Do Exchange Rates Affect the Capital-Labour Ratio? Panel Evidence from Canadian Manufacturing Industries Staff Working Paper 2005-12 Danny Leung, Terence Yuen Using industry-level data for Canadian manufacturing industries from 1981 to 1997, the authors find empirical evidence of a negative relationship between the capital-labour ratio and the user cost of capital relative to the price of labour. Content Type(s): Staff research, Staff working papers Topic(s): Exchange rates, Productivity JEL Code(s): F, F4
An Analysis of Closure Policy under Alternative Regulatory Structures Staff Working Paper 2005-11 Greg Caldwell The author develops a theoretical model of bank closure. The regulatory decision about bank failure consists of two parts: whether to close and how to close. Content Type(s): Staff research, Staff working papers Topic(s): Financial institutions JEL Code(s): G, G2, G21, G28
Educational Spillovers: Does One Size Fit All? Staff Working Paper 2005-10 Robert Baumann, Raphael Solomon In a search model of production, where agents accumulate heterogeneous amounts of human capital, an individual worker's wage depends on average human capital in the searching population. Content Type(s): Staff research, Staff working papers Topic(s): Labour markets JEL Code(s): I, I2, I29, J, J2, J24, J3, J31
State Dependence in Fundamentals and Preferences Explains Risk-Aversion Puzzle Staff Working Paper 2005-9 Fousseni Chabi-Yo, René Garcia, Eric Renault The authors examine the ability of economic models with regime shifts to rationalize and explain the risk-aversion and pricing-kernel puzzles put forward in Jackwerth (2000). Content Type(s): Staff research, Staff working papers Topic(s): Financial markets, Market structure and pricing JEL Code(s): G, G1, G12, G13
March 30, 2005 Canada's Competitiveness: The Importance of Investing in Skills Remarks David Dodge Humber College Institute of Technology & Advanced Learning Toronto, Ontario Productivity plays a critical role when it comes to our national standard of living. Productivity growth is the main element that contributes to continued improvements in real incomes and overall prosperity. Rising productivity lets businesses pay higher wages, while keeping costs down, employment high, and profits coming in. That's why economists like me spend a lot of time thinking about ways to improve the productivity of our economy. Content Type(s): Press, Speeches and appearances, Remarks
March 28, 2005 The Thiessen Lectures Lectures delivered by Gordon G. Thiessen, Governor of the Bank of Canada 1994 to 2001 Content Type(s): Publications, Books and monographs
March 21, 2005 Debt Strategy Consultations 2005/06 and the Review of the Debt Distribution Framework - Summary of Comments In October and November 2004, officials from the Department of Finance and the Bank of Canada consulted with interested parties on issues related to the government's domestic debt program, and the review of the government's debt distribution framework. Content Type(s): Press, Market notices
March 21, 2005 Governor Dodge Discusses Canada's Experience with Inflation Targeting Media Relations Washington, D.C. Bank of Canada Governor David Dodge said today that Canada's experience under inflation targeting has been "unambiguously positive" since the central bank and federal government agreed to adopt this monetary policy framework in 1991. Content Type(s): Press, Press releases
March 21, 2005 Inflation Targeting: A Canadian Perspective Remarks David Dodge National Association for Business Economics Washington, D.C. The invitation is timely, given that the Bank of Canada's inflation-targeting agreement with the Canadian government is up for renewal next year. At the Bank, we are always reflecting on our framework, deciding what works well and what we can improve. Against that backdrop, we have watched with interest the debate taking place here in the United States - inside and outside the Federal Reserve - about whether that institution should join the ranks of inflation-targeting central banks. Content Type(s): Press, Speeches and appearances, Remarks
March 21, 2005 Summary of Comments—Debt Distribution Framework Consultations In the autumn of 2004, officials at the Department of Finance and the Bank of Canada launched a review of the debt distribution framework to assess the framework's effectiveness in ensuring that the government has continued access to stable, low-cost funding sources over a medium-term horizon and that the Government of Canada securities market continues to function well.