The Doug Purvis Memorial Lecture—Monetary/Fiscal Policy Mix and Financial Stability: The Medium Term Is Still the Message Staff Discussion Paper 2016-13 Stephen S. Poloz In the Doug Purvis Memorial Lecture, Governor Stephen S. Poloz shows how changing the mix of monetary and fiscal policies can yield the same outcomes for growth and inflation, but lead to different results for public sector and private sector debt levels, which can impact financial stability. Content Type(s): Staff research, Staff discussion papers Topic(s): Economic models, Financial stability, Fiscal policy, Monetary policy framework JEL Code(s): E, E3, E37, E5, E6, E63
June 3, 2016 Policy Guidance on the Bank of Canada’s Risk-Management Standards for Systemic Financial Market Infrastructures The Bank of Canada today published final supplementary guidance related to its Risk-Management Standards for Systemic Financial Market Infrastructures (FMIs) following a public consultation process. Content Type(s): Press, Market notices
Firm-Specific Shocks and Aggregate Fluctuations Staff Working Paper 2016-51 Leonid Karasik, Danny Leung, Ben Tomlin In order to understand what drives aggregate fluctuations, many macroeconomic models point to aggregate shocks and discount the contribution of firm-specific shocks. Recent research from other developed countries, however, has found that aggregate fluctuations are in part driven by idiosyncratic shocks to large firms. Content Type(s): Staff research, Staff working papers Topic(s): Business fluctuations and cycles, Firm dynamics, Market structure and pricing JEL Code(s): E, E2, E22, E23, E24, E3, L, L6
November 16, 2016 Follow the Money: A Canadian Perspective on Financial Globalization Remarks Timothy Lane Centre for International Governance Innovation (CIGI) Waterloo, Ontario Deputy Governor Timothy Lane discusses the benefits and challenges of international capital mobility. Content Type(s): Press, Speeches and appearances, Remarks Topic(s): Balance of payments and components, Exchange rates, Financial markets, International financial markets, Market structure and pricing, Trade integration
November 17, 2016 Recent Changes to the Bank of Canada’s Emergency Lending Assistance Policy Bank of Canada Review - Autumn 2016 Christopher Graham, Natasha Khan, Alexandra Lai Emergency Lending Assistance (ELA) is a discretionary last-resort collateralized loan or ad-vance by the Bank of Canada to eligible financial institutions (FIs) and financial market infrastructures (FMIs) facing serious liquidity problems. In December 2015, the Bank revised its ELA policy to (i) replace the requirement for an FI’s solvency with the requirement for a credible recovery and resolution framework; (ii) include mortgages as eligible collateral; and (iii) clarify both the eligibility requirements for FMIs and provincially regulated deposit-taking FIs. Content Type(s): Publications, Bank of Canada Review articles Topic(s): Financial stability, Financial system regulation and policies, Lender of last resort JEL Code(s): E, E5, E58, G, G0, G01, G2
November 4, 2016 Weekly Financial Statistics - 4 November 2016 Content Type(s): Publications, Historical: Weekly Financial Statistics
Managing Risk Taking with Interest Rate Policy and Macroprudential Regulations Staff Working Paper 2016-47 Simona Cociuba, Malik Shukayev, Alexander Ueberfeldt We develop a model in which a financial intermediary’s investment in risky assets—risk taking—is excessive due to limited liability and deposit insurance and characterize the policy tools that implement efficient risk taking. Content Type(s): Staff research, Staff working papers Topic(s): Financial system regulation and policies, Monetary policy framework JEL Code(s): E, E4, E44, E5, E52, G, G1, G11, G18
November 1, 2016 Inflation-target renewal helps give certainty in uncertain times, Governor Poloz says Media Relations Vancouver, British Columbia The renewal of the Bank of Canada’s framework for inflation targeting will help Canadian businesses and consumers by providing certainty around their financial plans, Governor Stephen S. Poloz said today. Content Type(s): Press, Press releases
November 1, 2016 25 Years of Inflation Targets: Certainty for Uncertain Times Remarks Stephen S. Poloz Business Council of British Columbia Vancouver, British Columbia Governor Stephen S. Poloz discusses the renewal of Canada’s inflation-targeting agreement and how it continues to help the economy. Content Type(s): Press, Speeches and appearances, Remarks Topic(s): Central bank research, Credibility, Inflation targets, Inflation: costs and benefits, Monetary aggregates, Monetary policy framework
October 24, 2016 Renewal of the Inflation-Control Target (October 2016) Commentary and technical data relating to the 2016 target renewal. Content Type(s): Background materials Topic(s): Inflation and prices, Monetary policy