Thomas J. Carter

Senior economist

Thomas Carter is a Senior Economist in the Canadian Economic Analysis (CEA) Department. His research interests include monetary and financial economics. He holds a Ph.D. in economics from Princeton University.


Thomas J. Carter

Senior economist
Canadian Economic Analysis
Monetary Policy and Financial Studies Division

Bank of Canada
234 Wellington Street
Ottawa, ON, K1A 0G9


Optimal Interbank Regulation

Staff Working Paper 2017-48 Thomas J. Carter
Recent years have seen renewed interest in the regulation of interbank markets. A review of the literature in this area identifies two gaps: first, the literature has tended to make ad hoc assumptions about the interbank contract space, which makes it difficult to generate convincing policy prescriptions; second, the literature has tended to focus on ex-post interventions that kick in only after an interbank disruption has come underway (e.g., open-market operations, lender-of-last-resort interventions, bail-outs), rather than ex-ante prudential policies.

Redistributive Effects of a Change in the Inflation Target

Staff Analytical Note 2017-13 Robert Amano, Thomas J. Carter, Yaz Terajima
In light of the financial crisis and its aftermath, several economists have argued that inflation-targeting central banks should reconsider the level of their inflation targets. While the appropriate level for the inflation target remains an open question, it’s important to note that any transition to a new target would entail certain costs.

Comparing Forward Guidance and Neo-Fisherianism as Strategies for Escaping Liquidity Traps

Staff Analytical Note 2016-16 Robert Amano, Thomas J. Carter, Rhys R. Mendes
What path should policy-makers select for the nominal rate when faced with a liquidity trap during which the effective lower bound binds?

A Primer on Neo-Fisherian Economics

Staff Analytical Note 2016-14 Robert Amano, Thomas J. Carter, Rhys R. Mendes
Conventional models imply that central banks aiming to raise inflation should lower nominal rates and thus stimulate aggregate demand. However, several economists have recently challenged this conventional wisdom in favour of an alternative “neo-Fisherian’’ view under which higher nominal rates might in fact lead to higher inflation.

Inflation and Growth: A New Keynesian Perspective

Staff Working Paper 2012-23 Robert Amano, Thomas J. Carter, Kevin Moran
The long-run relation between growth and inflation has not yet been studied in the context of nominal price and wage rigidities, despite the fact that these rigidities now figure prominently in workhorse macroeconomic models.
Content Type(s): Staff Research, Staff Working Papers Topic(s): Inflation: costs and benefits JEL Code(s): E, E3, E31, E5, E52, O, O3, O31, O4, O42

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  • Ph.D. in economics, Princeton University, 2016
  • M.A. in economics, Princeton University, 2011
  • B.A. (Honours) in economics, Queen’s University, 2007

Research Interests

  • Monetary economics
  • Financial economics


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