Sociologists, economists and other minds of the country regularly conduct public discussions with the aim of finding a way out.

Inequality in nominal incomes occurs due to a number of factors, depending on the geopolitical, social and economic situation. The gap between rich and poor is growing every year.

This, in turn, leads to an increase in social tension. In the mass consciousness of citizens, the stereotype of equality is still preserved, so the "transitional" period is being postponed with great problems.

Little time has passed in Russia for people to adapt and come to terms with social gaps.

The main causes of inequality in nominal income include:

- human capital (experience, education, personal qualities); - heredity (provision of resources, giftedness, etc.); - interest in work; - presence (absence) of discrimination;

- different values, level of luck, and so on.

Nominal income is ... What is nominal income: definition, its essence, significance for society, formation

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What is nominal income? Description and definition of the concept.

Nominal income- This is income, which is calculated in financial net terms, excluding inflation factors, price levels, purchasing power of money.

The nominal income from the maintenance of securities consists of interest, which is paid by the organization that issued them. This percentage is calculated from the par value of the security.

This income differs from the real one in that it does not take into account the economic factors that affect it. Nominal income is an absolute monetary value.

Let's take a closer look at what nominal income means.

Essence of nominal income

Typically, nominal income is defined as the income earned by individuals throughout their lives. This includes the total amount of goods and services produced and received over a given period of time. The level and activity of consumption determine the role of the profit received.

Real cash income includes profit from doing business, salaries, scholarships, pensions, benefits, dividends from securities, income from the sale of agricultural products and real estate. In society, the level of profit of an individual citizen testifies to his well-being, as well as the satisfaction of his spiritual and physical needs (health, education and recreation).

Many factors affect the amount of income, these are: the size of the salary, the amount of profit from bonds, the state of prices, the fullness of the market, and more.

The value of an individual's nominal income for society

To assess the level of income of the population, it is necessary to take into account the indicators of disposable, real and nominal income. They all have their own differences:

• Nominal income (accrued income) is the total amount of funds received by individuals in a specific period of time. Nominal income is determined by the level of profit of a particular person, excluding the payment of necessary taxes;
• Disposable income (net income) is funds that you can use for your own purposes or savings. Usually disposable income is below nominal, as tax deductions have already been made;
• Real income (purchased income) is the total volume of goods and services that can be purchased with the available disposable income in a certain period of time, taking into account the change in the price level.

The higher the nominal income, the more profitable its owner and the state as a whole. The greater the profit, the better the needs of the vital activity of the individual, the population and the production capabilities of the state are satisfied. As a result, the benefits are felt by all social strata of society.

It follows from this that the nominal income is monetary value the results of the work of a citizen or production, as a subject in the field of economics. Often, nominal income is expressed in monetary terms. Therefore, in order to receive it, it is necessary to participate in public life, since money is received only from other individuals.

However, there is a category of the population that is provided not through personal participation in the economic process, but through the entire society as a whole. On behalf of this society, the state pays them social benefits. This category includes refugees, people with disabilities, disabled or unemployed citizens.

Since nominal income is the result of the beneficial actions of a certain person in relation to other objects of society, the level of profit depends on the coincidence of demand and the offered products of production.

Formation of nominal income

The sources of the formation of nominal income are very different. This can be both wages for work at the enterprise and wages of employees. We are also talking about the profit received from the possession of securities or the lease of property.

However, one of the main roles in the formation of nominal income is played by state aid payments. These funds cover the needs in the social sphere. This includes education, medicine, unemployment benefits, assistance to low-income sectors of society.

The size of the nominal income has a huge impact on the development of society. For example: the size of the salary significantly affects the diligence at work, responsibility and work discipline. If the level of state aid is unreasonably high, then society loses interest in active labor activity. Everything that is ready is always easier to live on.

With respect to the monetary system, the nominal income received can be divided as follows:

• payments for state programs;
• profits from the growth in the value of securities and repayment of loan obligations;
• bank loans issued for housing construction, loans to members of consumer communities;
• lottery wins;
• payment of various fines or duties;
• temporarily free funds received as a result of the purchase of a credit product;
• other income derived from the sale of personal movable property (through second-hand shops or the Internet).

In addition, compulsory payments, through taxation, are ranked as nominal income. Using these payments, the government generates additional resources and distributes capital.

From this capital, the state makes various social benefits. In order to avoid a shortage of funds, the state can set the threshold level of income that is not taxed.

At the same time, overpriced rates are set to increase the incoming profit.

Nominal income and social inequality

Despite such a number of sources of nominal income in some countries, there is strong social inequality. This is influenced by a number of factors that depend on the economy of a particular state, the social political situation.

In listing the reasons for inequality in nominal income, the following can be distinguished:

• human capital (experience, education, professionalism);
• heredity (provision of resources, giftedness);
• personal interest in work;
• the presence or absence of discrimination.

We briefly examined what nominal income is, its sources and formation, as well as its significance for society. Leave your comments or additions to the material.

Everything about the nominal and real income of the population in simple words

You have probably noticed that in different years for a certain amount of money you can afford to purchase a different amount of goods and services.

For example, in 2010, you could buy 5 kg of meat for 1,000 rubles, and in 2017, the money for you is much less, although the amount of money has not changed. All professional economists are familiar with this paradox.

And that is why they distinguish between real and nominal income. Below we will find out what types of income are, and also find out what the dynamics of the real incomes of the population of Russia is.

Types of income

Income is understood as the totality of cash payments, goods and services that a person receives over a certain period of time (for the billing period, one year is most often taken). Income has the following structure:

• Cash income. The sources of cash receipts do not matter - it can be wages, various government benefits and payments, rent, an increase in savings in the bank, income from the sale of agricultural products, cash gifts, and so on.
• Income in kind. Income in kind refers to the totality of goods that a person receives directly, and does not buy for money. These can be agricultural products (vegetables, fruits and other products that a person himself or collectively produced as a result of his labor), various gifts, material assistance, and so on.
• Indirect income. Indirect income refers to income that a person receives free of charge, using various institutions of social infrastructure. This can be treatment in a hospital, getting an education, raising a child in kindergarten, and so on.

Economists distinguish between nominal and real income.

By nominal income is meant the totality of cash receipts for a certain period. It is also important to remember that nominal income is calculated excluding taxes.

Why, then, is the term “real income” introduced? And how does the real income differ from the nominal one?

The fact is that in different periods of time a person can receive the same nominal income, but for this income he can afford a different amount of goods and services. In simple words, the real income of the population is the aggregate of monetary receipts, taking into account certain factors that affect the amount of goods and services that can be purchased for these incomes.

The following factors influence the level of real income:

1. Price index. Due to inflation, every year there is a depreciation of money, which leads to a decrease in the number of goods and services that a person can buy for a fixed amount of money.
2. Tax level. Every month most of the citizens of the Russian Federation make tax payments to the regional and federal budgets, but the tax rate may change. Therefore, due to an increase or decrease in taxes, the amount of money that a person actually receives in his hands after paying all payments to the budget may change.
3. Payment for mandatory services. Basically, this group includes utilities.

You also need to understand that often these factors directly affect each other.

For example, when taxes are raised, many entrepreneurs will raise prices for their goods and services so as not to go bankrupt. This will lead to an increase in prices, which will significantly affect the amount of goods and services that a person can purchase for a fixed wage.

Another example is tax cuts. The fact is that by nominal income is meant the totality of money excluding taxes. With a decrease in the tax rate, a person on hand will receive a large amount. The difference is to allow the purchase of additional goods and services, that is, in fact, real incomes will increase with tax cuts.

Remember that real incomes of the population are always less than nominal at a fixed level of profit, since in all modern states, money depreciates due to inflation.

Conclusion

Now let's summarize the above.

The totality of goods, services and money that a person receives over a certain period is called income. Income is formed both from cash receipts that a person stores or spends on certain goods and services, and from natural goods. Another source of income is various free services provided by the state.

The purely monetary part of income is called nominal income. Nominal income is calculated excluding tax deductions to the budget.

Economics claims that for a fixed amount of money at different times, you can buy a different amount of the same goods and services. This is due to inflation and changes in the tax burden.

To emphasize this feature, economists have coined the term "real income". Real income is the nominal income, taking into account the price index and tax deductions.

When comparing living standards, many journalists often compare only the size of salaries. However, such a comparison will not be very correct, since both salaries and the level of prices for goods and services may change at different times. To avoid this disadvantage, it is necessary to pay attention to the growth of real wages, since they more correctly reflect the well-being of the population.