Backgrounders

Brief articles explaining various topics related to the Bank of Canada's main functions:

• What is Money?
• Seigniorage

• Canada's Money Supply
• Monetary Policy
• Target For The Overnight Rate
• How Monetary Policy Works: The Transmission of Monetary Policy
• Bank Rate
• Lending Rates

• Inflation and Price Stability
• Benefits of Low Inflation
• Inflation-Control Target
• Why has Canada's inflation target been set at 2 per cent?
• Consumer Price Index
• Measurement Bias in the Canadian CPI
• Output Gap
• Disinflation and Deflation
• Productivity

• Canadian Financial System
• Regulation of the Canadian Financial System
• Large Value Transfer System
• Household Debt – the Bank of Canada's Perspective

• Exchange Rate
• Intervention in the Foreign Exchange Market