Unemployment and Labour Market Transitions in the Czech Republic: Evidence from Micro-data

The Czech labour market performance in early 1990s has widely been regarded as a success story. In particular, the Czech unemployment rate has been one of the lowest in Europe. In this paper we provide a microperspective on the Czech labour market by using data from the Czech labour force survey. We use the panel features of the labour force survey to investigate the determinants of transitions between employment, unemployment, and non-participation. The paper consists of two parts. The first part examines the Czech labour market with respect to unemployment and unemployment duration. In the second part, we make an empirical analysis of the labour market transitions in the Czech Republic.