Consumer Cash Withdrawal Behaviour: Branch Networks and Online Financial Innovation Staff working paper 2021-28 Heng Chen, Matthew Strathearn, Marcel Voia The physical network of bank branches is important in how consumers manage their cash holdings. This paper estimates how consumer withdrawal behaviour responds to the distance they must travel to their branch. Content Type(s): Staff research, Staff working papers JEL Code(s): G, G2, G21, R, R2, R22 Research Theme(s): Money and payments, Cash and bank notes, Digital assets and fintech
Measuring household financial stress in Canada using consumer surveys Staff analytical note 2024-5 Nicolas Bédard, Patrick Sabourin We use data from the Canadian Survey of Consumer Expectations to understand how households are coping with high inflation and high interest rates. We build a subjective measure of financial stress and find that the level of stress is at a historical high but remains manageable for most households. Content Type(s): Staff research, Staff analytical notes JEL Code(s): D, D1, D14, G, G5, H, H3 Research Theme(s): Financial system, Household and business credit, Monetary policy, Real economy and forecasting
Agency Costs, Risk Shocks and International Cycles Staff working paper 2016-2 Marc-André Letendre, Joel Wagner We add agency costs as in Carlstrom and Fuerst (1997) into a two-country, two-good international business-cycle model. In our model, changes in the relative price of investment arise endogenously. Content Type(s): Staff research, Staff working papers JEL Code(s): E, E2, E22, E3, E32, E4, E44, F, F4, F44 Research Theme(s): Financial system, Financial stability and systemic risk, Models and tools, Economic models, Structural challenges, International trade, finance and competitiveness
March 13, 2008 Addressing Financial Market Turbulence Remarks Mark Carney Toronto Board of Trade Toronto, Ontario Since last summer, many of us here today have been preoccupied with the ongoing dislocations in financial markets. What began in securities linked to U.S. subprime mortgages has spread to a broad range of structured assets, conventional credit markets, and, to a lesser extent, equities. Content Type(s): Press, Speeches and appearances, Remarks
Shaping the future: Policy shocks and the GDP growth distribution Staff working paper 2021-24 Francois-Michel Boire, Thibaut Duprey, Alexander Ueberfeldt Can central bank and government policies impact the risks around the outlook for GDP growth? We find that fiscal stimulus makes strong GDP growth more likely—even more so when monetary policy is constrained—rather than weak GDP growth less likely. Thus, fiscal stimulus should accelerate the recovery phase of the COVID-19 pandemic. Content Type(s): Staff research, Staff working papers JEL Code(s): C, C3, C32, C5, C53, E, E5, E52, E6, E62 Research Theme(s): Models and tools, Econometric, statistical and computational methods, Economic models, Monetary policy, Monetary policy framework and transmission, Real economy and forecasting
Monetary Policy Implementation in a Negative Rate Environment Staff working paper 2017-25 Michael Boutros, Jonathan Witmer Monetary policy implementation could, in theory, be constrained by deeply negative rates since overnight market participants may have an incentive to invest in cash rather than lend to other participants. Content Type(s): Staff research, Staff working papers JEL Code(s): E, E4, E40, E42, E43, G, G0 Research Theme(s): Monetary policy, Monetary policy tools and implementation
The Impact of Government Debt Supply on Bond Market Liquidity: An Empirical Analysis of the Canadian Market Staff working paper 2018-35 Jeffrey Gao, Jianjian Jin, Jacob Thompson This paper finds that Government of Canada benchmark bonds tend to be more illiquid over the subsequent month when there is a large increase in government debt supply. The result is both statistically and economically significant, stronger for the long-term than the short-term sector, and is robust when other macro factors are controlled for. Content Type(s): Staff research, Staff working papers JEL Code(s): D, D5, D53, G, G1, G12, G18, G2, G3, G32 Research Theme(s): Financial markets and funds management, Funds management, Market functioning
June 13, 2013 Monitoring and Assessing Risks in Canada’s Shadow Banking Sector Financial System Review - June 2013 Toni Gravelle, Timothy Grieder, Stéphane Lavoie Content Type(s): Publications, Financial System Review articles
Cashless Bank Branches in Canada Staff analytical note 2019-29 Walter Engert, Ben Fung Cashless or tellerless bank branches have proliferated in several countries in recent years. In a cashless bank branch, teller or counter services such as cash withdrawals, deposits and cheque-cashing are not available. Content Type(s): Staff research, Staff analytical notes JEL Code(s): E, E4, E41, E42, E5, E51 Research Theme(s): Money and payments, Cash and bank notes, Digital assets and fintech, Retail payments
August 19, 2010 Price-Level Targeting and Relative-Price Shocks Bank of Canada Review - Summer 2010 Stephen Murchison Stephen Murchison reviews the findings of recent Bank of Canada research on the relative merits of inflation targeting and price-level targeting (PLT) for a small open economy, such as Canada's, that is susceptible to large and persistent terms-of-trade shocks. Content Type(s): Publications, Bank of Canada Review articles