Staff working papers provide a forum for staff to publish work-in-progress research intended for journal publication.
1302
result(s)
Asymmetric Systemic Risk
Staff Working Paper 2022-19
Radoslav Raykov,
Consuelo Silva-Buston
Bank regulation presumes risks spill over more easily from large banks to the banking system than vice versa. Interestingly, we observe this is not the case. We find that the capacity to transmit risk is larger in the system-to-bank direction, leading to an increased default risk.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Financial institutions,
Financial stability,
Financial system regulation and policies
JEL Code(s):
G,
G1,
G10,
G2,
G20
Exports and the Exchange Rate: A General Equilibrium Perspective
Staff Working Paper 2022-18
Patrick Alexander,
Abeer Reza
How do a country’s exports change when its currency depreciates? Does it matter which forces drive the exchange rate deprecation in the first place? We find that this relationship varies greatly depending on what drives exchange rate movements, and we conclude that the direct relationship between the exchange rate and exports is weak for Canada.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Balance of payments and components,
Business fluctuations and cycles,
Exchange rate regimes,
Exchange rates,
International topics,
Monetary policy transmission,
Trade integration
JEL Code(s):
F,
F3,
F31,
F32,
F33,
F4,
F41
What COVID-19 May Leave Behind: Technology-Related Job Postings in Canada
Staff Working Paper 2022-17
Alejandra Bellatin,
Gabriela Galassi
COVID-19 affects technology adoption: online job postings for technology-related occupations fall less during pandemic lockdowns and pick up faster during reopenings than postings for more traditional occupations.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Coronavirus disease (COVID-19),
Econometric and statistical methods,
Labour markets
JEL Code(s):
J,
J2,
J23,
J24,
O,
O1,
O14
Addictive Platforms
Staff Working Paper 2022-16
Shota Ichihashi,
Byung-Cheol Kim
We study competition for consumer attention, in which platforms can sacrifice service quality for attention. A platform can choose the “addictiveness” of its service.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Economic models
JEL Code(s):
D,
D4,
D40,
L,
L5,
L51
Equilibrium in Two-Sided Markets for Payments: Consumer Awareness and the Welfare Cost of the Interchange Fee
Staff Working Paper 2022-15
Kim Huynh,
Gradon Nicholls,
Oleksandr Shcherbakov
We construct and estimate a structural two-stage model of equilibrium in a market for payments in order to quantify the network externalities and identify the main determinants of consumer and merchant decisions.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Bank notes,
Digital currencies and fintech,
Econometric and statistical methods,
Financial services
JEL Code(s):
C,
C5,
C51,
D,
D1,
D12,
E,
E4,
E42,
L,
L1,
L14
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
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
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
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