R15 - General Regional Economics: Econometric and Input-Output Models; Other ModelsReturn

Czech society is ageing, and the availability of these services should be important part of social strategy for the Czech Republic. Thus, the development in this area is not optimal and much more attention should be put on. Increasing life expectancy cause not only higher demands on the pension systems but also higher demands on social services. This is emphasised by the slower increase of healthy life expectancy and therefore it can be assumed that more people in higher age will require more social services. The paper deals with the issue of the macroeconomic costs and benefits of satisfying the requirements for residential care activities, especially for homes for the elderly as one of the most important area of social care. The aim of the paper is to estimate overall direct and indirect macroeconomic effects for the Czech Republic at the level of the regions. The relation between demand and supply of residential care activities is illustrated for 2013. While some issues can simply be related to the Czech population as a whole, some estimates are presented at the regional level. Economic impacts on the gross domestic product, employment and government finance are estimated by the semi-dynamic input-output analysis. It is illustrated how the investments into social facilities are transformed into economic development with different regional scale.

The intensification of globalization and fragmentation of production processes requires new approaches that allow as us capture complex linkaged between industries and national economies. In this article, we show how input-output analysis based on World input-output tables can be employed to analyze the complex relations in the economy. Using structural decomposition analysis, we analyze the sources of value added and employment changes in choosen countries in pre-crisis period. We show the importance of trade with intermediate goods and participation in global value chains on value added and employment creation.

Slovakia is a unitary state with a common legal and macroeconomic environment for all regions. However, such environment may hinder regions with production setting, different from the majority of the regions. Hence, the aim of the following paper is to present an empirical analysis of the production technologies used across Slovak regions and to identify potential regional differences. For this purpose two-factor Cobb-Douglas production function was analysed, using annual historical panel data for NUTS 3 Slovak regions. The panel-data structure allowed the distinguishing of the differences in capital and labour elasticities between the analysed regions and the average of the rest of the regions. Additionally, the same methodology was performed with Cobb-Douglas model built on the first differences of the used data. The results of the two approaches indicate that region "Banskobystrický kraj" has significantly different production setting for capital and labour input than the rest of Slovak regions.

The paper presents the results of an input-output analysis identifying the role and the economic contribution of agriculture for the economy of rural Vysocina Region. Also the sectors that could most benefit the economic development of the Vysocina Region were revealed. To perform the analysis a regional input-output table was constructed by using GRIT methodology. The economic contribution of agriculture is not insignificant. An increase of agricultural production has not underlying influence on total regional production, however, it can positively affects regional incomes. The reduction of agricultural activities could lead to significant losses in income and employment in agriculture and consequential sectors and inhibit regional development. The strong relationship between agriculture and food processing industry can increase regional income and employment subsequently. Machinery, basic metals, construction, tourism and food processing industry play the significant role in the economic structure and can contribute to an increase of income, employment and production in Vysocina Region.

We evaluate the economic impact of Summer Olympic Games (SOG) potentially organized by the City of Prague in 2016. We focus on the so called Modified Northern Variant of the Games proposed by the PriceWaterhouseCoopers-Czech Republic. The first step in our analysis is quantification of a primary impact of the Games, which includes investments in infrastructure, expenditures of the SOG Organizing Committee, tourist expenditures and exports. The primary impact induces an increase in overall sales in the Czech economy, which is analyzed using input-output tables. Our respective estimates are 27.54 billion CZK for the primary impact and 55.44 billion CZK for the secondary impact.