Posts

• Job Ladder and Business Cycles

  Staff Working Paper 2022-14 Felipe Alves

  During downturns, workers get stuck in low-productivity jobs and wages remain stagnant. I build an heterogenous agent incomplete market model with a full job ladder that accounts for these facts. An adverse financial shock calibrated to the US Great Recession replicates the period’s slow recovery and missing disinflation.

  Content Type(s): Staff research, Staff working papers Topic(s): Business fluctuations and cycles, Inflation and prices, Labour markets, Productivity JEL Code(s): D, D3, D31, D5, D52, E, E2, E21, E24, E3, E31, E32
• March 21, 2022

  Operational details for upcoming secondary market purchases of Government of Canada securities (March 28-April 8)

  As previously announced, the Bank of Canada (the Bank) launched on April 1, 2020 a program to purchase Government of Canada securities in the secondary market – the Government Bond Purchase Program (GBPP).

  Content Type(s): Press, Market notices Source(s): Government of Canada Bond Purchase Program

• Vertical Bargaining and Obfuscation

  Staff Working Paper 2022-13 Edona Reshidi

  Is obscuring prices always bad for consumers? The answer depends on the market structure and on the negotiating power between manufacturers and retailers.

  Content Type(s): Staff research, Staff working papers Topic(s): Economic models, Market structure and pricing JEL Code(s): C, C7, C70, L, L1, L13, L4, L42

• COVID-19, Containment and Consumption

  Staff Discussion Paper 2022-5 Tatjana Dahlhaus, Daniel Hyun, Antoine Poulin-Moore, Jaime Trujillo, Saarah Sheikh, Benjamin Straus

  We assess the impact of COVID-19 on consumption indicators by estimating the effects of government-mandated containment measures and of the willingness of individuals to voluntarily physically distance to prevent contagion.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Coronavirus disease (COVID-19), Domestic demand and components JEL Code(s): C, C2, C23, D, D1, D12, E, E6, E65, I, I1, I18
• March 17, 2022

  CFIF Meeting (March 17, 2022)

  Content Type(s): Meetings Source(s): Canadian Fixed-Income Forum
• March 16, 2022

  Bank of Canada and Massachusetts Institute of Technology announce joint Central Bank Digital Currency collaboration

  Media Relations Ottawa, Ontario

  The Bank of Canada and the Massachusetts Institute of Technology (MIT) today announced an agreement to collaborate on a twelve-month research project on Central Bank Digital Currency (CBDC).

  Content Type(s): Press, Press releases Topic(s): Digital currencies and fintech

• Household Heterogeneity and the Performance of Monetary Policy Frameworks

  Staff Working Paper 2022-12 Edouard Djeutem, Mario He, Abeer Reza, Yang Zhang

  Consumption inequality and a low interest rate environment are two important trends in today’s economy. But the implications they may have—and how those implications interact—within different monetary policy frameworks are not well understood. We study the ranking of alternative frameworks that take these trends into account.

  Content Type(s): Staff research, Staff working papers Topic(s): Economic models, Monetary policy and uncertainty, Monetary policy framework, Monetary policy transmission JEL Code(s): D, D3, D31, D5, D52, E, E2, E21, E3, E31, E5, E52, E58
• March 7, 2022

  Operational details for upcoming secondary market purchases of Government of Canada securities (March 14-25)

  As previously announced, the Bank of Canada (the Bank) launched on April 1, 2020 a program to purchase Government of Canada securities in the secondary market – the Government Bond Purchase Program (GBPP).

  Content Type(s): Press, Market notices Source(s): Government of Canada Bond Purchase Program
• March 7, 2022

  CARR Meeting (March 7, 2022)

  Content Type(s): Meetings Source(s): Canadian Alternative Reference Rate Working Group

• The Central Bank Strikes Back! Credibility of Monetary Policy under Fiscal Influence

  Staff Working Paper 2022-11 Antoine Camous, Dmitry Matveev

  Central banks in many advanced economies enjoy a high degree of independence, which protects monetary policy decisions from political influence. But how should independent central banks react if pressured by fiscal policy-makers? We examine whether a central bank should design a monetary policy framework that prescribes acting conditionally on how fiscal policy behaves.

  Content Type(s): Staff research, Staff working papers Topic(s): Credibility, Fiscal policy, Monetary policy JEL Code(s): E, E0, E02, E5, E52, E58, E6, E61, E62