Aplikace Taylorova pravidla na měnovou politiku ČNB

Application of the Taylor Rule to CNB Monetary Policy

František Táborský

Politická ekonomie, 2020, vol. 2020, issue 6, 630-649

Abstract: This paper tests the usability of the Taylor rule under the conditions of the Czech economy using a single-equation error correction model in the period from 2000 to the second quarter of 2019 and finds key variables for the CNB's monetary policy setting. Other important monetary policy rules and their effect on the optimal monetary policy setting are also discussed. The starting point of the empirical part is a summary of the current monetary policy of the CNB and an analysis of its decision model. Since 2008, the new DSGE model g3 replaced the previous QPM model. At the end of the theoretical part, foreign experience and various approaches to the estimation of the Taylor rule are summarized. The CNB's two-week repo rate is best described by the size of the output gap in the domestic economy, the ECB's base refinancing rate, the change in the price level measured by the consumer price index and the previous value of the repo rate. The paper also analyses the relationship between the repo rate and the ECB's basic refinancing rates, confirming the historically high dependence of domestic monetary policy on the ECB's actions.

Keywords: Taylor rule; CNB; monetary policy; error correction model (search for similar items in EconPapers)
JEL-codes: C2 E43 E58 (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
http://polek.vse.cz/doi/10.18267/j.polek.1296.html (text/html)
http://polek.vse.cz/doi/10.18267/j.polek.1296.pdf (application/pdf)
free of charge

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:prg:jnlpol:v:2020:y:2020:i:6:id:1296:p:630-649

Ordering information: This journal article can be ordered from
Redakce Politické ekonomie, Vysoká škola ekonomická, nám. W. Churchilla 4, 130 67 Praha 3
http://polek.vse.cz

DOI: 10.18267/j.polek.1296

Access Statistics for this article

Politická ekonomie is currently edited by Jiřina Bulisová

More articles in Politická ekonomie from Prague University of Economics and Business Contact information at EDIRC.
Bibliographic data for series maintained by Stanislav Vojir ().