Wage, Money and Accounting : Theoretical Relationships

The analysis in this paper shows that monetary issues are no longer merely of macroeconomic character. Indeed, they are also an important theoretical problem of accounting theory. The accounting unit or unit of measure agenda in the money economy is indispensable to accounting theory. Adequate theoretical descriptions and procedures for stabilization of a monetary unit can be seen as a solid basis for a more or less coherent system of objectives and assumptions for accounting theory. Considerations of monetary units are closely related to many areas of contemporary research in accounting: human capital, cost and wage accounting in particular. Therefore, human resources costing and accounting gains new impetus as a foundation for managerial wage accounting, which is a tool for stabilization of labour productivity and, as a consequence, the stability of the value of money. Labour accounting appears as a yet undiscovered branch of accounting even though it has a long history. Capital and labour relationships could benefit from fresh insight into the accounting approach. Since money can be viewed as wage receivables, it is a by-product of an accounting system. Strong relationships exist between accounting and money