Prague Economic Papers 2026, 35(2):249-284 | DOI: 10.18267/j.pep.907

Methods for assessing quality of life: an application to Czech municipalities with extended jurisdiction

Jakub Hanousek ORCID...
Prague University of Economics and Business, Czech Republic

The goal of this article is to measure the objective dimension of quality of life in municipalities with extended jurisdiction in the Czech Republic. Quality of life is measured by four composite indicators. Composite indicators were calculated using two methods based on several socio-economic factors. The methods for calculating composite indicators are the weighted sum approach and the benefit-of-the-doubt method, which is based on linear programming. In the weighted sum method, the target population groups were distinguished by determining different weights for individual socio-economic factors. The article also analyzes the effect of living on the Czech Republic state border on the quality of life, and individual neighboring countries are distinguished. Composite indicators are further analyzed by regression analysis with qualitative variables. The statistically significant results show that municipalities located near the border with Slovakia achieve average higher values of all four composite indicators than other municipalities. The results were further analyzed by spatial analysis. Positive spatial autocorrelation and so-called coldspots and hotspots were found. Hotspots were detected in municipalities with extended coverage bordering Slovakia, with some reaching inland. After including the spatial component in the regression model, the effect of the state border weakened. This is because individual cold spots and hotspots have a significant inland extension from the border.

Keywords: quality of life, spatial dependence, MCDA
JEL classification: C44

Received: June 15, 2025; Revised: January 9, 2026; Accepted: February 8, 2026; Published: June 22, 2026  Show citation

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Hanousek, J. (2026). Methods for assessing quality of life: an application to Czech municipalities with extended jurisdiction. Prague Economic Papers, 35(2), 249-284. doi: 10.18267/j.pep.907
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