October 28, 2024 Retail payments supervision: Information for everyone Find out how this mandate affects you and which payment service providers (PSPs) are registered with us.
Monetary Policy Transmission amid Demand Reallocations Staff Working Paper 2024-42 Julien Bengui, Lu Han, Gaelan MacKenzie We analyze the transmission of monetary policy during different phases of a sectoral demand reallocation episode when there are frictions to increasing production in a sector. Monetary policy is more effective in reducing inflation when a larger proportion of sectors are expanding or expect to expand in the near future. Content Type(s): Staff research, Staff working papers Topic(s): Domestic demand and components, Inflation and prices, Monetary policy transmission JEL Code(s): E, E1, E12, E2, E24, E3, E31, E5, E52
Monetary Policy Transmission to Small Business Loan Performance: Evidence from Loan-Level Data Staff Working Paper 2024-41 Rodrigo Sekkel, Tamon Takamura, Yaz Terajima We analyze the dynamic and heterogeneous responses of small-business loan performance to a monetary-policy shock using loan-level data in Canada. We find evidence of monetary policy transmission through the cash-flow channel and the aggregate demand channel as well as some, though limited, impact of collateral to discipline loan repayment. Content Type(s): Staff research, Staff working papers Topic(s): Firm dynamics, Monetary policy transmission JEL Code(s): C, C3, C32, E, E1, E17, E3, E37, E5, E52
Immigration and US Shelter Prices: The Role of Geographical and Immigrant Heterogeneity Staff Working Paper 2024-40 James Cabral, Walter Steingress The arrival of immigrants increases demand for housing and puts upward pressure on shelter prices. Using instrumental variables based on the ancestry composition of residents in US counties, we estimate the causal impact of immigration on local shelter prices. Content Type(s): Staff research, Staff working papers Topic(s): Housing, Inflation and prices, International topics, Regional economic developments JEL Code(s): J, J6, J61, R, R2, R23, R3, R31
October 25, 2024 Media roundtable with Governor Macklem As is customary, Tiff Macklem, Governor of the Bank of Canada, held today a virtual roundtable with journalists from the sidelines of the IMF meetings in Washington, DC. Content Type(s): Press, Media advisories
October 24, 2024 Bank of Canada announces a change to Overnight Repo operations Effective Friday, October 25, 2024, the aggregate cash value amount offered in each Overnight Repo (OR) operation will change to a minimum of $8 billion. Content Type(s): Press, Market notices Source(s): Overnight repo operations
From Micro to Macro Hysteresis: Long-Run Effects of Monetary Policy Staff Working Paper 2024-39 Felipe Alves, Giovanni L. Violante We explore the long-run effects of a monetary policy shock in a Heterogeneous Agent New Keynesian model built on the micro evidence that job losses lead to persistently lower individual earnings through a combination of skill decay and abandonment of the labour force. Content Type(s): Staff research, Staff working papers Topic(s): Labour markets, Monetary policy transmission JEL Code(s): E, E2, E21, E24, E3, E31, E32, E5, E52, J, J2, J24, J6, J64
Does Unconventional Monetary and Fiscal Policy Contribute to the COVID Inflation Surge in the US? Staff Working Paper 2024-38 Jing Cynthia Wu, Yinxi Xie, Ji Zhang We assess whether unconventional monetary and fiscal policy implemented in response to the COVID-19 pandemic in the U.S. contribute to the 2021-2023 inflation surge through the lens of several different empirical methodologies and establish a null result. Content Type(s): Staff research, Staff working papers Topic(s): Business fluctuations and cycles, Central bank research, Fiscal policy, Inflation and prices, Monetary policy JEL Code(s): E, E3, E31, E5, E52, E6, E63