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3088 Results

Price-Level Dispersion versus Inflation-Rate Dispersion: Evidence from Three Countries

Inflation can affect both the dispersion of commodity-specific price levels across locations (relative price variability, RPV) and the dispersion of inflation rates (relative inflation variability, RIV). Some menu-cost models and models of consumer search suggest that the RIV-inflation relationship could differ from the RPV-inflation relationship.

Variations in Pass-Through from Global Agricultural Commodity Prices to Domestic Food Inflation

Staff discussion paper 2023-24 Daniel Hyun, Jacky Lee
This paper examines factors that affect the transmission of fluctuations in global agricultural commodity prices to domestic food inflation.
May 17, 2001

Joint Statement of the Government of Canada and the Bank of Canada on the Renewal of the Inflation-Control Target

The objective of Canada's monetary policy is to support and advance national economic well-being by contributing to sustained economic growth, rising levels of employment and improved living standards. The best contribution monetary policy can make to securing this outcome is to preserve confidence in the value of money by providing individuals and businesses with the certainty of a stable, low-inflation environment for their economic decisions.
Content Type(s): Press, Press releases

How Do Agents Form Macroeconomic Expectations? Evidence from Inflation Uncertainty

Staff working paper 2024-5 Tao Wang
The uncertainty regarding inflation that is observed in density forecasts of households and professionals helps macroeconomists understand the formation mechanism of inflation expectations. Shocks to inflation take time to be perceived by all agents in the economy, and such rigidity is lower in a high-inflation environment.
November 7, 2017

Fundamental forces continue to drive inflation as economy evolves, Bank of Canada Governor Poloz says

MONTRÉAL, QUEBEC—The fundamental forces that have always driven inflation will continue to do so, even as the global economy evolves, Bank of Canada Governor Stephen S. Poloz said today. In a speech to CFA Montréal and the Montreal Council on Foreign Relations, Governor Poloz challenged the idea that recent softness in inflation in many advanced […]
Content Type(s): Press, Press releases

What Can Stockouts Tell Us About Inflation? Evidence from Online Micro Data

Staff working paper 2021-52 Alberto Cavallo, Oleksiy Kryvtsov
Did supply disruptions and cost pressures play a role in rising inflation in 2020 during the COVID-19 pandemic? Using data collected from websites of large retailers in multiple sectors and countries, we show that shortages may indicate transitory inflationary pressures.

Pricing behaviour and inflation during the COVID-19 pandemic: Insights from consumer prices microdata

Staff analytical note 2024-6 Olga Bilyk, Mikael Khan, Olena Kostyshyna
Using the microdata underlying the Canadian consumer price index, we study how often and by how much firms changed their prices during the COVID-19 pandemic. We find that the surge in inflation was mainly associated with retailers raising prices much more often than before. We also find that more recently, corporate price-setting behaviour appears to be approaching pre-pandemic norms.
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