Field: Governance and social capital

Subfield: Material well-being

Details:

Gross domestic product per capita in purchasing power standard is an indicator built by Eurostat to measure the volume of economic aggregates, to compare various countries and regions, eliminating the differences in purchasing power between Member States. The purchasing power standard is a common currency that allows cross-country comparisons in terms of standard of living, as well, taking into consideration both cost of goods and services and the inflation rate. It is calculated so that a PPS equals the average purchasing power of 1 Euro.

In 2000, Romania’s GDP per capita in purchasing power standard represented 26% of EU-28 GDP per capita in purchasing power standard. In 2016, Romania’s GDP per capita in PPS grew by 21%, to 58% of EU-28 GDP per capita in PPS. Despite this increase, the development gaps between Romania and other EU countries have persisted, Romania being second to last in the EU (followed by Bulgaria).