Digital Transformation in the Service Sector: Insights from Consultations with Firms in Wholesale, Retail and Logistics Staff Analytical Note 2017-19 Wei Dong, James Fudurich, Lena Suchanek Firms increasingly rely on digital technologies such as e-commerce, cloud computing, big data, digital tracking and digital platforms that are reshaping business operations, business models and market structures. In this context, the Bank of Canada consulted with firms in wholesale, retail and logistics, as well as with related industry associations to yield insights on the adoption of digital technologies. Content Type(s): Staff research, Staff analytical notes Topic(s): Firm dynamics, Inflation and prices, Service sector JEL Code(s): D, D2, D22, E, E3, E31, L, L8, L81, L9, L92, O, O3, O33
Alternative Scenario to the October 2017 MPR Base-Case Projection: Higher Potential Growth Staff Analytical Note 2017-18 Jing Yang, Ben Tomlin, Olivier Gervais We construct an alternative scenario in which trend labour input and business investment are stronger than that expected in the Bank of Canada’s base-case projection in the October 2017 Monetary Policy Report. Content Type(s): Staff research, Staff analytical notes Topic(s): Inflation and prices, Monetary policy, Potential output JEL Code(s): E, E2, E22, E24, E27, E5
Global Factors and Inflation in Canada Staff Analytical Note 2017-17 Dany Brouillette, Laurence Savoie-Chabot This note investigates whether the recent weakness in inflation in Canada can be related to global factors not included in the current staff analytical framework (domestic slack, movements in commodity prices and in the exchange rate). A global common factor for inflation among selected advanced economies appears to contain marginal information for Canadian inflation beyond what is found in movements in commodity prices and the exchange rate. Content Type(s): Staff research, Staff analytical notes Topic(s): Inflation and prices, Recent economic and financial developments JEL Code(s): E, E3, E31
Low Inflation in Advanced Economies: Facts and Drivers Staff Analytical Note 2017-16 Sanjana Bhatnagar, Anne-Katherine Cormier, Patrisha de Leon-Manlagnit, Elise Martin, Vikram Rai, Renaud St-Cyr, Subrata Sarker, Kristina Hess Since the global financial crisis, core inflation has been persistently below target in most advanced economies. Recently, it has weakened further in several advanced economies despite gradually diminishing slack. This note reviews recent developments in core inflation across advanced economies and identifies distinctive patterns across regions. Content Type(s): Staff research, Staff analytical notes Topic(s): Inflation and prices, International topics JEL Code(s): E, E0, E3, E31, F, F0
Global Trade Flows: Revisiting the Exchange Rate Elasticities Staff Working Paper 2017-41 Matthieu Bussière, Guillaume Gaulier, Walter Steingress This paper contributes to the debate on the magnitude of exchange rate elasticities by providing a set of price and quantity elasticities for 51 advanced and emerging-market economies. Specifically, for each of these countries we report the elasticity of trade prices and trade quantities on both the export and on the import sides, as well as the reaction of the trade balance. Content Type(s): Staff research, Staff working papers Topic(s): Exchange rates, Inflation and prices, International topics JEL Code(s): C, C5, C51, F, F1, F14, F3, F31, F33, F4, F41
September 27, 2017 The Meaning of “Data Dependence”: An Economic Progress Report Remarks Stephen S. Poloz St. John’s Board of Trade St. John's, Newfoundland and Labrador Governor Stephen S. Poloz discusses how unknowns in Canada’s inflation outlook have made the Bank’s monetary policy particularly data dependent. Content Type(s): Press, Speeches and appearances, Remarks Topic(s): Business fluctuations and cycles, Inflation and prices, Monetary policy, Monetary policy and uncertainty, Recent economic and financial developments, Regional economic developments
Changes in Monetary Regimes and the Identification of Monetary Policy Shocks: Narrative Evidence from Canada Staff Working Paper 2017-39 Julien Champagne, Rodrigo Sekkel We use narrative evidence along with a novel database of real-time data and forecasts from the Bank of Canada's staff economic projections from 1974 to 2015 to construct a new measure of monetary policy shocks and estimate the effects of monetary policy in Canada. Content Type(s): Staff research, Staff working papers Topic(s): Business fluctuations and cycles, Central bank research, Econometric and statistical methods, Exchange rate regimes, Inflation and prices, Inflation targets, Interest rates, Monetary policy, Monetary policy framework JEL Code(s): E, E3, E31, E32, E4, E43, E5, E52, E58
September 14, 2017 Bank of Canada Workshop “Monetary Policy Framework Issues: Toward the 2021 Inflation-Target Renewal” Remarks Lawrence L. Schembri Ottawa, Ontario Deputy Governor Lawrence Schembri opens the Bank’s Monetary Policy Framework Issues: Toward the 2021 Inflation-Target Renewal workshop. Content Type(s): Press, Speeches and appearances, Remarks Topic(s): Central bank research, Credibility, Inflation and prices, Inflation targets, International topics, Monetary policy framework
September 14, 2017 Monetary Policy Framework Issues: Toward the 2021 Inflation-Target Renewal Remarks Carolyn A. Wilkins Ottawa, Ontario Senior Deputy Governor Carolyn A. Wilkins reviews key themes discussed by participants at the workshop “Monetary Policy Framework Issues: Toward the 2021 Inflation-Target Renewal”. Content Type(s): Press, Speeches and appearances, Remarks Topic(s): Central bank research, Financial system regulation and policies, Fiscal policy, Inflation and prices, Inflation targets, Monetary policy framework
July 12, 2017 Monetary Policy Report Press Conference Opening Statement Opening statement Stephen S. Poloz, Carolyn A. Wilkins Ottawa, Ontario Governor Stephen S. Poloz discusses key issues involved in the Governing Council’s deliberations about the policy rate decision and the MPR. Content Type(s): Press, Speeches and appearances, Opening statements Topic(s): Inflation and prices, Interest rates, Labour markets, Monetary policy, Monetary policy implementation, Recent economic and financial developments