Prague Economic Papers, 2020 (roč. 29), číslo 1

Placing the Czech Shadow Banking Sector under the Light

Martin Hodula, Martin Macháček, Aleš Melecký

Prague Economic Papers 2020, 29(1):3-28 | DOI: 10.18267/j.pep.710  

The size of the shadow banking sector (SBS) has more than doubled in the Czech Republic over the last decade. This places a potential burden on policy makers. On the one hand, the SBS complements regular banking by expanding access to credit and investments, enabling better risk sharing and maturity transformation, and sup-porting market liquidity. On the other hand, SBS activities can put the stability of the financial system at risk and amplify its procyclicality by exacerbating the build-up of leverage and asset price bubbles. We implement a FAVAR model of the Czech economy to determine the impact of macroeconomic factors on the SBS. We find that...

A Local Government Revenue System under Macroeconomic Pressure – The Case of Poland

Beata Guziejewska, Katarzyna Walerysiak-Grzechowska

Prague Economic Papers 2020, 29(1):29-52 | DOI: 10.18267/j.pep.728  

This study analyses macroeconomic factors, especially the level of GDP and its changes, in terms of their impact on the revenues of Polish local governments from 1999 to 2016. The importance of the factors in managing local finances is growing because of the increasing threats of globalisation and economies becoming more vulnerable to exogenous shocks. This article attempts to identify the structural weaknesses of the local government revenue system in Poland in the context of macroeconomic circumstances. It follows from our research that the property tax and general state grants are relatively insensitive to GDP changes and that they are capable of...

Impacts of Global-Economic-Policy Uncertainty on Emerging Stock Market: Evidence from Linear and Non-Linear Models

Mohammad Enamul Hoque, Mohd Azlan Shah Zaidi

Prague Economic Papers 2020, 29(1):53-66 | DOI: 10.18267/j.pep.725  

Global economic policy uncertainty (GEPU) is one of important phenomena in the global economy; it can impact on the overall economic performance and stock market per-formance, regardless of the status of the world economy. Thus, this paper empirically investigates the impact of global economic policy uncertainty on the Malaysian stock market over the period from 10:2003 to 2017:03. Using the GARCH model, the study demonstrates that global policy uncertainty affects the Malaysian stock market negatively. Similarly, the SVAR model also shows results consistent with the GARCH estimation. Nevertheless, the Markov switching estimation uncovers that global...

Practical Training and Its Impact on Employability Post-Graduation

Markéta Šnýdrová, Lucie Vnoučková, Ivana Šnýdrová

Prague Economic Papers 2020, 29(1):67-84 | DOI: 10.18267/j.pep.723  

This paper is a case study on the influence of students working during their studies and its impacts on their employability after graduation. Data for this research were collected at a private business university in Prague, the Czech Republic. The aim of the paper is to identify approaches of business university graduates to employment during their study and to evaluate the role of students' employment in their future career. A partial aim is to evaluate relations between student employment and future job position. The data were obtained through primary research: a questionnaire survey, two in-depth interviews and four focus groups. The results show...

What Chinese Workers Value: An Analysis of Job Satisfaction, Job Expectations, and Labour Turnover in China

Peng Nie, Lanlin Ding, Alfonso Sousa-Poza

Prague Economic Papers 2020, 29(1):85-104 | DOI: 10.18267/j.pep.726  

This study uses data from the 2012 China Labour-Force Dynamics Survey and 2010-2012 China Family Panel Studies to investigate job satisfaction and job expectations, as well as the association between job satisfaction and job turnover by gender among employees aged 16-65. We find not only that job satisfaction levels are relatively low, with only 46% of workers explicitly satisfied, but also that worker expectations differ significantly from what their jobs actually provide. In particular, many jobs are less interesting than expected, which prevents workers from realizing their perceived potential. This expectation gap is thus a strong determinant of...

Revisiting Linkages between Stock Prices and Real Activity in OECD Countries: Does Finance Respond to Changing Situation of Economy?

Mercan Hatipoglu

Prague Economic Papers 2020, 29(1):105-126 | DOI: 10.18267/j.pep.707  

The purpose of this study is to investigate whether financial markets contribute to the eco-nomy when needed. The quantile regression model and causality in variance tests are applied to monthly data from December 1989 to July 2016 for 19 OECD economies. The results confirm that the response of capital markets to economic growth depends more on the state of the economy than the state of the country's development. Generally, interaction between financial markets and the economy is weak in OECD countries except Japan and Estonia.