- International Monetary Fund
- Published Date:
- October 1990
Occasional Papers of the International Monetary Fund
72. The Czech and Slovak Federal Republic: A Economy in Transition, by Jim Prust and an IMF Staff Team, 1990.
71. MULTIMOD Mark II: A Revised and Extended Model, by Paul Masson, Steven Symansky, and Guy Meredith. 1990.
70. The Conduct of Monetary Policy in the Major Industrial Countries: Instruments and Operating Procedures, by Dallas S. Batten, Michael P. Blackwell, In-Su Kim, Simon E. Nocera, and Yuzuru Ozeki. 1990.
69. International Comparisons of Government Expenditure Revisited: The Developing Countries, 1975–86, By Peter S. Heller and Jack Diamond. 1990.
68. Debt Reduction and Economic Activity, by Michael P. Dooley, David Folkerts-Landau, Richard D, Haas, Steven A. Symansky, and Ralph W. Tryon. 1990.
67. The Role of National Saving in the World Economy: Recent Trends and Prospects, by Bijan B. Aghevli, James M. Boughton, Peter J. Montiel, Delano Villanueva, and Geoffrey Woglom. 1990.
66. The European Monetary System in the Context of the Integration of European Financial Markets, by David Folkerts-Landau and Donald J, Mathieson, 1989.
65. Managing Financial Risks in Indebted Developing Countries, by Donald J. Mathieson, David Folkerts-Landau, Timothy Lane, and Iqbal Zaidi. 1989.
64. The Federal Republic of Germany: Adjustment in a Surplus Country, by Leslie Lipschitz, Jeroen Kremers, Thomas Mayer, and Donogh McDonald. 1989.
63. Issues and Developments in International Trade Policy, by Margaret Kelly, Naheed Kirmani, Miranda Xafa, Clemens Boonekamp, and Peter Winglee. 1988.
62. The Common Agricultural Policy of the European Community: Principles and Consequences, by Julius Rosenblatt, Thomas Mayer, Kasper Bartholdy, Dimitrios Demekas, Sanjeev Gupta, and Leslie Lipschitz. 1988.
61. Policy Coordination in the European Monetary System. Part I: The European Monetary System: A Balance Between Rules and Discretion, by Manuel Guitián. Part II: Monetary Coordination Within the European Monetary System: Is There a Rule? by Massimo Russo and Giuseppe Tullio. 1988.
60. Policies for Developing Forward Foreign Exchange Markets, by Peter J. Quirk, Graham Hacche, Viktor Schoofs, and Lothar Weniger. 1988.
59. Measurement of Fiscal Impact: Methodological Issues, edited by Mario I. Blejer and Ke-Young Chu. 1988.
58. The Implications of Fund-Supported Adjustment Programs for Poverty: Experiences in Selected Countries, by Peter S. Heller, A. Lans Bovenberg, Thanos Catsambas, Ke-Young Chu, and Parthasarathi Shome. 1988.
57. The Search for Efficiency in the Adjustment Process: Spain in the 1980s, by Augusto Lopez-Claros. 1988.
56. Privatization and Public Enterprises, by Richard Hemming and Ali M, Mansoor. 1988.
55. Theoretical Aspects of the Design of Fund-Supported Adjustment Programs: A Study by the Research Department of the International Monetary Fund. 1987.
54. Protection and Liberalization: A Review of Analytical Issues, by W. Max Corden. 1987.
53. Floating Exchange Rates in Developing Countries: Experience with Auction and Interbank Markets, by Peter J. Quirk, Benedicte Vibe Christensen, Kyung-Mo Huh, and Toshihiko Sasaki. 1987.
52. Structural Reform, Stabilization, and Growth in Turkey, by George Kopits, 1987.
51. The Role of the SDR in the International Monetary System: Studies by the Research and Treasurer’s Departments of the International Monetary Fund. 1987.
50. Strengthening the International Monetary System: Exchange Rates, Surveillance, and Objective Indicators, by Andrew Crockett and Morris Goldstein. 1987.
49. Islamic Banking, by Zubair Iqbal and Abbas Mirakhor. 1987.
48. The European Monetary System: Recent Developments, by Horst Ungerer, Owen Evans, Thomas Mayer, and Philip Young. 1986.
47. Aging and Social Expenditure in the Major Industrial Countries, 1980–2025, by Peter S. Heller, Richard Hemming, Peter W. Kohnert, and a Staff Team from the Fiscal Affairs Department. 1986.
46. Fund-Supported Programs, Fiscal Policy, and Income Distribution: A Study by the Fiscal Affairs Department of the International Monetary Fund. 1986.
45. Switzerland’s Role as an International Financial Center, by Benedicte Vibe Christensen. 1986.
44. A Review of the Fiscal Impulse Measure, by Peter S. Heller, Richard D. Haas, and Ahsan H. Mansur. 1986.
42. Global Effects of Fund-Supported Adjustment Programs, by Morris Goldstein. 1986.
41. Fund-Supported Adjustment Programs and Economic Growth, by Mohsin S. Kahn and Malcolm D. Knight. 1985.
39. A Case of Successful Adjustment: Korea’s Experience During 1980–84, by Bijan B. Aghevli and Jorge Márquez-Ruarte. 1985.
38. Trade Policy Issues and Developments, by Shailendra J. Anjaria. Naheed Kirmani, and Arne B. Petersen. 1985.
36. Formulation of Exchange Rate Policies in Adjustment Programs, by a Staff Team Headed by G.G. Johnson. 1985.
35. The West African Monetary Union: An Analytical Review, by Rattan J. Bhatia. 1985.
34. Adjustment Programs in Africa: The Recent Experience, by Justin B. Zulu and Saleh M. Nsouli. 1985.
33. Foreign Private Investment in Developing Countries: A Study by the Research Department of the International Monetary Fund. 1985.
30. The Exchange Rate System—Lessons of the Past and Options for the Future: A Study by the Research Department of the International Monetary Fund. 1984.
29. Issues in the Assessment of the Exchange Rates of Industrial Countries: A Study by the Research Department of the International Monetary Fund. 1984.
28. Exchange Rate Volatility and World Trade: A Study by the Research Department of the International Monetary Fund. 1984.
26. The Fund, Commercial Banks, and Member Countries, by Paul Mentré. 1984.
24. Government Employment and Pay: Some International Comparisons, by Peter S. Heller and Alan A. Tait. 1983. Revised 1984.
22. Interest Rate Policies in Developing Countries: A Study by the Research Department of the International Monetary Fund. 1983.
Note: For information on the title and availability of Occasional Papers not listed, please consult the IMF Publications Catalog or contact IMF Publications Services. Occasional Papers Nos. 5–26 are $5.00 a copy (academic rate: $3.00); Nos. 27–64 are $7.50 a copy (academic rate: $4.50); and from No. 65 on, the price is $10.00 a copy (academic rate: $7.50).
The official exchange rate, however, was appreciated against the U.S. dollar at the end of 1971 and in 1973 so that unchanged coefficients implied a corresponding appreciation of the commercial and noncommercial exchange rates.
The basis for this tax/subsidy system is described in Appendix 1.
Appendix 1 describes the components of government and the nature of revenues and expenditures.
This analysis excludes the transfer of government credits from the State Bank to the state budget in 1989, Valued at Kcs 61 billion, the transfer reduced deposits of the state budget held with the State Bank, and hence boosts domestic credit, offset by a counter movement in net foreign assets.
Coverage of goods and services varies (see Appendix Table A30).
Excludes subsidies between enterprises carried out outside the state budget (e.g., through VHJs).
The Joint Ventures Act also regulates 100 percent foreign-owned companies.
Excluded from the definition of general government are subsidized organizations. These are mainly cultural and research agencies which receive transfers from the state budget and national committees, but also earn their own revenues, and operate relatively autonomously.
Until January 15, certain invoices outstanding for capita! expenditure may be liquidated; before February 15, enterprises must have calculated their profits and remitted all taxes; by March 20, transfers to enterprises to cover deficits must be settled; by March 30, transfers to lower levels of government to cover their deficits must be settled; and during April, the accounts of the state budget with the State Bank are balanced.
These are treated as revenue in the Czechoslovak presentation of budget statistics.
In the Czechoslovak presentation, turnover tax receipts are smaller, because only the net of turnover tax receipts and subsidies paid in the form of negative turnover lax is included in the state budget.
Technically from 1990 the rate is already 55 percent, but a surcharge of 10 percent in 1990 and 5 percent in 1991 is being levied on companies who formerly paid the higher rates.
The reporting system for FENZO does not permit a complete breakdown of trade subsidies and taxes at the budgetary level. Hence, the figures included in non-tax revenue of the state budget are net of import subsidies distributed to enterprises below the level of the republics.
At the end of April 1990, the noncommercial exchange rates were in the range Kcs 8–10 per U.S.S.R. ruble and Kcs 12–33 per transferable ruble.
As an exception to this rule, in January 1990 when the koruna was depreciated against the U.S. dollar, the buyback claims (denominated in local currency) were raised by a similar amount.
Foreign exchange is surrendered to the Obchodni Bank which administers the pool of foreign exchange on behalf of the State Bank and the Government.
At the end of 1989, total foreign currency deposits amounted to the equivalent of US$294 million, of which US$119 million was held by households and the remainder by enterprises. In addition, enterprises held buyback claims on foreign exchange, which were denominated in koruny.
Before 1989 the foreign exchange plan also specified exports and imports by enterprises.
Obligatory exports account for about 40 percent of exports to the nonconvertible area.
In 1989 the total export premium amounted to Kcs 2.8 billion or 1.5 percent of exports.
An amendment to the law introduced in April 1990 allowed 100 percent foreign ownership in companies in Czechoslovakia. Although such companies are not joint ventures, they are still regulated by the Joint Ventures Act.
The GDP figures were derived from the output and costs elements of NMP by origin, combined with data for missing components. To some extent, the authorities have estimated some information for earlier years based on more detailed analyses for 1987 and 1988.