Césaire Meh was appointed Senior Research Officer of Economic and Financial Research, effective November 1, 2017. In this capacity, he provides intellectual leadership to Bank-wide research, especially on issues related to the nexus between monetary policy and financial stability and to macroprudential policies. He has published extensively in peer-refereed journals and was recently a Visiting Research Scholar at Princeton University.
Most recently, Mr. Meh was the Managing Director of the International Economic Analysis Department. There, he was responsible for the management and strategic direction of the department, for providing policy advice and analysis on global economic and financial developments, and for participating in various international policy forums such as the G20, G7 and International Monetary Fund. He has represented the Bank in the G20 Framework Working Group, the Macroprudential Supervision Group of the Basel Committee on Banking Supervision (BCBS) and the Macroeconomic Assessment Group of the Financial Stability Board. For the latter, he led the production of the Bank of Canada report, Strengthening International Capital and Liquidity Standards: A Macroeconomic Impact Assessment for Canada. He also chaired the workstream on the implementation of the Basel III countercyclical capital buffer.
Mr. Meh joined the Bank in 2001 as an economist in the former Monetary and Financial Analysis Department (MFA). He increasingly assumed greater responsibilities in his roles as Principal Researcher, Assistant Director of the monetary financial modelling division in MFA, Senior Research Director in the Canadian Economic Analysis Department and Senior Policy Director in the Financial Stability Department (FSD). He was then named the Deputy Managing Director of FSD, where he assisted the Managing Director in the management of the department and oversaw FSD’s contributions to the Bank’s semi-annual Financial System Review and the work on bail-ins of large Canadian banks, as well as its support for the Bank in its role as lender of last resort.
Mr. Meh’s research has focused on bank capital in macroeconomic models, the nexus between financial stability and monetary policy; the design of macroprudential policies; the distributional consequences of monetary policy; the mix between monetary, fiscal and macroprudential policies; and, more recently, fintech.
Born in Yamoussoukro, Ivory Coast, Mr. Meh holds a PhD in economics from Western University and a master’s degree in economics from Université Laval.
Staff discussion papers
Staff working papers
The Welfare Cost of Inflation Revisited: The Role of Financial Innovation and Household HeterogeneityWe document that, across households, the money consumption ratio increases with age and decreases with consumption, and that there has been a large increase in the money consumption ratio during the recent era of very low interest rates. We construct an overlapping generations (OLG) model of money holdings for transaction purposes subject to age (older households use more money), cohort (younger generations are exposed to better transaction technology), and time effects (nominal interest rates affect money holdings).
Bank of Canada Review articles
Financial System Review articles
- “The Welfare Cost of Inflation Revisited: The Role of Financial Innovation and Household Heterogeneity,”
(with Shutao Cao, Yaz Terajima and Victor Rios-Rull), 2020. Journal of Monetary Economics 118: 366-380.
- “Housing Market Dynamics and Macroprudential Policies,”
(with Gabriel Bruneau and Ian Christensen), 2018. Canadian Journal Economics, 51(3): 828-863.
- “A Policy Model to Analyze Macroprudential Regulations and Monetary Policy,”
(with Sami Alpanda and Gino Cateau), 2018. Canadian Journal Economics, 51(3): 864-900.
- “Innovation and Growth with Financial, and Other, Frictions,”
(with Jonathan Chiu and Randall Wright), 2017. International Economic Review, 58(1): 95-125.
- “Macroprudential Rules and Monetary Policy when Financial Frictions Matter,”
(with Jeannine Bailliu and Yahong Zhang), 2015. Economic Modelling, 50, 148-161.
- “Leverage, Balance Sheet Size and Wholesale Funding,”
(with Evren Damar and Yaz Terajima), 2013. Journal of Financial Intermediation, 22(4), 639-662.
- “Aggregate and Welfare Effects of Redistribution of Wealth under Inflation and Price-level Targeting,”
(with Yaz Terajima and Victor Rios-Rull), 2010. Journal of Monetary Economics, 57(6): 637-652.
- “Inflation, Nominal Portfolios and Wealth Redistribution in Canada,”
(with Yaz Terajima), 2011. Canadian Journal of Economics, 44(4): 1369-1402.
- “Financial Intermediation, Liquidity and Inflation,”
(with Jonathan Chiu), 2011. Macroeconomic Dynamics, 15: 83-118, April.
- “The role of bank capital in the propagation of shocks,”
(with Kevin Moran), 2010. Journal of Economic Dynamics and Control, 34: 555-576
- “Uninsurable Investment Risks and Capital Income Taxation,”
(with Yaz Terajima), 2009. Annals of Finance, 5(3), 521-541.
- “Uncertainty and the Specificity of Human Capital,”
(with Martin Gervais and Igor Livshits), 2008. Journal of Economic Theory, 143(1): 469-498.
- “Business Risk, Credit Constraints, and Corporate Taxation,”
2008. Journal of Economic Dynamics and Control, 32(9): 2971-3008.
- “Endogenous Incomplete Markets With Investment Risks,”
(with Vincenzo Quadrini), 2006. Journal of Economic Dynamics and Control, 30(11): 2143-2165.
- “Entrepreneurship, Wealth Inequality, and Taxation,”
2005. Review of Economic Dynamics, 8(3): 688-719.
- “Assessing the macroeconomic impact of the transition to stronger capital and liquidity requirements”
(contributing authors), G20 FSB and BCBS Final Report, December 2010.
- “Strengthening International Capital and Liquidity Standards: A Macroeconomic Impact Assessment for Canada”
(co-chair with Mark Zelmer), Bank of Canada Special Report, Fall 2010.
- “Essays in Entrepreneurship and Taxation”.
Doctorate Dissertation, University of Western Ontario, May 2001.
- “Cycle économique dans une petite économie ouverte: cas du Canada."
Master's Dissertation, Université Laval, August 1996.
Research in progress
- “Historical Insights for the Sustainability of Canadian Government Debt,”
(with James MacGee).
- “Savings, Government Deficits, and Interest Rate Dynamics in a Covid-19 World,”
(with Paul Beaudry).
- “Financial Vulnerability and Inflation Targeting,”
(with Don Coletti, Fernando Duarte, Bruno Feunou and Yang Zhang)
- “FinTech, Mobile Money, and Financial Inclusion,”
(with Markus Brunnermeier and Nicola Limodio).
- “The Role of Automatic Fiscal Stabilizers in the Business Cycles of Small Open Economies,”
(with James MacGee).
- “Firm Size, Technology Adoption Costs and Aggregate Productivity,”
(with Danny Leung and Yaz Terajima).