D_TRMP Theory and Application of Monetary Policy

University of Finance and Administration
Winter 2018
Extent and Intensity
2/0/0. 10 credit(s). Type of Completion: DZk (doctoral examination).
Teacher(s)
prof. Dr. Ing. Jan Frait (lecturer)
prof. Ing. Luboš Komárek, Ph.D., M.Sc., MBA (lecturer)
Guaranteed by
prof. Dr. Ing. Jan Frait
Department of Finance – Departments – University of Finance and Administration
Contact Person: Lenka Pokorná
Course Enrolment Limitations
The course is offered to students of any study field.
Course objectives
Subject connects theoretical study of monetary policy   conceptual issues of implementation. It therefore focuses on selected problem areas of theory that have relevance to the policies and decisions of central banks in the monetary field  . Its aim is to master the principles, context and directions of modern monetary theory and the establishment of a poznatkového background for interpretation of trends and problems of monetary policy.
Learning outcomes
At the end of the course the student will be able to understand theoretical and model underpinnings of monetary policy making of key central banks as well as central banks in small open economies. He or she will get insight into the ways of conduct of monetary policies following the global financial crisis and the potential impacts and side effects of such monetetary policies. Student will understand the links between monetary policy and macroprudential policy and will be able to assess the effects of changes in monetary policy tools on business and financial cycles. He or she will understand the limitations of current models of central banks based on the DSGE approaches.
Syllabus
  • Course Content Characteristics of modern monetary policy: - Functions, goals and effectiveness of monetary policy - Developmental stage of monetary policy - Institutional arrangements and operating monetary policy - Reaction of the central bank - Central bank independence Theoretical background of monetary policy: - Basic currents of modern economic thought - Monetarist transmission mechanism, money exogeneity - The transmission mechanism of interest rates, the theory of endogenous money - Rules and discretion of monetary policy - The time inconsistency of optimal monetary policy Monetary policy strategy (monetary policy regimes) - Targeting money supply   practice of central banks - The quantity theory of money as a theoretical base money targeting - Targeting the exchange rate, the experience of applications     Czech economy - Theoretical targeting the exchange rate: the theory of purchasing power parity - Inflation targeting, strict versus flexible inflation targeting -   Inflation targeting in the context of economic theory: synthesis of new Keynesian economics Inflation targeting: monetary policy strategy CNB - Prerequisites for the effectiveness of inflation targeting - Specification of inflation targets - Compliance with inflation targets - Macroeconomic Forecasts - Communication of monetary policy
Literature
    required literature
  • Blinder A.,: Central Banking in Theory and Practice, MIT Press, 1998
  • Pavlát V., : Centrální bankovnictví, Praha VŠFS, Eupress, 2004
  • Friedman, B., Hahn, F. : Handbook of Monetary Economics, Amsterdam, North-Holland, 1990
  • Revenda, Z. a kol.: Peněžní ekonomie a bankovnictví, Praha, Management Press, 2005
  • Bofinger, P. : Monetary Policy: Goals, Institutions, Strategies and Instruments, Oxford University Press, 2001
    not specified
  • Hrnčíř, M.,: Měnová teorie a politika , Praha VŠFS, Eupress 2010
Teaching methods
lectures
Assessment methods
essay
Language of instruction
Czech
Further comments (probably available only in Czech)
The course can also be completed outside the examination period.
General note: Předmět doktorského studia.
Information on the extent and intensity of the course: 12 hodin KS/semestr.
The course is also listed under the following terms Winter 2010, Winter 2011, Winter 2012, Winter 2013, Winter 2014, Winter 2015, Winter 2016, Winter 2017, Winter 2019, Winter 2020, Winter 2021, Winter 2022, Winter 2023, Winter 2024.
  • Enrolment Statistics (Winter 2018, recent)
  • Permalink: https://is.vsfs.cz/course/vsfs/winter2018/D_TRMP