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

The 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. Our results indicate that the work disincentives via social benefits exist in most of included countries and they proved to be relatively strong in the Czech Republic.