Uncategorized

• March 18, 2003

  The Benefits of Sound Economic Policies

  Remarks David Dodge Italian Bankers Association Rome, Italy

  Canada and Italy share many similar characteristics. We both belong to the G-7, and we are among the smaller members of that group. Our two economies vary greatly from region to region, both in terms of structure and strength.

  Content Type(s): Press, Speeches and appearances, Remarks
• March 12, 2003

  Website Awards Event

  Remarks David Dodge Website Awards Event, Central Banking Publications and Lombard Street Research London, United Kingdom

  It has become almost a cliché to point out that "Internet time moves faster than normal time." But I'm reminded of that observation as I accept this award - an award for achievement in a medium that barely existed ten years ago.

  Content Type(s): Press, Speeches and appearances, Remarks
• March 12, 2003

  Meeting Global Challenges: The Importance of Sound Economic Policies

  Remarks David Dodge Canada-UK Chamber of Commerce London, United Kingdom

  We are facing a time of great economic and political uncertainty. While economic activity is close to potential in Canada, most other countries are facing very weak demand and lacklustre economic prospects. And, of course, there is the overriding prospect of a war in Iraq.

  Content Type(s): Press, Speeches and appearances, Remarks
• March 4, 2003

  Bank of Canada raises overnight rate target by 1/4 percentage point to 3 per cent

  Media Relations Ottawa, Ontario

  The Bank of Canada today announced that it is raising its target for the overnight rate by one-quarter of one percentage point to 3 per cent.

  Content Type(s): Press, Press releases

• Testing the Stability of the Canadian Phillips Curve Using Exact Methods

  Staff Working Paper 2003-7 Lynda Khalaf, Maral Kichian

  Postulating two different specifications for the Canadian Phillips curve (a purely backwardlooking model, and a partly backward-, partly forward-looking model), the authors test for structural breaks in the parameters of the equation. In each case, they account for the possibilities that: (i) breaks can be discrete, or continuous, and (ii) available data samples may be too small to justify using asymptotically valid structural-change tests.

  Content Type(s): Staff research, Staff working papers Topic(s): Econometric and statistical methods JEL Code(s): C, C1, C15, C5, C52, E, E3, E31, E37

• Valuation of Canadian- vs. U.S.-Listed Equity: Is There a Discount?

  Staff Working Paper 2003-6 Michael R. King, Dan Segal

  The authors examine how the valuation multiples assigned to the equity of Canadian-listed firms compare with the equity of comparable firms listed in the United States. They find that Canadian-listed firms trade at a discount to U.S.-listed firms across a range of valuation measures.

  Content Type(s): Staff research, Staff working papers Topic(s): Financial markets JEL Code(s): G, G1, G12, G15
• February 26, 2003

  Bank of Canada Announces First Research Fellowship Awards

  Media Relations Ottawa, Ontario

  The Bank of Canada today announced the first two fellowship awards for 2003 under its Fellowship Program launched late last year.

  Content Type(s): Press, Press releases Source(s): Fellowship Program
• February 18, 2003

  Government of Canada Debt Programs - Follow up to Change in Debt Structure Announced in 2003 Budget

  As announced in the 2003 Budget, the Government will gradually reduce the fixed-rate portion of the debt from two-thirds to 60 per cent. The reduction will begin in the upcoming fiscal year and will be implemented in an orderly and transparent manner over the next five years to maintain a well-functioning Government of Canada securities market.

  Content Type(s): Press, Market notices

• Shift Contagion in Asset Markets

  Staff Working Paper 2003-5 Toni Gravelle, Maral Kichian, James Morley

  The authors develop a new methodology to investigate how crises cause the relationship between financial variables to change. Two possible sources of increased co-movement between markets during high-variance episodes are considered: larger common shocks operating through standard market linkages, and a structural change in the propagation of shocks between markets, called "shift contagion."

  Content Type(s): Staff research, Staff working papers Topic(s): Econometric and statistical methods, Financial markets JEL Code(s): C, C3, C32, F, F4, F42, G, G1, G15

• Are Distorted Beliefs Too Good to be True?

  Staff Working Paper 2003-4 Miroslav Misina

  In a recent attempt to account for the equity-premium puzzle within a representative-agent model, Cecchetti, Lam, and Mark (2000) relax the assumption of rational expectations and in its place use the assumption of distorted beliefs. The author shows that the explanatory power of the distorted beliefs model is due to an inconsistency in the model and that an attempt to remove this inconsistency removes the model's explanatory power.

  Content Type(s): Staff research, Staff working papers Topic(s): Economic models, Financial markets JEL Code(s): D, D8, D84, G, G1, G12