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Internal research projects - year 2014

Project No.: 1285

Project title:

Territorially-based assessment of employment dynamics in the Czech Republic and its application for rural employment policy planning (Čapkovičová)

Head of project:

MSc. Andrea Čapkovičová


Ing. Tomáš Hlavsa, Ph.D., Ing. et Ing. František Nohel, Ing. Jakub Kučera


Evaluate employment dynamics by the use of territorially-based approach while emphasizing developments in rural areas.

  • Partial aim 1 (PA1): Structural changes in regional economic environments – the evolution of employment and business structure(s).
  • Partial aim 2 (PA2): Components of regional employment evolution - emphasizing rural areas.
  • Partial aim 3 (PA3): Degree of diversification/specialization of regional economic environments and its impact on employment dynamics - emphasizing rural areas.

Methodology, assumptions, sources:

Analytical framework:

  • Presented study deals with the concepts of spatial and sectoral restructuring (PA1), territorially-led development and its territorially-based conditions (PA2) and related variety (PA3).
  • For the purposes of intended analyses, we use data from Czech Statistical Office (census data, Register of Economic Entities). The territorial units of analyses correspond to LAU 1 units. The classification into the categories of regions (urban, intermediate, and rural) is being made on the base of OECD typology (2010) within which we also specify rural and urban settlements for the purpose of further intraregional analyses.
  • In order to fulfil objectives of PA1, we use descriptive statistics, ratios and graphical formulas that mirror the observed results according to chosen categories of regions.
  • To be able to identify importance of territorially-unique characteristics within the categories of regions for the development and creation of employment (PA2), we apply so-called shift-share analysis that is able to uncover particular components of employment development (national, regional, structural) as well as to assess their contribution with respect to the overall regional development. Additionally, we are able to mark leading/lagging regional industries and the favourability of the regional sectoral structure for the employment creation.
  • In last part of our study (PA3), we try to empirically test the concept of related variety that helps to find the relation between the degree of diversification/specialization of business environment and its impact on employment dynamics. The assumption is that the diversification of economy into related industries will have a positive impact in terms of employment growth, whereas too specialized economy (or too diversified economy) will result in more negative employment developments. In this step, we intend to test two measures of diversity – Herfindahl-Hirschman index and entropy measure.
  • The results are presented in tabular as well as graphical form (figures, maps). Through this approach we are able to particularly compare changes (developments) in rural areas with those happening in other categories of regions.

Outputs and their use:

  • Specialized maps covering issues related to observed employment dynamics from different perspectives (e.g. degree of diversification/specialization, fertile business areas, dynamic/lagging regions with respect to employment evolution, etc.).
  • Presentation of preliminary research findings in a form of (magazine) article.
  • Presentation of research findings at conferences and in scientific journals (at least one article).
  • Use of results for the IAEI bulletin (related to the PA1).
  • Final study report.
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