James Chapman
Deputy Managing Director
- B.A. Economics Concordia University (1998)
- M.A. Economics Concordia University (2001)
- M.Sc Statistics University of Iowa (2006)
- Ph.D. Economics University of Iowa (2006)
Bio
James Chapman is the Deputy Managing Director in the Banking and Payments Department (BAP) at the Bank of Canada. James received a Ph.D. in economics and a MSc in statistics from the University of Iowa in 2006. He joined the Bank of Canada as a senior analyst in that year. James’s primary research focus has been on interbank market and financial market infrastructure issues such as liquidity risk and credit risk in large-value payment systems as well as the efficiency of interbank markets. Recently James’s research focus has evolved to include research on fintech related topics. These topics include the use of distributed ledger technology in financial market infrastructure, specifically the Bank’s Project Jasper, as well as questions related to digital currencies such as Bitcoin, Ethereum and initial coin offerings. From March 2015 to October 2016 James was the research director at Payments Canada the operator of the core Canadian payments infrastructure.
Staff discussion papers
Crypto ‘Money’: Perspective of a Couple of Canadian Central Bankers
Public Policy Objectives and the Next Generation of CPA Systems: An Analytical Framework
Liquidity Efficiency and Distribution in the LVTS: Non-Neutrality of System Changes under Network Asymmetry
Staff working papers
Macroeconomic Predictions Using Payments Data and Machine Learning
Using Payments Data to Nowcast Macroeconomic Variables During the Onset of COVID-19
Should Bank Capital Regulation Be Risk Sensitive?
Asset Encumbrance, Bank Funding and Financial Fragility
Efficiency and Bargaining Power in the Interbank Loan Market
Central Bank Haircut Policy
Estimating the Structure of the Payment Network in the LVTS: An Application of Estimating Communities in Network Data
Which Bank is the "Central" Bank? An Application of Markov Theory to the Canadian Large Value Transfer System
Policy Coordination in an International Payment System
A Model of Tiered Settlement Networks
Technical reports
Shock Transmission Through International Banks: Canada
Bank publications
Bank of Canada Review articles
Conference Summary: Financial Intermediation and Vulnerabilities
Liquidity Provision and Collateral Haircuts in Payments Systems
Payment Networks: A Review of Recent Research
Financial System Review articles
Project Jasper: Are Distributed Wholesale Payment Systems Feasible Yet?
This report describes a joint endeavour between public and private sectors to explore a wholesale payment system based on distributed ledger technology (DLT). They find that a stand-alone DLT system is unlikely to be as beneficial as a centralized payment system in terms of core operating costs; however, it could increase financial system efficiency as a result of integration with the broader financial market infrastructure.
Journal publications
Journal articles
- "Efficiency and Bargaining Power in the Interbank Loan Market”
(with Jason Allen, Federico Echenique and Matthew Shum), International Economic Review, May 2016, vol. 57(2), p. 691-716. - “Central Bank Haircut Policy”
(with Jonathan Chiu and Miguel Molico) Annals of Finance, Vol. 7, No. 3, (August 2011), pages 319-348 - “A Model of Tiered Settlement Networks”
(with Jonathan Chiu and Miguel Molico) Journal of Money, Credit and Banking, Forthcoming - “Rediscounting Under Aggregate Risk with Moral Hazard”
(with Antoine Martin) Journal of Money, Credit and Banking, Forthcoming - "Bounding Revenue Comparisons across Multi-Unit Auction Formats under ?-Best Response"
(with David McAdams and Harry J. Paarsch) American Economic Review, Vol. 97, No. 2 (May 2007), pages 455-458. - "Which Bank is the 'Central' Bank? An Application of Markov Theory to the Canadian Large-Value Transfer System"
(with Morten Bech and Rod Garratt), Journal of Monetary Economics, Vol. 57, No. 3 (April 2010), pages 352-363.
Other
Research
- "Bounding Best-Response Violations in Discriminatory Auctions with Private Values"
(with David McAdams and Harry J. Paarsch)
Work in progress
- "Matching in the Interbank Market"