ElasticSearch Score: 6.5650477
In this paper, the authors assess the relationship between digitalization and labour demand and supply, and how this relationship affects wages and income inequality. We also explore implications of recent digitalization trends for the future of work.
ElasticSearch Score: 6.543969
Choosing a well-designed framework for fiscal and monetary policies is a challenge for economic authorities.
ElasticSearch Score: 6.4969163
December 14, 1998
There has recently been considerable discussion about the ability of inflation to facilitate the adjustment of prices and wages and thus enhance economic performance. The discussion centres on whether wages are downwardly rigid. Wages are said to be downwardly rigid if it is difficult for the wages of some workers to fall despite underlying supply and demand pressures for decreases. Some authors have suggested that if downward nominal wage rigidity is prevalent it would be desirable to select a positive rate of inflation as the target for monetary policy.
In this article, the authors evaluate the wage-rigidity hypothesis. They first examine the empirical evidence to assess whether the degree of downward rigidity is significant in Canada. They then analyze some key assumptions of the wage-rigidity hypothesis and its implications for employment. They also look at the empirical evidence on whether the combination of downward wage rigidity and low inflation has reduced employment.
ElasticSearch Score: 6.4893136
Regulators need to provide effective procyclicality guidance, and central counterparties must design and calibrate their margin systems and procyclicality frameworks appropriately. To serve these needs, we provide a novel conceptual tool kit. Further, we highlight that the focus should be on the key margin system parameters in determining procyclicality.
ElasticSearch Score: 6.4592156
June 22, 2011
In this issue of the Financial System Review, the Bank of Canada’s Governing Council judges that, although the Canadian financial system is currently on a sound footing, risks to its stability remain elevated and have edged higher since December 2010.
ElasticSearch Score: 6.4330683
August 13, 1998
A key determinant of the potential growth of an economy is the rate at which the labour force increases, which depends both on population growth and on changes in the participation rate. Cyclical factors related to the economic environment can play a significant role in affecting the participation rate, as can structural factors and demographic trends. From the mid-1970s to the end of the 1980s, the participation rate rose almost without interruption to a record high of 67.5 per cent. In contrast, between 1990 and 1995, it declined sharply and has been relatively steady at around 65 per cent since 1995.
In this article, the author analyzes the participation rate of age and gender groupings in order to better understand the factors leading to these developments and their implications for future movements in the aggregate rate. While cyclical factors contributed to the decline in the participation rate in the 1990s, structural factors (such as an increase in school attendance rates and the increasing use of computer technology) and demographic trends (the aging of the population) have had a substantial impact. The conclusion reached is that, while some recovery is to be expected, the aggregate participation rate is unlikely to return to its 1989 peak over the next decade or so.
ElasticSearch Score: 6.4300456
June 7, 2018
This issue of the Financial System Review reflects the Bank’s judgment that high household indebtedness and housing market imbalances remain the most important vulnerabilities. While these vulnerabilities remain elevated, policy measures continue to improve the resilience of the financial system. A third vulnerability highlighted in the FSR concerns cyber threats to an interconnected financial system.
ElasticSearch Score: 6.4221215
August 27, 2013
Deputy Governor John Murray discusses exits from unconventional monetary policies, spillovers and monetary policy independence.
ElasticSearch Score: 6.386004
Using a novel dataset for the US states, this paper examines whether household debt and the protracted debt deleveraging help explain the dismal performance of US consumption since 2007, in the aftermath of the housing bubble.
ElasticSearch Score: 6.356972
The Canadian financial industry continues to experience significant changes. This report provides an update on recent developments and re-examines a number of issues facing financial service providers that were identified in Technical Report No. 82.