Staff working papers

Staff working papers provide a forum for staff to publish work-in-progress research intended for journal publication.

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1320 result(s)

How Do You Pay? The Role of Incentives at the Point-of-Sale

Staff Working Paper 2011-23 Carlos Arango, Kim Huynh, Leonard Sabetti
This paper uses discrete-choice models to quantify the role of consumer socioeconomic characteristics, payment instrument attributes, and transaction features on the probability of using cash, debit card, or credit card at the point-of-sale.

Money and Price Posting under Private Information

Staff Working Paper 2011-22 Mei Dong, Janet Hua Jiang
We study price posting with undirected search in a search-theoretic monetary model with divisible money and divisible goods. Ex ante homogeneous buyers experience match specific preference shocks in bilateral trades. The shocks follow a continuous distribution and the realization of the shocks is private information.
Content Type(s): Staff research, Staff working papers Topic(s): Economic models, Inflation and prices JEL Code(s): D, D8, D82, D83, E, E3, E31

Fixed-Term and Permanent Employment Contracts: Theory and Evidence

Staff Working Paper 2011-21 Shutao Cao, Enchuan Shao, Pedro Silos
This paper constructs a theory of the coexistence of fixed-term and permanent employment contracts in an environment with ex-ante identical workers and employers. Workers under fixed-term contracts can be dismissed at no cost while permanent employees enjoy labor protection.
Content Type(s): Staff research, Staff working papers Topic(s): Labour markets, Potential output, Productivity JEL Code(s): H, H2, H29, J, J2, J23, J3, J38

Measuring Systemic Importance of Financial Institutions: An Extreme Value Theory Approach

Staff Working Paper 2011-19 Toni Gravelle, Fuchun Li
In this paper, we define a financial institution’s contribution to financial systemic risk as the increase in financial systemic risk conditional on the crash of the financial institution. The higher the contribution is, the more systemically important is the institution for the system.

Price-Level Targeting and Inflation Expectations: Experimental Evidence

Staff Working Paper 2011-18 Robert Amano, Jim Engle-Warnick, Malik Shukayev
In this paper, we use an economics decision-making experiment to test a key assumption underpinning the efficacy of price-level targeting relative to inflation targeting for business cycle stabilization and mitigating the effects of the zero lower bound on nominal interest rates.
Content Type(s): Staff research, Staff working papers Topic(s): Monetary policy framework JEL Code(s): E, E3, E32, E5, E52

Analyzing Default Risk and Liquidity Demand during a Financial Crisis: The Case of Canada

Staff Working Paper 2011-17 Jason Allen, Ali Hortaçsu, Jakub Kastl
This paper explores the reliability of using prices of credit default swap contracts (CDS) as indicators of default probabilities during the 2007/2008 financial crisis.

Forecasting the Price of Oil

Staff Working Paper 2011-15 Ron Alquist, Lutz Kilian, Robert Vigfusson
We address some of the key questions that arise in forecasting the price of crude oil. What do applied forecasters need to know about the choice of sample period and about the tradeoffs between alternative oil price series and model specifications?

Real-Financial Linkages in the Canadian Economy: An Input-Output Approach

Staff Working Paper 2011-14 Danny Leung, Oana Secrieru
The purpose of this paper is twofold. First, we provide a detailed social accounting matrix (SAM), which incorporates the income and financial flows into the standard input-output matrix, for the Canadian economy for 2004.
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