Posts
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May 4, 2017
Canada and Mexico both set to capitalize on current opportunities, Bank of Canada Governor Poloz says
Canada and Mexico share economic traits that leave both well placed to face global challenges and capitalize on opportunities, Bank of Canada Governor Stephen S. Poloz said today. -
May 4, 2017
Canada and Mexico: Common Issues in Uncommon Times
Governor Stephen S. Poloz discusses how shared economic traits leave Canada and Mexico well placed to face global challenges. -
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April 28, 2017
Research Update - April 2017
This monthly newsletter features the latest research publications by Bank of Canada economists including external publications and working papers published on the Bank of Canada’s website. -
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Vertical Specialization and Gains from Trade
Multi-stage production is widely recognized as an important feature of the modern global economy. This feature has been incorporated into many state-of-the-art quantitative trade models, and has been shown to deliver significant additional gains from international trade. -
Downward Nominal Wage Rigidity Meets the Zero Lower Bound
We add downward nominal wage rigidity to a standard New Keynesian model with sticky prices and wages, where the zero lower bound on nominal interest rates is allowed to bind. We find that wage rigidity not only reduces the frequency of zero bound episodes but also mitigates the severity of corresponding recessions.