SOCIO-ECONOMIC  POSITION  OF  HOUSEHOLDS  IN  TRANSITIVE  SOCIETIES Cover Image

Sociálno-ekonomická pozícia domácností v tranzitívnych spoločnostiach
SOCIO-ECONOMIC POSITION OF HOUSEHOLDS IN TRANSITIVE SOCIETIES

Author(s): Ľubica Azudová
Subject(s): Economy
Published by: Ekonomický ústav SAV a Prognostický ústav SAV

Summary/Abstract: The paper deals with the situation of households in broader socio-economic rela-tions. As households represent in theory, and in practice too, an association of produc-ers and consumers, they create through their economic and consumer activities an inter-section of economic and social development. They are thus not only a passive reflection of the economic reality, yet they actively play an important role of the socio-economic movement. Households through their own private consumption constitute an incentive for economic dynamics. One can therefore talk about a certain subsistence dependence of household consumption on production (economic growth) and at the same time about a certain functional dependence of economic growth on household consumption. Simi-larly, in classic and neoclassic model considerations too, the same importance in na-tional economy is ascribed to enterprises and households, where both are performing economically equivalent activities. Classic and neoclassic theoretical substantiation of the importance of private consumption in the whole aggregate demand reflects real causal link between household decisions on their private consumption and the real eco-nomic growth. High share of private consumption in the used GDP in developed coun-tries confirms the influence of household demand on the course of an economic cycle. Provision of an economic development leading towards the economic growth is an actual spotlight in transition economies. Thus the exploitation of all accessible macro-economic motivations aiming at the economic growth is inevitable, at the same time, however, they must be considered as a certain communication channel between citizens and the government. One should consider this communication in the sense of positive or negative stimulation of their economic activities and merit assessments, and ask whether they motivate the preservation of the fairness principle. This principle is meant in a sense of whether each member of the society occupies social position achieved by his own endeavour. As parameters of external and internal incentives that influence behaviour of eco-nomic subjects are fairly variable, wider space is opened for the understanding of eco-nomic growth not only as a result of purely economic and pragmatic factors, but also of merit systems and institutional frameworks in a society. As households represent a certain microeconomic parallel of macroeconomic chan-ges, the pursuit of fast economic growth should, in the end, manifest itself also by cor-responding positive changes of their living conditions, which might motivate them to identify themselves fully with changes that occurred and conduced them to accept market merits.

  • Issue Year: 49/2001
  • Issue No: 01
  • Page Range: 158-184
  • Page Count: 27
  • Language: Slovak