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Abstract

In designing the SWR the planners are faced with deciding whether to apply the system uniformly throughout the economy or whether to differentiate it, taking into consideration special conditions in individual sectors, industrial branches or even enterprises. The problem of uniformity versus differentiation touches many facets of wage (and bonus) regulation—methods of linking wages and bonuses to indicators, the choice of indicators, taxation and normatives. Up to this point the role of taxation and normatives in wage control has only been briefly discussed. The topic of this chapter will also serve as a framework for the examination of that aspect.

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Notes

  1. Its rates and progressivity were mild, and for this reason it could not be a real impediment for wage increases. See W. Jaworski et al., 1977, p. 207, and E. Moravec, Práce a mzda, no. 2, 1978.

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  2. There are, of course, other possible solutions. See also F. Kölgyesi and A. Timár, Pénzügyi szemle, no. 11, 1974.

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  3. See D. Granick, 1975, p. 268; R. D. Portes, May 1970, pp. 307–13. Y. Kotowitz, R. Portes, no. 3, 1974 and A. Timár, Munkaügyi Szemle, no. 1, 1979.

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  4. ‘This taxation system,’ writes B. Csikós-Nagy (New Hungarian Quarterly, Autumn 1974), ‘not only proved to be an efficient anti-inflationary method but in certain sections of production it represented such a severe limitation that a wage increase corresponding to the average raising of wages or representing at least a minimum wage improvement had to be made possible through tax preferences.’ (Quoted according to Radio Free Europe, 16 September 1974.)

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  5. K. Golinowski and J. Kalisiak, Gospodarka planowa, no. 7–8, 1975.

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  6. V. A. Rzheshevskii, in Teoretické základy a praxe hospodářské reformy v SSSR, 1973, pp. 152–7.

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  7. See A. Timár, Munkaügyi Szemle, no. 12, 1975, and

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  8. T. Sawczuk, Gospodarka planowa, no. 3, 1977.

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  9. B. M. Sukharevskii, in Trud i zarabotnaia plata v SSSR, 1975, p. 252.

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  10. See N. Garetovskii, Voprosy ekonomiku no. 5, 1971.

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© 1979 Jan Adam

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Adam, J. (1979). Uniformity Versus Differentiation. In: Wage Control and Inflation in the Soviet Bloc Countries. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-04892-2_6

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