Dynamic purchasing power development
The development of a person’s purchasing power, calculated as the change in standardised household income, adjusted for price change.
Dynamic purchasing power may fluctuate for various reasons. For example, income may change due to period wage increases, a job promotion, accepting (change) of a job and retirement. Changes in household composition (children leaving home, partners separating etc.) also affect household income. All these changes are taken into account in the dynamic purchasing power development.