Has the level of achieved education affected the income of Czech households

Birčiaková, Naďa and Antošová, Veronika and Stávková, Jana (2013): Has the level of achieved education affected the income of Czech households.

Abstract

This paper deals with an analysis of the effects of education on the income of Czech households from 2006-2010. EU-SILC (European Union Statistics on Income and Living Conditions) review results are the main data source. The paper investigates with the living conditions of households and that is mandatory for all states. Based on the unified methodology, that is then possible to make comparison between countries. Households are divided into five categories according to the education attained by the head of the household. It further deals with income differences of individual educational groups expressed by the education coefficient. Households at risk of poverty are also taken into account. Income inequality is measured by way of the Gini coefficient. The analysis uses regression techniques to examine the relation between education and the Gini coefficient, as well as between education and households at risk of poverty. The biggest share is represented by households where the household head has vocational education, followed by households where the household head has secondary education. The regression analyses established strong positive dependence between the education level and Gini coefficient, as well as strong negative dependence between the education level and number of households at risk of poverty. Within analyzed period of five years was observed a negative development in the society in form that there is a bigger possibility of getting into the zone at risk of poverty for households with higher level of education.

• Item Type: MPRA Paper
• Language: English
• Keywords: education, EU-SILC, income, living conditions, poverty
• Subjects: D - Microeconomics > D3 - Distribution; D - Microeconomics > D3 - Distribution > D31 - Personal Income, Wealth, and Their Distributions; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I31 - General Welfare, Well-Being; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I32 - Measurement and Analysis of Poverty

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