November 22, 2023
Posts
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A Dynamic Factor Model for Nowcasting Canadian GDP Growth
This paper estimates a dynamic factor model (DFM) for nowcasting Canadian gross domestic product. The model is estimated with a mix of soft and hard indicators, and it features a high share of international data. -
Non-Linearities, Model Uncertainty, and Macro Stress Testing
A distinguishing feature of macro stress testing exercises is the use of macroeconomic models in scenario design and implementation. It is widely agreed that scenarios should be based on "rare but plausible" events that have either resulted in vulnerabilities in the past or could do so in the future. -
Sovereign Default and State-Contingent Debt
The Latin American debt crises in the 1980s and the Asian crisis in the late 1990s both provided impetus for reforming the framework for restructuring sovereign debt. In the late 1980s, the Brady plan established the importance of substantive debt relief in addressing some crises. -
Credit Risk and Collateral Demand in a Retail Payment System
The recent financial crisis has led to the development of new regulations to control risk in designated payment systems, and the implementation of new credit risk management standards is one of the key issues. In this paper, we study various credit risk management schemes for the Canadian retail payment system (ACSS) that are designed to cover the exposure of a defaulting member. -
November 9, 2023
Financial stability in a world of higher interest rates
Senior Deputy Governor Carolyn Rogers talks about financial stability in an era of higher interest rates. -
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December 23, 2005
70 Years of Central Banking in Canada
Remarks by David Dodge, Governor of the Bank of Canada, to the Canadian Economics Association -
Globalization and Inflation: The Role of China
In this paper, we develop a theoretical model which identifies four channels–import prices, competition with domestic suppliers and workers, and commodity prices–through which price- and wage-setting conditions in country j may affect inflation in country i. -
May 16, 2001
Core Principles for Systemically Important Payments Systems and Their Application in Canada
Systemically important payments systems are systems that, because of the size or the nature of the payments they process, could trigger or transmit serious shocks across domestic or international financial systems if they were insufficiently protected against risk. This article describes the overall framework of core principles developed for the design, operation, and oversight of such payments systems. The article reviews the role of the task force established to develop the core principles and examines the core principles themselves. It also examines the role of central banks in overseeing major payments systems and in applying the core principles to them. The focus is on the Bank of Canada's oversight responsibilities under the Payment Clearing and Settlement Act and on Canada's systemically important payments system—the LVTS.