The readiness of the Czech Republic to adopt the euro in comparison with the economic determinants of euro adoption in Slovakia

This thesis will deal with a current issue - euro adoption in the Czech Republic. The three neighboring countries of the Czech Republic have already adopted the euro. The Czech Republic lie under an obligation to adopt the euro and solve the arguments for and against early entry to the Euroarea at this time. The issue will be solved from the perspective of euro adoption in Slovakia. Both of the republics had the "same" default position seventeen years ago. Why is Slovakia the member of the Euroarea and why not the Czech Republic? Advantages and disadvantages of euro adoption in Slovakia will be the basis for the argumentation of the acceptance or rejection of the euro in the Czech Republic. The purpose of the thesis is to demonstrate the Czech readiness to adopt the euro from a purely economic point of view, even though this is a political decision. The adopted methods will be analysis and comparison of macroeconomic indicators, called the magic rectangle (GDP, inflation, balance of payments, unemployment rate). The thesis will evaluate the progress of these indicators in the key periods of the republics. These periods had an impact on the state of both economies and led to euro adoption in Slovakia and the postponement of euro adoption in the Czech Republic indefinitely (separation of both republics, preparations and entry into the European Union, preparations for euro adoption, the advent of financial crises, etc.). The main aim of this thesis is to answer the question "Why is Slovakia adopted the euro earlier than the Czech Republic?" and to confirm or to disprove hypothesis of Czech readiness to adopt the euro according to experience of Slovakia.