Posts

• Does Indexation Bias the Estimated Frequency of Price Adjustment?

  Staff Working Paper 2007-15 Maral Kichian, Oleksiy Kryvtsov

  We assess the implications of price indexation for estimated frequency of price adjustment in sticky price models of business cycles. These models predominantly assume that non-reoptimized prices are indexed to lagged or average inflation.

  Content Type(s): Staff research, Staff working papers Topic(s): Econometric and statistical methods, Economic models, Inflation and prices JEL Code(s): E, E3, E31, E37

• Exporting and FDI with Endogenous Productivity

  Staff Working Paper 2007-14 Oana Secrieru, Marianne Vigneault

  This paper provides an analysis of how a firm’s decision to serve a foreign market by exporting or by engaging in foreign direct investment (FDI) affects firm productivity, when productivity is endogeneous as a function of training. The main result of our paper is that, with endogeneous productivity, exporting results in lower productivity than does FDI, but exporting may result in higher or lower employment and output than does FDI.

  Content Type(s): Staff research, Staff working papers Topic(s): International topics, Labour markets, Productivity JEL Code(s): F, F2, F22, F23
• March 1, 2007

  Canadians need to strike back in fight against fraud

  Media Relations Ottawa, Ontario

  Canadians need to be more vigilant in the fight against fraud, senior law enforcement and government officials are warning.

  Content Type(s): Press, Press releases
• February 22, 2007

  Adjusting to Economic Change

  Remarks Sheryl Kennedy Greater Saskatoon Chamber of Commerce Saskatoon, Saskatchewan

  The past five years have indeed been a period of great and relatively rapid economic change, both here in Saskatchewan and across the country. In my remarks today, I'd like to describe this change and discuss its significance to our economic well-being.

  Content Type(s): Press, Speeches and appearances, Remarks
• February 20, 2007

  Standing Senate Committee on National Finance

  Remarks Paul Jenkins Standing Senate Committee on National Finance Ottawa, Ontario

  The preamble of this bill addresses some very important issues: the need for Canadians to trust in the management of the public purse, and the importance of openness and accountability. I can assure you that the Bank of Canada takes these issues very seriously.

  Content Type(s): Press, Speeches and appearances, Remarks
• February 15, 2007

  Temporary measures to reinforce the target for the overnight rate

  On 9 March 2006, the Bank of Canada announced temporary measures to reinforce its target for the overnight rate. Specifically, the Bank announced that it would reduce the target for settlement balances to zero and, on a temporary basis, no longer commit to neutralizing all of the Sale and Repurchase Agreements (SRAs) conducted.

  Content Type(s): Press, Market notices

• Optimization in a Simulation Setting: Use of Function Approximation in Debt Strategy Analysis

  Staff Working Paper 2007-13 David Bolder, Tiago Rubin

  The stochastic simulation model suggested by Bolder (2003) for the analysis of the federal government's debt-management strategy provides a wide variety of useful information. It does not, however, assist in determining an optimal debt-management strategy for the government in its current form.

  Content Type(s): Staff research, Staff working papers Topic(s): Debt management, Econometric and statistical methods, Financial markets, Fiscal policy JEL Code(s): C, C0, C1, C14, C15, C5, C51, C52, C6, C61, C65, E, E6, G, G1, H, H6, H63

• Schooling, Inequality and Government Policy

  Staff Working Paper 2007-12 Oleksiy Kryvtsov, Alexander Ueberfeldt

  This paper asks: What is the effect of government policy on output and inequality in an environment with education and labor-supply decisions? The answer is given in a general equilibrium model, consistent with the post 1960s facts on male wage inequality and labor supply in the U.S. In the model, education and labor-supply decisions depend on progressive income taxation, the education system, the social security system, and technology-driven wage differentials.

  Content Type(s): Staff research, Staff working papers Topic(s): Labour markets, Potential output, Productivity JEL Code(s): H, H5, H52, J, J3, J31, J38

• Uncollateralized Overnight Loans Settled in LVTS

  Staff Working Paper 2007-11 Scott Hendry, Nadja Kamhi

  Loan-level data on the uncollateralized overnight loan market is generated using payment data from Canada's Large Value Transfer System (LVTS) and a modified version of the methodology proposed in Furfine (1999). There were on average just under 100 loans extended in this market each day from March 2004 to March 2006 for a total daily value of about $5 billion.

  Content Type(s): Staff research, Staff working papers Topic(s): Financial markets, Interest rates JEL Code(s): E, E4, E44, E5, E50, G, G1, G12

• Do We Need the IMF to Resolve a Crisis? Lessons from Past Episodes of Debt Restructuring

  Staff Working Paper 2007-10 Philipp Maier

  This study investigate how debt restructurings have evolved over the decades. Debtors and creditors have a long history of engaging an outsider – a “third party”, such as the IMF – to organise and facilitate debt restructurings.

  Content Type(s): Staff research, Staff working papers Topic(s): Financial stability, International topics JEL Code(s): E, E5, F, F3, N, N1, N2