The Interdependence between the Level of Domestic Prices and the Price Level in the Developed Countries
Angelica BACESCU-CARBUNARU () and
Monica CONDRUZ-BACESCU ()
Additional contact information Angelica BACESCU-CARBUNARU: The Bucharest Academy of Economic Studies, Romania
Monica CONDRUZ-BACESCU: The Bucharest Academy of Economic Studies, Romania
The article deals with the controversial issue of price harmonization practiced in the European Union. Therefore, we take into account the differences between national economies of member countries and the time difference of these economies in EU, a thing that imposes the establishment of different harmonization periods. It is also raised the issue of price harmonization: by increasing the prices of commercial and non-commercial products in developed countries or by increasing the prices in less developed countries. There are also analysed different concepts and solutions, with their advantages and disadvantages, reaching the conclusion that prices, salaries and profits on the domestic market of a country have to be adapted to the reality in each country.