Social inclusion in Romania

Abstract

For the period of the 1989-1990 the people of Romania experienced economic hardship and poverty due to the many effects of economic transition. The level of medium poverty in 2004 was 18.8%, whereas the severe poverty rate was 5.9 percent. The drastic reductions in the number of jobs, the deterioration of the real level of salaries, the high taxation have been important motivation for the reduction in incomes. Amplify in the living cost in the period 1997- 2000 was not accompanied by a necessary increase in incomes, implicitly leading to severe poverty. The real value of the net average salary went down until 2000 when it reached a minimum level for the period analyzed, 87.8percent as compared to 1995. After this date the trend has been upwards, in the years to come, and in 2003 it reached a level very close to that of year 1995 with 99.8%.