Executive Summary
Assessment and Recommendations
Chapter 1. Policy Challenges in Sustaining Catch-Up
-Economic Growth: Prospects Have Improved
-Monetary Conditions: Inflation and Interest Rates Remain Low
-Ensuring Fiscal Sustainability: Much Work Is Needed in Public Spending Reform
-Improving the Labour Market: Room for Greater Efficiency and a Deeper Skills Base
-Enhancing the Business Environment: Further Progress Needed in Several Areas
-Update on Environmental Policy
-Annex 1.A1. Progress in Structural Reform
-Annex 1.A2. Past Fiscal Outcomes
-Annex 1.A3. The 2006 State Budget
-Annex 1.A4. Topics Covered in Previous Surveys
Chapter 2. Ensuring Fiscal Sustainability: Assessing Recent Proposals for Pension Reform
-Key Features of the Current Pension System
-The Current System in International Comparison
-Key Features of the Five Reform Proposals
-Simulation Results for the Five Reform Proposals
-Assessment
-Conclusion
-Annex 2.A1. The Current Pension System
Chapter 3. Ensuring Fiscal Sustainability: Motivating Regional and Municipal Governments
-Key Features of Czech Sub-National Government
-Economies of Scale
-Regional and Municipal Financing
-Accountability
-Annex 3.A1. Incentives for Municipalities to Merge in the Tax Allocation System
-Annex 3.A2. The Structure of Municipalities' Delegated Powers
Chapter 4. Improving the Labour Market: Getting Education Right for Long-Term Growth
-The Difficult Task of Modernising the Education System
-Key Features of the Centrally-Steered System
-Policies to Increase the Efficiency of the Education System
-Annex 4.A1. Roadmap from Basic to Tertiary Education
Chapter 5. Enhancing the Business Environment: Policies to Promote Innovation
-The Need to Expand Research That Has a Potential for Commercial Application
-Healthy General Business Conditions to Help Boost Innovation
-Broad Features of Current Policy on Innovation
-Policy Options to Improve the Research and Innovation Environment
Glossary