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Relationships between Average Wages in the Manufacturing Sector and Economic Indicators of the Manufacturing Sector in the Region of Visegrad Group Countries

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  • Ladislav Suhányi

    (Faculty of Management and Business, University of Presov, Konstantínova 16, 080 01 Presov, Slovakia)

  • Alžbeta Suhányiová

    (Department of Business Management and Environmental Engineering, Faculty of Mechanical Engineering, Technical University of Kosice, Letná 9, 042 00 Kosice, Slovakia)

  • Jaroslava Kádárová

    (Department of Business Management and Environmental Engineering, Faculty of Mechanical Engineering, Technical University of Kosice, Letná 9, 042 00 Kosice, Slovakia)

  • Jaroslava Janeková

    (Department of Business Management and Environmental Engineering, Faculty of Mechanical Engineering, Technical University of Kosice, Letná 9, 042 00 Kosice, Slovakia)

Abstract

The role and position of the manufacturing sector changes over time. Its importance in the sustainable growth of the economy, innovations, trade, reducing energy demand, and environmental problems is currently being shown again. The study underlines the significance and importance of the manufacturing sector in the economy of countries, and the generally applicable economic principles are explicitly examined in regard to the manufacturing sector. It examines whether selected economic indicators of the manufacturing sector in the region of the Visegrad Group countries can affect the level of average wages in the sector. Wages represent a key determinant of attractiveness, as well as the potential to increase the standards of living and the long-term sustainability of a given sector. The selected economic indicators for the period 2008–2019 concerning average wages in the manufacturing sector were: FDI Flow, GDP, labour productivity, employment, and the number of hours worked in the manufacturing sector. The source of secondary data was the OECD database. A multiple regression model was used and tested. The suitability of the proposed model was tested using the ANOVA method. A significant effect was shown in the case of two of the examined variables, namely the GDP and employment in the manufacturing sector. Based on the findings of the study, it can be assumed that the sectoral GDP can positively affect average wages in the sector and the level of employment in manufacturing can negatively affect them. The summary of implications and proposals indirectly supports the need to develop and introduce innovations, new technologies, automation, and robotization, as well as for further implementation and support of Industry 4.0 and 5.0.

Suggested Citation

  • Ladislav Suhányi & Alžbeta Suhányiová & Jaroslava Kádárová & Jaroslava Janeková, 2023. "Relationships between Average Wages in the Manufacturing Sector and Economic Indicators of the Manufacturing Sector in the Region of Visegrad Group Countries," Sustainability, MDPI, vol. 15(5), pages 1-19, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:5:p:4164-:d:1080109
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