Central Prague is very compact and walkable. If your hotel is in the Old Town, or almost anywhere in Prague 1, you can probably walk wherever you want to go. If you need transportation, Prague offers a multitude of options.
Metro: Prague's metro is fast and reliable. There are several metro lines and all come thru the center of the city, with the main stops at Staremeska (Old Town) and Mustek (Wenceslas Square). It costs only 12 crowns per trip (about 40 Eurocents). There are discount cards for 3 or more days, but you are unlikely to need public transport that much to realize any savings.
Trams: The trams are very convenient and travel surface routes that the metro misses. Especially useful to visitors are the lines that run along the river. The trams use the same tickets as the buses and metro, and transfers are allowed between them. Trams allow you to see much more of the city than the metro, but they can get very crowded during the rush hour.
Buses: Like the trams the buses run outward from the city towards the suburbs. These can be useful if your hotel is outside the city center or you have a reason to venture further.
Taxis: Public transportation peters out around 1:30 am so many people need to take a taxi back to their hotel late at night. Prague's taxi system is notorious for ripping off unsuspecting tourists. Their methods are many, but often involve no meter or a meter that runs too fast. The best idea is to negotiate a price before going anywhere. It shouldn't cost more than 300 crowns (about 10 Euros) to go anywhere within the center of the city, up to around 500 crowns for outlying regions.
Stories of taxis taking the "scenic route" all around Prague abound, with fares going beyond 50 Euros. So be careful. Many sources recommend AAA Taxi (phone: 140-14) or Profi Taxi as being the most fair. It's best to call them and have them pick you up. You can also arrange a taxi to take you around to several destinations. Your hotel can set this up for you, but it'll cost more than just calling one as you need it.
From the Airport: You have a wide variety of choices for transport from the airport. The cheapest of which is the Airport bus, #119. It can be found directly in front of the terminal. It will take you to a metro station, where you can get into the city center. It's not the fastest way in, but very cheap. If you have a lot of luggage, you probably don't want to go by bus.
Minivan: Also right outside the terminal is a fleet of minivans which will take you right to your hotel in Prague for a very reasonable 350 crowns (about 12 Euros) for 1 to 4 persons. But since these minivans can hold about 8 people, they will try to fill them up before leaving, and you may have to wait around before they go. Six of us waited more than 15 minutes, and no one else showed up!
Taxi: This is the big ripoff in Prague. You can pay anywhere from 20-50 Euros for this service, but it would be the fastest way if you're in a hurry. If you speak fluent Czech, it would probably be less than half the price. For two or more people it's probably not a bad deal, but be sure to agree on the price before you get in the taxi.
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