Staff working papers - Bank of Canada
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Bank of Canada RSS Feedsen2024-03-28T14:49:26+00:00Explaining the Interplay Between Merchant Acceptance and Consumer Adoption in Two-Sided Markets for Payment Methods
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-32/
Recent consumer and merchant surveys show a decrease in the use of cash at the point of sale. Increasingly, consumers and merchants have access to a growing array of payment innovations as substitutes for cash.2019-08-27T15:45:06+00:00enExplaining the Interplay Between Merchant Acceptance and Consumer Adoption in Two-Sided Markets for Payment Methods2019-08-27Bank notesDigital currencies and fintechEconometric and statistical methodsFinancial servicesStaff Working Paper 2019-32https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-32.pdfExplaining the Interplay Between Merchant Acceptance and Consumer Adoption in Two-Sided Markets for Payment MethodsKim HuynhGradon NichollsOleksandr ShcherbakovAugust 2019CC5C51LL1L13L15L8L81L9L96Financial Frictions, Durable Goods and Monetary Policy
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-31/
Financial frictions affect how much consumers spend on durable and non-durable goods. Borrowers can face both loan-to-value (LTV) constraints and payment-to-income (PTI) constraints.2019-08-23T13:37:44+00:00enFinancial Frictions, Durable Goods and Monetary Policy2019-08-23Financial system regulation and policiesMonetary policyStaff Working Paper 2019-31https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-31.pdfFinancial Frictions, Durable Goods and Monetary PolicyUgochi EmenoguLeo MichelisAugust 2019EE4E44E5E52Resolving Failed Banks: Uncertainty, Multiple Bidding & Auction Design
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-30/
Bank resolution is costly. In the United States, the Federal Deposit Insurance Corporation (FDIC) typically resolves failing banks by auction.2019-08-23T09:07:34+00:00enResolving Failed Banks: Uncertainty, Multiple Bidding & Auction Design2019-08-23Econometric and statistical methodsFinancial institutionsStaff Working Paper 2019-30https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-30.pdfResolving Failed Banks: Uncertainty, Multiple Bidding & Auction DesignJason AllenRobert ClarkBrent HickmanEric RichertAugust 2019CC5C57DD4D44GG2G21Flight from Safety: How a Change to the Deposit Insurance Limit Affects Households’ Portfolio Allocation
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-29/
Deposit insurance protects depositors from failing banks, thus making insured deposits risk-free. When a deposit insurance limit is increased, some deposits that previously were uninsured become insured, thereby increasing the share of risk-free assets in households’ portfolios. This increase cannot simply be undone by households, because to invest in uninsured deposits, a household must first invest in insured deposits up to the limit. This basic insight is the starting point of the analysis in this paper.2019-08-15T07:54:52+00:00enFlight from Safety: How a Change to the Deposit Insurance Limit Affects Households’ Portfolio Allocation2019-08-15Financial institutionsFinancial system regulation and policiesStaff Working Paper 2019-29https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-29.pdfFlight from Safety: How a Change to the Deposit Insurance Limit Affects Households’ Portfolio AllocationH. Evren DamarReint GroppAdi MordelAugust 2019DD1D14GG2G21G28LL5L51Tail Index Estimation: Quantile-Driven Threshold Selection
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-28/
The most extreme events, such as economic crises, are rare but often have a great impact. It is difficult to precisely determine the likelihood of such events because the sample is small.2019-08-02T10:52:22+00:00enTail Index Estimation: Quantile-Driven Threshold Selection2019-08-02Econometric and statistical methodsFinancial stabilityStaff Working Paper 2019-28https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-28.pdfTail Index Estimation: Quantile-Driven Threshold SelectionJon DanielssonLerby ErgunCasper G. de VriesLaurens de HaanAugust 2019CC0C01C1C14C5C58Are Long-Horizon Expectations (De-)Stabilizing? Theory and Experiments
https://www.bankofcanada.ca/2019/08/staff-working-paper-2019-27/
Most models in finance assume that agents make trading plans over the infinite future. We consider instead that they are boundedly rational and may only form forecasts over a limited horizon.2019-08-01T10:19:48+00:00enAre Long-Horizon Expectations (De-)Stabilizing? Theory and Experiments2019-08-01Asset pricingCentral bank researchEconomic modelsFinancial marketsStaff Working Paper 2019-27https://www.bankofcanada.ca/wp-content/uploads/2019/08/swp2019-27.pdfAre Long-Horizon Expectations (De-)Stabilizing? Theory and ExperimentsGeorge EvansCars HommesIsabelle SalleBruce McGoughAugust 2019CC9C92DD8D84E