Czech National Anti - Crisis Plan in a Europe of Knowledge context 1

Abstract

Financial crisis quickly followed with economic decline all round the Globe has been reaching also the Central European area including the Czech Republic. In February the Czech government presented National Crisis Management Plan. The first part of the article discuss the differences in EU member states approach to the crisis since the Czech governmental response differs to another anti - crisis programs, especially those of the largest countries. If these ones are seen mostly to assist the declining demand side the Czech plan is focused on supporting the supply side. The present right-wing Czech government considers a growth of a public debt more serious danger compared to a cyclical economic slowdown. This is a main issue of all the governmental approach. The Czech Anti - Crisis plan has been certainly reflecting the European Economic Recovery Plan (EERP) basic ideas from December 2008 to some extent. This reflecting extent is a base for hypothesis formulation. The Czech government has paid to the goals of Lisbon Strategy on Growth and Jobs a relatively small attention. Basic hypothesis of the article is a question if the approach of the Czech government under the economic crisis has been changing. The EERP requires not only short-term measures focused on fiscal boosting of the demand side of the economy but also to address the long term challenges – providing conditions to support structural changes of the economy. EERP is a part of Lisbon Strategy for Growth and Jobs in the current crisis.
Recent developments of the Czech economy marked with bankruptcies of large producers from traditional glass and porcelain industries are confirming the need of a structural change. Such a change shall respect more the development of costs (costs of labor especially) in labor intensive industries. Structural change which has been predicted in the leading ideas of the Lisbon Strategy: getting ready and building up an information/ knowledge society and prepare an easier way for companies to go through structural changes towards economic activities using more efficiently advantages of such a society. Global economic crisis can be taken also as a concentrated control of competitiveness. And competitiveness is a way of keeping Europe employed. The article is focused on analyses of the Czech Anti-Crisis Plan from point of medium and long term measures of the Lisbon Strategy reflected in the EERP contributes to the structural change agenda.