The normal-mode spectrum of rotating Earth models is made up of the seismic modes, the rotational modes and the spectrum of the liquid core. The local equations for the infinitesimal elastic-gravitational deformation, based on a Lagrangian perturbation of a spherically-averaged Earth model using the theory of hydrostatic equilibrium, are first established. A comparison is made between this approach and the classical global angular momentum approach to Earth rotation variations. The splitting of the seismic modes by rotation and ellipticity is then computed. Numerical investigation also shows that, by changing the structure of the liquid core, the rotational modes and core spectrum interact to give rise to avoided crossings, which provide a physically plausible mechanism to explain the observed double frequency of the Chandler wobble. The analogy with other oscillatory physical systems allows for a better understanding of the avoided crossing phenomenon.