Inflation and prices

• September 29, 2025

  Why we target 2% inflation

  Inflation measures the rate of growth in prices, and the Bank of Canada aims to keep it at 2%. When inflation is low, stable and predictable, the entire economy works better.

  Content Type(s): Explainers Research Topic(s): Inflation and prices, Inflation targets
• September 23, 2025

  Global trade, capital flows and Canada’s prosperity

  Remarks Tiff Macklem Saskatchewan Trade and Export Partnership and the Greater Saskatoon Chamber of Commerce Saskatoon, Saskatchewan

  Governor Tiff Macklem discusses four megatrends that are transforming the global economic and financial landscape. He outlines how US tariffs are affecting the Canadian economy and what structural changes are needed to ensure Canada’s prosperity.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Exchange rates, Financial markets, Financial stability, Financial system regulation and policies, Foreign reserves management, Inflation and prices, International financial markets, International topics, Monetary policy and uncertainty, Productivity, Recent economic and financial developments, Trade integration
• September 23, 2025

  Time to roll up our sleeves

  Speech summary Tiff Macklem Saskatchewan Trade and Export Partnership and the Greater Saskatoon Chamber of Commerce Saskatoon, Saskatchewan

  Governor Tiff Macklem outlines four megatrends that are transforming the global economic and financial landscape. He also talks about the structural reform needed to ensure Canada’s long-term prosperity.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Exchange rates, Financial markets, Financial stability, Financial system regulation and policies, Foreign reserves management, Inflation and prices, International financial markets, International topics, Monetary policy and uncertainty, Productivity, Recent economic and financial developments, Trade integration

• Credit Conditions, Inflation, and Unemployment

  Staff Working Paper 2025-26 Chao Gu, Janet Hua Jiang, Liang Wang

  We identify two channels that affect the relationship between inflation and unemployment. First, inflation lowers wages because unemployed suffer more from inflation than employed, generating a positive relationship. Second, inflation increases firms’ financing costs, generating a negative relationship. Improvements in firm financing conditions can induce the relationship to switch signs.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Credit and credit aggregates, Inflation and prices, Labour markets JEL Code(s): E, E2, E24, E3, E31, E4, E44, E5, E51