Balassův-Samuelsonův efekt v ekonomice České republiky

Abstract

The aim of this thesis is to verify the existence of Balassa-Samuelson effect in the Czech Republic. The theoretical chapter provides definitions of macroeconomic terms related to Balassa – Samuelson effect, a description of the theory of domestic and foreign Balassa – Samuelson effect, and an overview of empirical studies focusing on Central and Eastern European countries. The following chapter introduces the least squares method which is used for model estimation, and elaborates on basic Gauss-Markov assumptions that need to be followed to achieve relevant results. Empirical analysis in the practical part does not confirm the presence of domestic Balassa - Samuelson effect in the Czech Republic. However, the results of the international model were statistically significant. As the Czech Republic is expected to join the Euro area in the future, the existence of international Balassa - Samuelson effect could be an issue, particularly with respect to the price and exchange rate convergence criteria.