Publication detail

Labor Market Participation: The Impact of Social Benefits in the Czech Republic and Selected European Countries

Author(s): PhDr. Kamila Fialová ,
PhDr. Martina Mysíková Ph.D.,
Type: Articles in journals with impact factor
Year: 2009
Number: 3
ISSN / ISBN:
Published in: Prague Economic Papers
Publishing place:
Keywords: inactivity trap, labor market participation, social benefits
JEL codes: I38, J21
Suggested Citation:
Grants: Analysis of the Impact of the Selected Social Policy Instruments on the Czech Labour Market and a Broad International Comparison GACR 402/05/H510 Ekonomická teorie politických trhů
Abstract: This paper aims to quantify the impact of social benefits on labor market participation in the Czech Republic and provides the comparison with selected European countries. It applies the logistic regression to estimate the probability of labor market participation depending on social benefits related to net wage of the individuals, controlling for individual and household characteristics. Our results indicate that the work disincentives via social benefits do exist in most of included countries and they proved to be relatively strong in the Czech Republic. When trying to understand the reasons for recently decreasing participation rate in the Czech Republic, the often called “generous” Czech social benefit system appears to be relevant.
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