156-0325/02 – Labour Market Economics B (ETP B)

Gurantor departmentDepartment of Applied EconomicsCredits3
Subject guarantorprof. Ing. Jaromír Gottvald, CSc.Subject version guarantorprof. Ing. Jaromír Gottvald, CSc.
Study levelundergraduate or graduateRequirementCompulsory
Study languageCzech
Year of introduction2011/2012Year of cancellation2013/2014
Intended for the facultiesEKFIntended for study typesFollow-up Master
Instruction secured by
LoginNameTuitorTeacher giving lectures
GOT40 prof. Ing. Jaromír Gottvald, CSc.
S1I44 doc. RNDr. Milan Šimek, Ph.D., MBA
Extent of instruction for forms of study
Form of studyWay of compl.Extent
Full-time Credit 2+1

Subject aims expressed by acquired skills and competences

- to define and clarify the issues referring to unemployment and state interventions on the labour market - to explain the relation between unemployment and other aspects such as minimum wage, real wage and labour market equlibrium - to distinguish classical, neoclassical and other theories of unemployment - to analyse basic tendencies on the EU labour markets - to show development of the European Union with emphasis to the labour markets

Teaching methods

Other activities


The course provides especially the exact knowledge of unemployment and government´s interventions in the labour market. The subject explains the relation between the unemployment and other important economic phenomenons such as minimum wage, real wage, economic equilibrium. Theory is based on the classical, neoclassical approach but also on other theories. The course provides the knowledge of the European Union labour markets, too. Development of the EU integration process since the eighties and basic development tendencies in the labour market.

Compulsory literature:

LAYARD, Richard, Stephen NICKELL a Richard JACKMAN. Unemployment: Macroeconomic Performance and the Labour Market. 2. ed. New York: Oxford University Press, 2005. ISBN 0-19-927917-9.

Recommended literature:

EHRENBERG, Ronald G. a Robert S. SMITH. Modern Labour Economics: Theory and Public Policy. 10th ed. Boston: Pearson Addison-Wesley, 2009. ISBN 978-0-321-53896-3. FILER, Randall K., Daniel S. HAMERMESH a Albert E. REES. The Economics of Work and Pay. 6th ed. New York: Harper Collins, 1996. ISBN 0-673-99474-0.

Way of continuous check of knowledge in the course of semester


Other requirements

student has to defend seminar work


Subject has no prerequisities.


Subject has no co-requisities.

Subject syllabus:

1. What drives the unemployment equilibrium? • Inflation and wage pressures • Equilibrium and disequilibrium unemployment • Unemployment and inflation variations, NAIRU. 2. Causes of the unemployment variations, demand and supply shocks • Aggregate economic shocks • Structural shocks • Hysteresis 3. Trade unions and wage collective bargaining • Theories, approaches • Situation and approaches in the Czech Republic 4. Relation between real wages and unemployment • If the labour market is not clearing, why are wages rigid? • Effective wages 5. The impact of prices, taxes and productivity on the unemplyment • Long-term and short-term aspect • Subject to the effective wages • Subject to the wage bargaining 6. The impact of people behaviour while looking for the job on the unemployment • Beveridge curve • Is unemployment voluntary or involuntary • Theory of dual labour market, labour market segmentation 7. Why do some groups of people face the higher risk of unemployment? • Analysis of the causes of uneployment differencies among countries 8. Why do some groups of people face the higher risk of unemployment? • Adapting mechanisms in the labour market • Possibility of the uneployment decrease, principles and approaches 9. Migration and mobility of labour force • Theoretical approaches and trends • Situation in Europe and in the Czech Republic 10. Minimum wage, wage determinants in the labour market • Approaches • Functions • Method of determination • Relation to the subsistence (existence) level 11. Factors of labour market development in the Czech Republic • Factors on the supply side • Factors on the demand side • Microeconomic factors 12. Process of solving the supply and demand mismatch in the labour market and status of employment policy in this process. • Approaches to labour market interventions • Active employment policy programmes • Passive employment policy programmes • Employment policy convention 13. National employment plan • Action employment plans in the respective years • Employment policy instruments from the view of the particular topics • Comparison with European Guidelines 14. Anticipated development in the Czech labour market and possibilities of employment policy • Main contemporary development tendencies of the Czech labour market • Estimation of future development in the labour market • Possibilities of contemporary employment policy • Employment policy programmes in preparation

Conditions for subject completion

Full-time form (validity from: 2011/2012 Winter semester, validity until: 2013/2014 Summer semester)
Task nameType of taskMax. number of points
(act. for subtasks)
Min. number of points
Exercises evaluation Credit  (51)
        Semestrální projekt Semestral project 51  0
Mandatory attendence parzicipation:

Show history

Occurrence in study plans

Academic yearProgrammeField of studySpec.ZaměřeníFormStudy language Tut. centreYearWSType of duty
2013/2014 (N6202) Economic Policy and Administration (6202T027) National Economy P Czech Ostrava 1 Compulsory study plan
2013/2014 (N6202) Economic Policy and Administration (6202T027) National Economy (00) National Economy P Czech Ostrava 1 Compulsory study plan
2012/2013 (N6202) Economic Policy and Administration (6202T027) National Economy (00) National Economy P Czech Ostrava 1 Compulsory study plan
2011/2012 (N6202) Economic Policy and Administration (6202T027) National Economy (00) National Economy P Czech Ostrava 1 Compulsory study plan

Occurrence in special blocks

Block nameAcademic yearForm of studyStudy language YearWSType of blockBlock owner