156-0524/01 – Monetary Policy (MP)

Gurantor departmentDepartment of Applied EconomicsCredits4
Subject guarantorprof. Ing. Lumír Kulhánek, CSc.Subject version guarantorprof. Ing. Lumír Kulhánek, CSc.
Study levelundergraduate or graduateRequirementCompulsory
Study languageEnglish
Year of introduction2017/2018Year of cancellation
Intended for the facultiesEKFIntended for study typesFollow-up Master
Instruction secured by
LoginNameTuitorTeacher giving lectures
KUL20 prof. Ing. Lumír Kulhánek, CSc.
Extent of instruction for forms of study
Form of studyWay of compl.Extent
Full-time Credit 2+1

Subject aims expressed by acquired skills and competences

Student will be able: - to explain role of the money in economy, - to define central bank and to describe its functions, goals and tools, - to understand inflation targeting - to explain role of CNB and ECB.

Teaching methods

Project work


The subject deals with key areas of contemporary monetary theory and policy. It compares theories of money demand and money supply, including their implications for different monetary policy regimes. It clarifies approaches to the issue of the impact of money and monetary processes on expectations of economic subjects, price level, inflation, product and other macroeconomic variables. It analyses the monetary policy process, its objectives, tools and transmission mechanisms. Also, it provides an overview of monetary policy developments in the Czech Republic and the world, with an emphasis on current trends.

Compulsory literature:

MISHKIN, F. S. The Economics of Money, Banking, and Financial Markets. 10th ed. Harlow: Pearson, 2013. 726 s. ISBN 978-0-273-76573-8. CECCHETTI, S.G. Money, banking, and financial markets. 3rd ed. New York : McGraw-Hill/Irwin, 2011. 673 s. ISBN 978-0-07-122068-2.

Recommended literature:

HUBBARD, G. R. and A. P. O´BRIEN. Money, Banking, and the Financial System. 2nd ed. Boston : Pearson, 2014. 652 s. ISBN 978-1-292-00018-3. MISHKIN, F.S. Monetary policy strategy. Cambridge : MIT Press, 2007. 549 s. ISBN 978-0-262-13482-8. BOFFINGER, P. Monetary policy: goals, institutions, strategies, and instruments. Oxford: Oxford University Press, 2001. 454 s. ISBN 0-19-924856-7.

Way of continuous check of knowledge in the course of semester

Five projects, discussion in seminars, credit evaluation.


Other requirements



Subject has no prerequisities.


Subject has no co-requisities.

Subject syllabus:

1. The history of banking institutions and the role of a central bank. 2. Money, functions of money, monetary aggregates. 3. Electronic money. 4. Financial system, financial markets, financial intermediation. 5. Money demand. 6. Money supply. 7. Interest rate theory. 8. Central banking. 9. Monetary policy tools. 10. Monetary policy goals, transmission mechanisms. 11. Inflation targeting. 12. Regulation and supervision of the banking system. 13. Capital requirements, Basel I, II and III. 14. Conclusions.

Conditions for subject completion

Full-time form (validity from: 2017/2018 Winter semester)
Task nameType of taskMax. number of points
(act. for subtasks)
Min. number of points
Credit Credit 100  51
Mandatory attendence parzicipation:

Show history

Occurrence in study plans

Academic yearProgrammeField of studySpec.ZaměřeníFormStudy language Tut. centreYearWSType of duty
2018/2019 (N6202) Economic Policy and Administration (6202T027) National Economy P English Ostrava 1 Compulsory study plan
2017/2018 (N6202) Economic Policy and Administration (6202T027) National Economy P English Ostrava 1 Compulsory study plan

Occurrence in special blocks

Block nameAcademic yearForm of studyStudy language YearWSType of blockBlock owner