Posts

• The Impact of the Global Business Cycle on Small Open Economies: A FAVAR Approach for Canada

  Staff Working Paper 2011-2 Garima Vasishtha, Philipp Maier

  Building on the growing evidence on the importance of large data sets for empirical macroeconomic modeling, we use a factor-augmented VAR (FAVAR) model with more than 260 series for 20 OECD countries to analyze how global developments affect the Canadian economy.

  Content Type(s): Staff research, Staff working papers Topic(s): Business fluctuations and cycles, Econometric and statistical methods, International topics JEL Code(s): C, C3, C32, F, F4, F41

• Financial Spillovers Across Countries: The Case of Canada and the United States

  Staff Discussion Paper 2011-1 Kimberly Beaton, Brigitte Desroches

  The authors investigate financial spillovers across countries with an emphasis on the effect of shocks to financial conditions in the United States on financial conditions and economic activity in Canada. These questions are addressed within a global vector autoregression model.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Business fluctuations and cycles, Economic models, Financial stability, International topics JEL Code(s): E, E2, E27, E3, E32, F, F3, F36, F4, F40

• Building New Plants or Entering by Acquisition? Estimation of an Entry Model for the U.S. Cement Industry

  Staff Working Paper 2011-1 Héctor Pérez Saiz

  In many industries, firms usually have two choices when expanding into new markets: They can either build a new plant (greenfield entry) or they can acquire an existing incumbent. In the U.S. cement industry, the comparative advantage (e.g., TFP or size) of entrants versus incumbents and regulatory entry barriers are important factors that determine the means of expansion.

  Content Type(s): Staff research, Staff working papers Topic(s): Econometric and statistical methods, Market structure and pricing, Productivity JEL Code(s): L, L1, L13, L4, L40, L6, L61
• January 19, 2011

  Release of the Monetary Policy Report

  Opening statement Mark Carney Ottawa, Ontario

  The global economic recovery is proceeding at a somewhat faster pace than the Bank had anticipated, although risks remain elevated. Private domestic demand in the United States has picked up and will be reinforced by recently announced monetary and fiscal stimulus.

  Content Type(s): Press, Speeches and appearances, Opening statements
• January 19, 2011

  Monetary Policy Report – January 2011

  

  This is a report of the Governing Council of the Bank of Canada: Mark Carney, Tiff Macklem, John Murray, Timothy Lane, Jean Boivin and Agathe Côté. It presents the Bank’s outlook based on data received up to 14 January 2011.

  Content Type(s): Publications, Monetary Policy Report
• January 18, 2011

  Bank of Canada maintains overnight rate target at 1 per cent

  Media Relations Ottawa, Ontario

  The Bank of Canada today announced that it is maintaining its target for the overnight rate at 1 per cent. The Bank Rate is correspondingly 1 1/4 per cent and the deposit rate is 3/4 per cent.

  Content Type(s): Press, Press releases
• January 10, 2011

  Household Finances and Economic Growth

  Remarks Agathe Côté Canadian Club of Kingston Kingston, Ontario

  Why does household financial health matter to the Bank of Canada? It matters because how Canadians spend and how much they spend affect both the conduct of monetary policy and the stability of the financial system.

  Content Type(s): Press, Speeches and appearances, Remarks
• January 10, 2011

  Business Outlook Survey - Winter 2010-11

  Overall, businesses continue to be positive about the outlook for the next 12 months. While survey responses generally still indicate modest growth, with many firms citing headwinds from strong competition and moderate demand, the strength in commodity prices has led to increased optimism among those firms tied to commodity-related activity.

  Content Type(s): Publications, Business Outlook Survey
• January 10, 2011

  Senior Loan Officer Survey - Fourth-Quarter 2010

  The survey results point to an overall easing in business-lending conditions. Both the price and non-price aspects of business lending eased during the quarter. Note that the balance of opinion indicates only the direction of the change in lending conditions; it does not provide information on the magnitude of the change.

  Content Type(s): Publications, Senior Loan Officer Survey