Law No. 1 Of 30 March 1988 On The Improvement Of The Economic And Financial Mechanism Through Improvement Of The System Of Price Formation

Original Language Title:  LEGE nr. 1 din 30 martie 1988 privind perfecţionarea mecanismului economico-financiar prin îmbunătăţirea sistemului de formare a preţurilor

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$20 per month, or Get a Day Pass for only USD$4.99.
Law No. 1 of 30 March 1988 on the improvement of the economic and financial mechanism through improvement of the system of price formation for the ISSUING NATIONAL ASSEMBLY and published in OFFICIAL GAZETTE No. 18 of April 2, 1988 in order to improve efficient officials economic-financial mechanism, the entire system of self-financing and self-management and self-financing, muncitoreasca units through improvement of the system of price formation.
National Assembly of the Socialist Republic of Romania adopts this law.

Article 1 the producer prices are formed on the basis of planned costs as the maximum limit that cannot be exceeded, plus rentabilitati differentiated according to the destination of the products, as follows: a) 6-12 per cent on average 8 per cent for products intended for domestic consumption;

b) for products intended for export, return referred to. There shall be added to) 10 percent for foreign-currency convertible and relationship with 6 per cent for socialist countries clearing relationship.

For raw materials, as well as for horizontal industry, profitability is 6 per cent, plus 6 percent if the products concerned are intended for indirect export.
Products intended for domestic consumption and export indirectly, which currently have a yield of up to 6 per cent, retain the current profitability.

Article 2 the new prices of production, established under the present law, approved by Decree of the State Council.

Article 3 the benefits achieved on account of additional reduction of costs of production over the load available to remain integrally planned that undertaking in the first year and 50 percent in the next four years and are used according to the law.
Any increase in the benefit gained as a result of price rises over the State budget.

Article 4 the differences between current prices and new prices constitute income of the State budget in the form of tax on the movement of goods and shall be paid by the recipient of products concerned Socialist.

Article 5 evaluation of production goods, as well as other derivatives, to make indicators, both in plan and execution, based on new production prices differentiated according to the destination of the products.
The evolution of the main indicators of economic and social development shall be determined on the basis of current prices and comparable.

Article 6 provisions of this law apply in 1988, experimental starting date of 15 April 1988. The conclusions drawn from experimental work will be subject to debate, the great National Assembly of the Socialist Republic of Romania by late 1988.