Journal of Economics - Obsahy ročníkov

The article assesses the role of information-processing skills and education in people’s labour market trajectories in the Czech Republic in the period of economic recovery from 2011/2012 to 2015. We examine the extent to which literacy and numeracy and formal and informal education influenced changes in the stability of individuals’ employment and their income mobility, incorporating polarisation and segmentation perspectives. The analysis is conducted using a unique combination of Czech PIAAC data and a follow-up survey. The findings show that formal education compared to information-processing skills and further education is by far the most important factor of change in a person’s position in the labour market while the role of skills is only limited. Keywords: labour market, information-processing skills, mobility, polarization, segmentation, wage dynamics JEL Classification: J24, J31

The specific corporate indebtedness and capital structure of the companies in individual industrial sectors is a fundamentally serious problem, result-ing from a number of factors. The aim of the contribution is to evaluate indebtedness in chosen industrial sectors according to available financial statements and research of the problem in the market with the consequent possible determination of financial situation improving. Due to the evaluation of indebtedness chosen indexes had been evaluated; mainly total indebtedness, financial leverage ratio, and insolvency. Results show numbers of companies overreach recommended indebtedness and threaten their future acting. They need to consistently evaluate obtaining of financial means for covering of their property and in case of overreaching optimum; they need to find the proper alternative to business financing. Keywords: level of indebtedness, macro-economic indexes, industrial sector, capital structure, economic development, Slovakia JEL Classification: D24, G39

Knowing which factors underlie beliefs concerning financial planning for retirement (FPR) among young adults is essential for designing interventions to support their actual FPR. Therefore, we examined predictors of FPR-related beliefs and current retirement savings in a sample of 502 employed Slovak adults aged 20 to 35 years. Actual savings and all dimensions of psychological preparedness for FPR were positively predicted by retirement financial literacy and self-rated financial literacy. Moreover, we found that perceived FPR emotional load decreases with education, and perceived FPR task complexity diminishes with age. Further, increasing income was predictive of a higher subjective FPR competence and a perception of FPR as less stressful. Finally, professional experience in the financial domain was linked to a higher self-assessed capability in terms of FPR, but also with a lower personal FPR engagement. Our findings stress the need for effective communication of information about FPR’s relevance to young people. Keywords: financial retirement planning, financial retirement beliefs, financial literacy, saving, young adults JEL Classification: J26

In the wake of population ageing and increasing public pension liabilities, many countries have reformed their pension systems, moving away (at least partially) from defined benefit (DB) pension schemes and towards defined contribution (DC) pension schemes. Slovakia’s reformed its pension system into two main pillars – I. pillar PAYG scheme and II. pillar DC scheme. Slovak pension reform brings up a lot of questions regarding the optimality of two main pillars pension system set up. In this paper, we seek to investigate the effects of different Slovak pension system set up alternatives and their implications on lifecycle savings and individual welfare using own stochastic life cycle model of partial equilibrium. Results could serve as a basis for further discussion on improving the legislature on parameters’ set-up of both pension pillars in Slovakia as well as abroad. Keywords: pension system, life cycle theory, retirement, individual welfare JEL Classification: D12, D14, D81, E21, G18

The economy of Czechoslovakia (CS) was traditionally strongly specialized in production and export of light consumer goods. Nevertheless, heavy industry was promoted by strongly protectionist trade policies in 1920s. As our empirical study shows, the CS automobile industry never become internationally competitive and heavy protectionist measures were a necessary condition for its existence. However, behind the protective wall the industry was able to develop production capacities, substitute imports of components, and even export to some extent to less demanding markets in Europe. The paper is therefore a contribution to the economic history research of development of such “strategic” industry in clear contradiction with comparative advantage and implications of economic theory. As such, It is another example of rejection of international division of labor which contributed (in long-term) to fundamental restructuring of national industrial structure. Keywords: trade policy; infant industry, protectionism, Czechoslovakian trade policy, automobiles JEL Classification: F13, F14, F52, N74