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How to revive the czech economy in 1999

  • Kamil Janáček
  • Martin Čihák
  • Marie Frýdmanová
  • Tomáš Holub
  • Eva Zamrazilová

The article contains Komerční banka's analysis of the Czech economy. The authors conclude that the economy goes through a classical recession, caused by the joint working of the following main factors: waves in firms' and households' investment, volatility of foreign capital, stabilization policy mismanagement, and a credit cycle. An important part of the recession was a result of the restrictive monetary and fiscal policy of 1997, which had an impact on the economy with a one-year lag. The authors conclude that a slight recovery of demand will not come earlier than in the second half of 1999, and that it will be driven mainly by the revival of real household incomes.

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Article provided by University of Economics, Prague in its journal Politická ekonomie.

Volume (Year): 1999 (1999)
Issue (Month): 2 ()
Pages:

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Handle: RePEc:prg:jnlpol:v:1999:y:1999:i:2:id:19
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