O1 - Economic Development

• Global Commodity Markets and Rebalancing in China: The Case of Copper

  Staff Discussion Paper 2019-3 Jeannine Bailliu, Doga Bilgin, Kun Mo, Kurt Niquidet, Benjamin Sawatzky

  Given that China accounts for about half of global copper consumption, it is reasonable to expect that any significant change in Chinese copper consumption will have an impact on the global market.

  Content Type(s): Staff Research, Staff Discussion Papers Topic(s): Econometric and statistical methods, International topics JEL Code(s): O, O1, O13, O14, Q, Q0, Q02

• Financial Development Beyond the Formal Financial Market

  Staff Working Paper 2018-49 Lin Shao

  This paper studies the effects of financial development, taking into account both formal and informal financing. Using cross-country firm-level data, we document that informal financing is utilized more by rich countries than poor countries.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Financial markets, Firm dynamics, Productivity JEL Code(s): E, E4, E44, O, O1, O17, O4, O47

• Product Sophistication and the Slowdown in Chinese Export Growth

  Staff Discussion Paper 2017-15 Mark Kruger, Walter Steingress, Sri Thanabalasingam

  Chinese real export growth decelerated considerably during the last decade. This paper argues that the slowdown largely resulted from China moving to a more sophisticated mix of exports: China produced more sophisticated goods over which it had pricing power instead of producing greater volumes of less sophisticated products.

  Content Type(s): Staff Research, Staff Discussion Papers Topic(s): Development economics, Exchange rates, International topics JEL Code(s): F, F1, F14, F17, O, O1, O10

• Firm Heterogeneity, Technological Adoption, and Urbanization: Theory and Measurement

  Staff Working Paper 2017-27 Alex Chernoff

  This paper develops a model of firm heterogeneity, technological adoption, and urbanization. In the model, welfare is measured by household real income, and urbanization is measured by population density. I use the model to derive statistics that measure the effect of a new technology on productivity, welfare, and urbanization.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Economic models, Productivity, Regional economic developments JEL Code(s): N, N6, N61, O, O1, O14, R, R1, R13
• May 11, 2017

  The Digital Economy

  Bank of Canada Review - Spring 2017 Chris D'Souza, David Williams

  Digital technologies—cloud computing, the Internet of Things, advanced robotics, big data analytics, artificial intelligence and machine learning, social media, 3D printing, augmented reality, virtual reality, e-money and distributed ledgers—are transforming the way busi-nesses operate. How does this transformation compare with past industrial revolutions? How are digital technologies changing production systems across industries? Agile firms that use knowledge intensively and have high levels of both organizational and human capital appear set to realize the greatest benefits from digitalization. Finally, what are the implications for productivity, labour markets, inflation and monetary policy as we transition to the digital economy?

  Content Type(s): Publications, Bank of Canada Review Article Topic(s): Firm dynamics, Monetary Policy, Productivity JEL Code(s): D, D2, D24, L, L1, L10, O, O1, O3, O33
• May 11, 2017

  Wholesale Funding of the Big Six Canadian Banks

  Bank of Canada Review - Spring 2017 Matthieu Truno, Andriy Stolyarov, Danny Auger, Michel Assaf

  The Big Six Canadian banks are a dominant component of the Canadian financial system. How they finance their business activities is fundamental to how effective they are. Retail and commercial deposits along with wholesale funding represent the two major sources of funds for Canadian banks. What wholesale funding instruments do the Big Six banks use? How do they choose between different funding sources, funding strategies and why? How have banks changed their funding mix since the 2007–09 global financial crisis?

  Content Type(s): Publications, Bank of Canada Review Article Topic(s): Financial Institutions, Financial markets, Financial system regulation and policies, Market structure and pricing, Wholesale funding JEL Code(s): E, E4, E44, F, F3, G, G0, G01, G1, G10, G12, G15, G2, G20, G21, G28, O, O1, O16
• November 17, 2016

  Structural Reforms and Economic Growth in Emerging-Market Economies

  Bank of Canada Review - Autumn 2016 Jeannine Bailliu, Christopher Hajzler

  Growth has slowed in many emerging-market economies (EMEs) since the 2007–09 global financial crisis, reflecting both cyclical and structural factors. In this context, it will be in-creasingly important for EMEs to raise potential growth by maintaining steady progress on structural reforms. How do structural reforms generally support growth? What are the re-form priorities for EMEs over recent history and today? Finally, what will be the impact of planned structural reforms on potential output growth among the world’s larger EMEs? These are some of the questions considered by the authors.

  Content Type(s): Publications, Bank of Canada Review Article Topic(s): Development economics, International topics, Potential output JEL Code(s): E, E0, E02, E6, E61, E65, O, O1, O11, O4, O41

• Improving Public Equity Markets? No Pain, No Gain

  Staff Working Paper 2014-41 Katya Kartashova

  This paper quantifies the effects of improving public equity markets on macroeconomic aggregates and welfare. I use an open-economy extension of Angeletos (2007), where entrepreneurs face idiosyncratic productivity risk in privately held firms.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Development economics, Financial Institutions, Financial markets JEL Code(s): E, E4, E44, G, G1, G11, O, O1, O11, O16

• India and the Global Demand for Commodities: Is There an Elephant in the Room?

  Staff Discussion Paper 2008-18 Michael Francis, Corinne Luu

  After 10 years of impressive growth, India is now the fourth largest economy in the world. Yet, to date, India's impact on global commodity markets has been muted. The authors examine how India's domestic and trade policies have distorted and constrained its demand for commodities.

  Content Type(s): Staff Research, Staff Discussion Papers Topic(s): Development economics, International topics JEL Code(s): F, F1, F14, O, O1, O13, O5, O53

• The Impact of Emerging Asia on Commodity Prices

  Staff Working Paper 2007-55 Sylvie Morin, Calista Cheung

  Over the past 5 years, real energy and non-energy commodity prices have trended sharply higher. These relative price movements have had important implications for inflation and economic activity in both Canada and the rest of the world. China has accounted for the bulk of incremental demand for oil and many base metals over this period.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Business fluctuations and cycles, International topics JEL Code(s): E, E3, F, F4, O, O1, O19, Q, Q1, Q11