Cheap But Flighty: How Global Imbalances Create Financial Fragility Staff Working Paper 2015-33 Enrico Perotti, Toni Ahnert We analyze how a wealth shift to emerging countries may lead to instability in developed countries. Investors exposed to expropriation risk are willing to pay a safety premium to invest in countries with good property rights. Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions, Financial stability JEL Code(s): F, F3, G, G2
How do Canadian Corporate Bond Mutual Funds Meet Investor Redemptions? Staff Analytical Note 2018-14 Guillaume Ouellet Leblanc, Rohan Arora When investors redeem their fund shares for cash, fixed-income fund managers can choose whether to draw on their liquid holdings or sell bonds in the secondary market. We analyze the liquidity-management decisions of Canadian corporate bond mutual funds, focusing on the strategies they use to meet investor redemptions. Content Type(s): Staff research, Staff analytical notes Research Topic(s): Financial markets, Financial stability JEL Code(s): G, G1, G2, G20, G23
Food Aid Delivery, Food Security and Aggregate Welfare in a Small Open Economy: Theory and Evidence Staff Working Paper 1998-1 Patrick Osakwe A small-open-economy model is developed to examine how the method of food aid disbursement affects labor employment, food security and aggregate welfare, in recipient countries, in an environment in which private sector firms pay efficiency wages to induce effort. Two forms of food aid delivery are considered: first is project food aid, under which food […] Content Type(s): Staff research, Staff working papers Research Topic(s): Development economics JEL Code(s): J, J4, O, O1, Q, Q1
January 27, 2012 Simulation Analysis: A Tool for Examining the Balance between Safety and Efficiency in Canada’s Large Value Transfer System Financial System Review - December 2005 Neville Arjani Content Type(s): Publications, Financial System Review articles
An Up-to-Date and Improved BVAR Model of the Canadian Economy Staff Working Paper 1994-4 Daniel Racette, Jacques Raynauld, Christian Sigouin In this paper, we estimate a fully optimized BVAR model of the Canadian economy for the period 1971-87. The model is well-adapted to the features of a small open economy. We show how it can be used as an input in the monetary policy process either as a forecasting instrument or an analytical tool. Content Type(s): Staff research, Staff working papers Research Topic(s): Economic models
Analyzing the house price boom in the suburbs of Canada’s major cities during the pandemic Staff Analytical Note 2022-7 Louis Morel We assess how location affects house prices in Canada. The gap in prices between suburbs and downtown was closing gradually before the pandemic. The gap has been closing faster since spring 2020. This finding reflects a shift in preferences toward more living space. Content Type(s): Staff research, Staff analytical notes Research Topic(s): Asset pricing, Coronavirus disease (COVID-19), Financial stability, Housing JEL Code(s): R, R2, R21, R23, R3, R32
Complex Ownership and Capital Structure Staff Working Paper 2009-12 Teodora Paligorova, Zhaoxia Xu This paper investigates the impact of pyramid ownership structure and multiple controlling shareholders on firm leverage. Pyramids, having at least one controlling shareholder and a subsidiary, rely significantly more on debt financing than non-pyramid firms. Content Type(s): Staff research, Staff working papers Research Topic(s): Financial markets, International topics JEL Code(s): G, G3, G31, G32
Investment, Private Information, and Social Learning: A Case Study of the Semiconductor Industry Staff Working Paper 2004-32 Rose Cunningham Social learning models of investment provide an interesting explanation for sudden changes in investment behaviour. Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles JEL Code(s): C, C3, C35, E, E3, E32, L, L6, L63
Essays on Financial Stability Technical Report No. 95 John Chant, Alexandra Lai, Mark Illing, Fred Daniel The four essays published here provide a useful overview for anyone interested in understanding the issues and policy environment surrounding financial system stability. Content Type(s): Staff research, Technical reports Research Topic(s): Financial institutions, Financial markets JEL Code(s): G, G2, G28
Financial Constraint and Productivity: Evidence from Canadian SMEs Staff Working Paper 2016-44 Shutao Cao, Danny Leung The degree to which financial constraint is binding is often not directly observable in commonly used business data sets (e.g., Compustat). In this paper, we measure and estimate the likelihood of a firm being constrained by external financing using a data set of small- and medium-sized Canadian firms. Content Type(s): Staff research, Staff working papers Research Topic(s): Firm dynamics, Productivity JEL Code(s): D, D2, D24, G, G3, G32, L, L2, L25