Thursday, 29 March 2012: 9:30 AM
The paper deals with the two elementary monetary policy transmissions of the Czech National Bank: credit transmission which is accented by Keynesian theory and monetary transmission which is related to classical monetarism. These two basic theories are considered via results of vector autoregression model which is very frequented methodology used for this purpose. The econometric model uses time series data of the fundamental macroeconomic measures – interest rates, exchange rates, monetary aggregate, credit aggregate, price level and output. Data are seasonally adjusted. The model results allow determining the significance of the relationships among monetary policy channels. It is necessary to reflect that the results interpretation of the VAR model is biased because of time series short span.