The development of income and income differentiation in the Czech Republic according to the EU SILC

Abstract

The report deals with a brief description of the EU SILC (European Union – Statistics on Income and Living Conditions) statistical enquiry, which is pursued by the Czech Statistical Office accordingly to the European Union methodical instructions. The survey sampling proceeds in order to coordinate the methodical procedures in all EU countries according to the Regulation (EC) 1177/2003; and in the long term, it is meant to acquire the data on the income and social situation of inhabitants. The survey enables to obtain the representative data on the particular types of households income distributions, the way, quality and financial claims of living, the household equipment of things for long-time usage. Every year the survey is extended by the households living conditions modulus.The object of the paper concerns the delimitation of Czech households income levels in the years of 2005–2008 with the basic income characteristics quantification. The primary data of EU SILC survey conducted in the years of 2005–2008 were used for the income and income differentiation analysis. The Czech economics development after the period of transformation refers to a low income differentiation, therefore the basic methodical tools of income differentiation (Gini coefficient, income deciles analysis, Theil index, Robin Hood index) will be used to prove such a matter of fact. The attention will be paid to the delimitation of the main factors influencing the income differentiation. The poverty and households endangered by poverty present a frequent topic of proffesional and laic discussions. The basic tools for the poverty level determination will be applicated in the paper, as well as the low income group analysis in particular years with the principal characteristics delimitation. The typical sign of a low income group presents social security benefits, whose structure will be introduced in the paper. At the close, we will approach to the EU SILC survey results comparison in the particular member states with the emphasis on their risk of poverty level.