E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit

• The Monetary Transmission Mechanism at the Sectoral Level

  Staff Working Paper 2001-27 Jean Farès, Gabriel Srour

  This paper relies on simple vector autoregressions to investigate the monetary transmission mechanism in broad sectors of the Canadian economy. Two types of disaggregation are considered: one at the level of final expenditures, and one at the level of production.

  Content Type(s): Staff research, Staff working papers Topic(s): Monetary policy transmission JEL Code(s): E, E5, E52

• Price-Level versus Inflation Targeting in a Small Open Economy

  Staff Working Paper 2001-24 Gabriel Srour

  This paper compares two types of monetary policy: price-level targeting and inflation targeting. It reviews recent arguments that favour price-level targeting, and examines how certain factors, such as the nature of the shocks affecting the economy and the degree to which agents are forward-looking, bear upon the arguments.

  Content Type(s): Staff research, Staff working papers Topic(s): Monetary policy framework JEL Code(s): E, E5, E52

• On Inflation and the Persistence of Shocks to Output

  Staff Working Paper 2001-22 Maral Kichian, Richard Luger

  This paper empirically investigates the possibility that the effects of shocks to output depend on the level of inflation. The analysis extends Elwood's (1998) framework by incorporating in the model an inflation-threshold process that can potentially influence the stochastic properties of output.

  Content Type(s): Staff research, Staff working papers Topic(s): Econometric and statistical methods, Inflation: costs and benefits JEL Code(s): E, E3, E31, E32, E5, E52, E58