Inflation targets

• May 19, 2021

  Understanding the consumer price index

  The consumer price index (CPI) tracks how much the average Canadian household spends, and how that changes over time. At the Bank of Canada, we use it to target inflation.

  Content Type(s): Explainers Research Topic(s): Inflation and prices, Inflation targets

• Optimal Monetary and Macroprudential Policies

  Staff Working Paper 2021-21 Josef Schroth

  Optimal coordination of monetary and macroprudential policies implies higher risk weights on (safe) bonds any time that banks are required to hold additional capital buffers. Coordination also implies a somewhat tighter monetary-policy stance whenever such capital buffers are released.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Credit and credit aggregates, Financial stability, Financial system regulation and policies, Inflation targets, Monetary policy JEL Code(s): E, E4, E44, E6, E60, G, G2, G21, G28