The Income - Psychologically and Commercial Mobile of Saving Process

This paper presents one of the influencing factors of the process of saving by households. Specifically, the saving most powerful causative factor is the income (understanding the income as net nominal wages), followed by consumption and investment. Throughout this article are analyzed the average nominal wage developments, consumption patterns and the impact of tax and social pressure on the saving process. It was found that the tax burden has a significant impact on consumption and saving respectively. High taxes, for example, reduce the present value of disposable income and thus reduce savings. Consumption and saving response to changes in tax system depends to a large extent on that the tax change is considered to be temporary or permanent. The conclusion that emerges is that the connection that is established between fiscal and social pressure and the savings is regressive. Regarding the income, as a determinant of the saving process, it was found that its level and structure during 1990-2011 were strongly influenced by the phenomenon that took place in the labor market. Thus, an aim sought was shaping the evolution of fluctuating incomes over a period of 21 years. Therefore, we performed a comparative presentation of their development in rural and urban areas, leading to the conclusion that household income had a growing trend, but due to price increases, wage indexation proved to be insufficient.