Candidate of Economic Sciences, Associate Professor of Ufa State Aviation Technical University

The article is devoted to the actual topic of changing labour income, which is one of the most important theoretical problems of modern economic.

The purpose of the article is analyses recent trends in the labour share in the world economy and possible causes of the observed trends. 

Methods used are correlation and factor analysis and general scientific methods, such as analysis, synthesis, induction and generalization.

In a panel of 19 countries, with most data starting in 1960, we document that the labour share fell from 1975 for most countries. Main determinants of changes in the labour income share are technological change, a compositional shift in employment from labour-intensive to more capital-intensive sectors, economic policy, the level of economic development, trade and international prices, globalization. Other factors also matter: financial and product markets, labour market institutions, other institutions and politics, the bargaining power of labour and unemployment, geography and history, institutions and politics.

The received conclusions will be useful to researchers in the field of income distribution and wage dynamics analysis. 

Keywords: wage, capital, innovation, factor costs, tendency. 

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