Bio

Serdar Kabaca is a Principal Researcher in the International Economic Analysis Department. He is a macroeconomist whose primary research interest include business cycle fluctuations in small open economies, and policy spillovers from large systemic economies. He is currently working on the spillover effects of unconventional monetary policies and capital flows in portfolio rebalancing models. His current research also includes the interaction between labor and financial markets in emerging market economies. He holds a Ph.D from University of British Columbia.


Show all

Staff discussion papers

Transition Scenarios for Analyzing Climate-Related Financial Risk

Climate transition scenarios clarify climate-related risks to our economy and financial system. This paper summarizes key results of Canada-relevant scenarios developed in a pilot project on climate risk by the Bank of Canada and the Office of the Superintendent of Financial Institutions.

See More

Staff working papers

International Transmission of Quantitative Easing Policies: Evidence from Canada

Staff Working Paper 2022-30 Serdar Kabaca, Kerem Tuzcuoglu
This paper examines the cross-border spillovers from major economies’ quantitative easing (QE) policies to their trading partners. We concentrate on spillovers from the US to Canada during the zero lower bound period when QE policies were actively used.

Foreign Exchange Interventions: The Long and the Short of It

Staff Working Paper 2022-25 Patrick Alexander, Sami Alpanda, Serdar Kabaca
This paper studies the effects of foreign exchange (FX) interventions in a two-region model where governments issue both short- and long-term bonds. We find that the term premium channel dominates the trade balance channel in our calibrated model. As a result, the conventional beggar-thy-neighbor effects of interventions are overturned.

Optimal Quantitative Easing in a Monetary Union

How should a central bank conduct quantitative easing (QE) in a monetary union when regions differ in their size and portfolio characteristics? Optimal QE policy suggests allocating greater purchases from the region that faces stronger portfolio frictions, and not necessarily according to each region’s size.

Quantitative Easing in a Small Open Economy: An International Portfolio Balancing Approach

Staff Working Paper 2016-55 Serdar Kabaca
This paper studies the effects of quantitative easing (QE) in a small open economy dynamic stochastic general-equilibrium model with international portfolio balancing. Portfolios are classified as imperfectly substitutable short-term and long-term subportfolios, each including domestic and foreign bonds.

International Spillovers of Large-Scale Asset Purchases

Staff Working Paper 2015-2 Sami Alpanda, Serdar Kabaca
This paper evaluates the international spillover effects of large-scale asset purchases (LSAPs) using a two-country dynamic stochastic general-equilibrium model with nominal and real rigidities, and portfolio balance effects.

Labour Share Fluctuations in Emerging Markets: The Role of the Cost of Borrowing

Staff Working Paper 2014-47 Serdar Kabaca
This paper contributes to the literature by documenting labour income share fluctuations in emerging-market economies and proposing an explanation for them. Time-series data indicate that emerging markets differ from developed markets in terms of changes in the labour share over the business cycle.

Search Frictions, Financial Frictions and Labour Market Fluctuations in Emerging Markets

Staff Working Paper 2014-35 Sumru Altug, Serdar Kabaca
This paper examines the role of the extensive and intensive margins of labour input in the context of a business cycle model with a financial friction. We document significant variation in the hours worked per worker for many emerging-market economies. Both employment and hours worked per worker are positively correlated with each other and with output.

See More


Journal publications

Refereed journals

Other

Research

  • "Labor Share Fluctuations in Emerging Markets : The Role of the Cost of Borrowing"