By Organisation for Economic Co-Operation and Development
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Additional resources for Oecd Economic Surveys: Czech Republic 2003 (Oecd Economic Surveys)
Local governments have also made use of substantial one-off revenues from financial asset sales in the past, which are reflected in statistics as a financial transaction. Rapid growth in municipal debt is nevertheless well documented (Table 9). 3 per cent of GDP). As municipal debt is not guaranteed by the state, one strained municipality went bankrupt (Rokytnice) and some of its assets were auctioned off by creditors. This first episode has confirmed the strictness of the hard budget constraint for municipalities keeping the central government clearly away from getting involved in liability settlement.
OECD 2003 Nov 54 OECD Economic Surveys: Czech Republic monetary base and have reduced their vulnerability to speculative actions. This notwithstanding, only full participation in the EMU would provide full insurance against such disturbances, provided that the economy acquires the desirable nominal wage flexibility to forego the currency adjustment channel. The benefits of participating rapidly in the Euro zone should be considered in that context. However, on the way there fiscal policy must also deliver its part for a balanced macroeconomic policy, which provides an insurance against overshooting exchange rate changes.
Consumer prices, all iterms Czech Republic (CPI) OECD (CPI) Euro zone (HICP) 1995 1996 1997 1998 1999 2000 2001 2002 20 15 20 B. Components of consumer prices Services (excluding rent) 15 CPI excluding food, energy 10 5 10 5 Net inflation1 0 0 -5 -5 Food -10 -10 1995 1996 1997 1998 1999 2000 2001 2002 40 30 40 C. Prices of tradables and non-tradables Non-tradables – regulated 30 20 20 Non-tradables – others 10 10 0 0 Tradables – others Tradables – food -10 -10 1995 8 1996 1997 1998 1999 2000 2001 2002 D.
Oecd Economic Surveys: Czech Republic 2003 (Oecd Economic Surveys) by Organisation for Economic Co-Operation and Development