ABSTRACT

Up to this point we have dealt with different aspects of wages and wage differentials in the Soviet Union. Although wages are one of the indicators of differences in the standard of living, per capita household income reflects better the level of welfare of the population. This is so because the latter category incorporates not only wages but also the social benefits in cash and in addition reflects the influence of the demographic structure of the household on income per capita (the ratio of active earners in the household to the total number of members of the household and the ratio of dependents to wage earners).