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Effect of the 2020 parental benefit increase in the Czech Republic on labor supply
Šarboch, Matěj ; Pertold, Filip (advisor) ; Pertold-Gebicka, Barbara (referee)
Family policies can have significant impacts on individuals' behaviour in the labor mar- ket. Parental benefits policies are a prominent example. In 2020, the Czech government increased the amount of benefits paid out to parents from 220,000 CZK to 300,000 CZK. This thesis studies the effects of this reform on parents' labor supply using a difference- in-differences identification and the Labor force survey collected by the Czech Statistical Office. The results show that mothers with their youngest child being 2 or 3 years old significantly decreased their usual weekly hours worked as well as their labor force par- ticipation rate as a result of this reform. Mothers with a university degree and mothers with only one child are the most affected groups. This thesis is the first analysis of this reform and it contributes to the existing literature on effects of family policy changes and also serves as the public policy evaluation.

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