reallønn

Reallønn refers to the purchasing power of wages after adjusting for changes in the price level. It measures what workers can actually buy with their earnings once inflation is taken into account, and it is used to assess changes in living standards over time.

Real wage is typically calculated by adjusting nominal wages with a price index, such as the consumer price index (CPI). A common interpretation is that real wage equals nominal wage divided by the price level (often expressed with a base year) and, for growth, real wage growth equals nominal wage growth minus inflation.

The concept is key for understanding standard of living, wage negotiations, and economic policy. Analysts use real wages to compare purchasing power across time, regions, or countries, and to analyze how wages keep up with increases in the cost of living. Comparisons should account for differences in price indices, tax systems, transfers, and non-wage benefits.

Limitations include dependence on the chosen price index and potential biases in measurement. Real wages do not capture all welfare aspects, such as housing costs, quality changes in goods and services, or non-monetary benefits. They also do not reflect changes in work hours or employment conditions. Consequently, real wage data are most informative when interpreted alongside taxes, transfers, and other components of household income, as well as broader indicators of living standards.

Statistikk- og økonomiske byråer and international organizations publish real wage data and related indicators for Norway and other economies.