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2116 Results

Changing Fortunes: Long-Termism—G-Zero, Artificial Intelligence and Debt

Staff discussion paper 2019-12 Stephen S. Poloz
This paper discusses three long-term forces that are acting on the global economy and their implications for companies and policy-makers.

COVID-19 crisis: Liquidity management at Canada’s largest public pension funds

We examine how the eight largest Canadian public pension funds managed liquidity during the market turmoil in March 2020. The funds were generally resilient to large demands for liquidity and relied heavily on Canada's core funding markets.

Real Exchange Rate Decompositions

Staff discussion paper 2022-6 Bruno Feunou, Jean-Sébastien Fontaine, Ingomar Krohn
We break down the exchange rate based on an explicit link between fixed income and currency markets. We isolate a foreign exchange risk premium and show it is the main driver of the exchange rate between the Canadian and US dollars, especially on monetary policy and macroeconomic news announcement days.
October 8, 2020

From COVID to climate—the importance of risk management

Remarks (delivered virtually) Tiff Macklem The Global Risk Institute Toronto, Ontario
Governor Tiff Macklem discusses the importance of financial risk management as Canada recovers from the pandemic, and as it deals with issues like climate change.
August 12, 1998

The declining supply of treasury bills and the Canadian money market

The supply of treasury bills has fallen considerably since 1995, reflecting a decline in the financing needs of the Canadian government and a change in its debt-management strategy. This has had a major impact on different segments of the money market. Among the various implications of this development, the authors point out the decrease in turnover and, hence, liquidity in the treasury bill market since 1995, as well as high rates of growth in the market for short-term interest rate derivatives and for short-term asset-backed securities.
May 20, 2021

Financial System Review—2021

A stable and efficient financial system is essential for sustaining economic growth and raising living standards. In our Financial System Review, we identify the main vulnerabilities and risks in the financial system in Canada and explain how they have evolved over the past year.

Contribution of Human Capital Accumulation to Canadian Economic Growth

Staff discussion paper 2022-7 Audra Bowlus, Youngmin Park, Chris Robinson
This paper quantifies the contribution of human capital accumulation to the growth of real gross domestic product (GDP) in Canada.
November 9, 1994

The Bank of Canada's new Quarterly Projection Model (QPM): An introduction

This article provides an overview of the Bank of Canada's new economic model, the Quarterly Projection Model (QPM), which has been under development at the Bank since 1989. The model has two roles. It is used to make economic projections, which are conducted quarterly and form an important basis for discussions of monetary policy between staff and senior management. QPM is also a research tool: it was developed to analyse important changes to the economy or macroeconomic policies which require a deeper understanding of long-term economic forces. The model pays particular attention to factors shaping long-term equilibrium, such as stocks of wealth, capital, government debt and net foreign assets. Various sources of dynamics, including the adjustment of forward-looking expectations, operate to determine the transition path to equilibrium and the consistency of expectations. The article discusses the history of QPM and earlier economic models at the Bank, and provides a simple overview of how the model works.
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