Czech national bank´s foreign exchange interventions

This bachelor thesis is focused on the use of unconventional methods of how the exchange rate is used to control inflation by the Czech National Bank at a time when conventional tools have been exhausted. The purpose of the thesis is to evaluate the effects of the use of unconventional instruments by way of direct foreign exchange interventions on economic variables. For this evaluation I used standard comparison methods. In the first case I compared the goals of the intervention against what the Czech National Bank actually declared as an outcome of these variables. In the second case I stated the comparison of intervention regimes in the Czech Republic and Switzerland, with emphasis on the exit from the regime, which, together with a detailed analysis of the effects of interventions is the biggest contribution to this work.