Staff discussion papers

Staff discussion papers are completed staff research studies on a wide variety of subjects relevant to central bank policy.

Contains

Authors

JEL Codes

Topics

Published After

Published Before

236 result(s)

Summaries of Central Bank Policy Deliberations: A Canadian Context

This paper provides the context, rationale and key considerations that informed the Bank of Canada’s decision to publish a summary of monetary policy deliberations. It includes an analysis of how other central banks disclose minutes and summaries of their monetary policy deliberations.
Content Type(s): Staff research, Staff discussion papers Topic(s): Monetary policy communications JEL Code(s): D, D8, D83, E, E5, E58

The 2021–22 Merchant Acceptance Survey Pilot Study

Staff Discussion Paper 2023-1 Angelika Welte, Joy Wu
The rise in digital payment innovations has spurred a discussion about the future of cash at the point of sale. The Bank conducted the 2021–22 Merchant Acceptance Survey Pilot Study to study trends in merchant cash acceptance and monitor conditions for the potential issuance of a central bank digital currency.

2021 Methods-of-Payment Survey Report

Staff Discussion Paper 2022-23 Christopher Henry, Matthew Shimoda, Julia Zhu
We present results from the 2021 Methods-of-Payment Survey, including updated payment shares. We highlight long-term trends and provide additional context for results with respect to the COVID-19 pandemic.

Financial Constraints and Corporate Investment in China

Staff Discussion Paper 2022-22 Kun Mo, Michel Soudan
Financial constraints deter firms from pursuing optimal investment plans. In China, we find privately owned firms face greater financial constraints than state-owned enterprises (SOEs). This can be explained by our finding that lenders appear less concerned about the credit risk of SOEs, which causes distortions in the allocation of credit.
Content Type(s): Staff research, Staff discussion papers Topic(s): Financial markets, Firm dynamics JEL Code(s): E, E2, E22, G, G1, G3

The Relative Benefits and Risks of Stablecoins as a Means of Payment: A Case Study Perspective

Staff Discussion Paper 2022-21 Annetta Ho, Sriram Darbha, Yuliya Gorelkina, Alejandro García
Our paper contributes to the discussion about the utility of stablecoins for retail payments through an objective, evidence-based approach that compares stablecoins with traditional retail payment methods. The paper also provides insights that could be useful in the design of central bank digital currencies.

Stablecoins and Their Risks to Financial Stability

Staff Discussion Paper 2022-20 Cameron MacDonald, Laura Zhao
What risks could stablecoins pose to the financial system? We argue that the stabilization mechanisms of stablecoins give rise to the risk of confidence runs, which can propagate to broader cryptoasset markets and the traditional financial sector. We also argue that stablecoins can contribute to financial stability risks by facilitating the buildup of leverage and liquidity mismatch in decentralized finance. Such risks cannot be addressed by ensuring the price stability of stablecoins alone. Finally, we explore the potential implications of stablecoins for the current system of bank-intermediated credit and for monetary policy.

Calculating Effective Degrees of Freedom for Forecast Combinations and Ensemble Models

Staff Discussion Paper 2022-19 James Younker
This paper derives a calculation for the effective degrees of freedom of a forecast combination under a set of general conditions for linear models. Computing effective degrees of freedom shows that the complexity cost of a forecast combination is driven by the parameters in the weighting scheme and the weighted average of parameters in the auxiliary models.

COVID-19 and Financial Stability: Practice Ahead of Theory

Staff Discussion Paper 2022-18 Jing Yang, Hélène Desgagnés, Grzegorz Halaj, Yaz Terajima
The COVID-19 pandemic uncovered policy challenges related to the economic measures that were taken to support the economy. Two years later, we attempt to identify the broader impact of these measures and research that needs to follow.

Cash, COVID-19 and the Prospects for a Canadian Digital Dollar

Staff Discussion Paper 2022-17 Walter Engert, Kim Huynh
We provide an analysis of cash trends in Canada before and during the COVID-19 pandemic. We also consider the potential two scenarios for issuance of a central bank digital currency in Canada: the emergence of a cashless society or the widespread use of an alternative digital currency in Canada. Finally, we discuss the Canadian experience in maintaining cash as an efficient and accessible method of payment and store of value.
Go To Page