Posts

• Could a Higher Inflation Target Enhance Macroeconomic Stability?

  Staff Working Paper 2018-17 José Dorich, Nicholas Labelle, Vadym Lepetyuk, Rhys R. Mendes

  Recent international experience with the effective lower bound on nominal interest rates has rekindled interest in the benefits of inflation targets above 2 per cent. We evaluate whether an increase in the inflation target to 3 or 4 per cent could improve macroeconomic stability in the Canadian economy.

  Content Type(s): Staff research, Staff working papers Topic(s): Economic models, Inflation targets, Monetary policy framework JEL Code(s): E, E3, E32, E37, E4, E43, E5, E52

• Order Flow Segmentation, Liquidity and Price Discovery: The Role of Latency Delays

  Staff Working Paper 2018-16 Michael Brolley, David Cimon

  Latency delays—known as “speed bumps”—are an intentional slowing of order flow by exchanges. Supporters contend that delays protect market makers from high-frequency arbitrage, while opponents warn that delays promote “quote fading” by market makers. We construct a model of informed trading in a fragmented market, where one market operates a conventional order book and the other imposes a latency delay on market orders.

  Content Type(s): Staff research, Staff working papers Topic(s): Financial markets, Financial system regulation and policies, Market structure and pricing JEL Code(s): G, G1, G14, G18
• March 31, 2018

  Research Update - March 2018

  This monthly newsletter features the latest research publications by Bank of Canada economists including external publications and working papers published on the Bank of Canada’s website.

  Content Type(s): Staff research, Research newsletters
• March 29, 2018

  Banking and Financial Statistics - March 2018

  Content Type(s): Publications, Historical: Banking and Financial Statistics
• March 27, 2018

  Government of Canada Debt Distribution Framework Review Consultations

  A consultation document pertaining to the design of the Government of Canada debt distribution framework, prepared jointly by the Department of Finance and the Bank of Canada, is being made public today.

  Content Type(s): Press, Market notices

• Firm Dynamics and Multifactor Productivity: An Empirical Exploration

  Staff Working Paper 2018-15 Pierre St-Amant, David Tessier

  There are indications that business dynamism has declined in advanced economies. In particular, firm entry and exit rates have fallen, suggesting that the creative destruction process has lost some of its vitality. Meanwhile, productivity growth has slowed. Some believe that lower entry and exit rates partly explain the weaker productivity growth.

  Content Type(s): Staff research, Staff working papers Topic(s): Firm dynamics, Productivity JEL Code(s): D, D2, D24, M, M1, M13, O, O4, O47

• Did Canadian Corporate Bond Funds Increase their Exposures to Risks?

  Staff Analytical Note 2018-7 Rohan Arora, Nadeem Merali, Guillaume Ouellet Leblanc

  Canadian corporate bond mutual funds have rapidly increased in number and size in recent years. Their holdings have also become riskier, increasing their exposures to credit risk, interest rate risk and liquidity risk. We also briefly discuss financial stability implications.

  Content Type(s): Staff research, Staff analytical notes Topic(s): Financial markets, Financial stability JEL Code(s): G, G1, G2, G20, G23
• March 26, 2018

  Annual Report 2017

  

  The Annual Report outlines the Bank’s activities and achievements in 2017. It includes the financial statements and a message from Governor Stephen S. Poloz.

  Content Type(s): Publications, Annual Report
• March 26, 2018

  CARR Meeting (March 26, 2018)

  Content Type(s): Meetings Source(s): Canadian Alternative Reference Rate Working Group
• March 26, 2018

  The Bank of Canada releases its Annual Report for 2017

  Media Relations Ottawa, Ontario

  The Bank of Canada’s Annual Report for 2017 was tabled in the House of Commons today.

  Content Type(s): Press, Press releases