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April 6, 2015

Backgrounder on the Question in the Business Outlook Survey Concerning the Intensity of Labour Shortages

Starting with the 2015 spring survey, the results from a question on the intensity of labour shortages are being included in the Business Outlook Survey (BOS). This backgrounder briefly describes the question and presents the correlations between the responses and various measures of pressures on production capacity and labour market conditions.
Content Type(s): Background materials

Cost Pass-Through with Capacity Constraints and International Linkages

How are regional cost shocks passed through into global prices? We investigate the role of short-run capacity constraints and show that they can induce stark non-linearities in the pass-through. We highlight this effect for the market for ammonia, a commodity produced largely from natural gas.
August 15, 2013

Bank of Canada Review - Summer 2013

This special issue discusses tools used at Bank of Canada to conduct current analysis - the collection and analysis of a broad spectrum of information to form a view of current economic activity. This analysis is a key input into the Bank’s monetary policy decision-making process.

Exchange Rates, Retailers, and Importing: Theory and Firm-Level Evidence

Staff working paper 2019-34 Alex Chernoff, Patrick Alexander
We develop a model with firm heterogeneity in importing and cross-border shopping among consumers. Exchange-rate appreciations lower the cost of imported goods, but also lead to more cross-border shopping; hence, the net impact on aggregate retail prices and sales is ambiguous.
August 12, 1999

Recent Developments in Global Commodity Prices: Implications for Canada

The authors examine the recent evolution of commodity prices. They discuss the factors behind the price declines that occurred between the summer of 1997 and the end of 1998, including the key supply factors and the drop in Asian demand caused by that region's concurrent financial and economic crisis. They then review the effects of the reduction in world commodity prices on economic activity in Canada. They point out that the depreciation of the Canadian dollar against the U.S. dollar, together with the continued strength of the U.S. economy, has partly offset the negative effects on Canadian aggregate demand.
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