Monetary policy in the Czech Republic

This diploma thesis follows up accomplishment of Maastricht criterion by the Czech Republic and forecast the accomplishment till the year 2018. The thesis contains the dependence of the household consumption at the exchange rate between the Czech crown and euro. In the theoretical part of the thesis the monetary policy and its main goals and instruments are described. The function and tasks of central bank are covered as well. In theoretical part are also described the important monetary institutions for the Czech Republic as the Czech national bank, European central bank and International monetary fund. In the practical part of the thesis are two analyses. The first analyzes the factors of monetary policy between years 1998 and 2004. The second one analyzes the accomplishment of the Maastricht criterion between years 2004 and 2014 and there is also the prognosis of the future development till the year 2018. In the end of the thesis is compiled a model interpreting the dependence between exchange rate and household consumption. The exchange rate between Czech crown and euro has been chosen because of the intervention of the Czech national bank