Effect of CNB's Monetary Intervention on Czech Exports to Germany
| Author: | Bc. Tadeáš Krejčí |
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| Year: | 2016 - summer |
| Leaders: | |
| Consultants: | |
| Work type: | Bachelors |
| Language: | English |
| Pages: | 87 |
| Awards and prizes: | |
| Link: | https://is.cuni.cz/webapps/zzp/detail/165341/ |
| Abstract: | The primary interest of the thesis consists in impact of the Czech National Bank's monetary intervention on the volumes of Czech exports to Germany. To determine the significance of the potential casual effect, a Vector Autoregressive (VAR) model is constructed based on economic introspection and previous findings of other authors, to be subsequently estimated using the lucid method of least squares. Based on this procedure, we find evidence supporting the positive causal effect at hand. The results also confirm the presence of a structural break into periods before and after the initiation of controlled float regime. Furthermore, indications of casual effects are encountered in cases of other macroeconomic variables, such as German exports, supporting the reasoning in earlier works relating to this topic. |
