January 30, 2020 Monetary Policy and Financial Vulnerabilities Remarks Paul Beaudry Université Laval Québec, Québec Deputy Governor Paul Beaudry discusses how financial vulnerabilities present a challenge for monetary policy. Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Central bank research, Credit risk management, Financial stability, Inflation targets, Interest rates, Monetary policy, Monetary policy framework, Monetary policy implementation
June 21, 2006 Bank of Canada Review - Summer 2006 Cover page Irish Gun Money The coins pictured on the cover are part of the National Currency Collection of the Bank of Canada. Photography by Gord Carter Content Type(s): Publications, Bank of Canada Review
Default Dependence: The Equity Default Relationship Staff Working Paper 2008-1 Stuart Turnbull, Jun Yang The paper examines three equity-based structural models to study the nonlinear relationship between equity and credit default swap (CDS) prices. These models differ in the specification of the default barrier. Content Type(s): Staff research, Staff working papers Research Topic(s): Econometric and statistical methods, Financial markets JEL Code(s): G, G1, G12, G13
An Empirical Analysis of Foreign Exchange Reserves in Emerging Asia Staff Working Paper 2005-38 Marc-André Gosselin, Nicolas Parent Over the past few years, the ability of the United States to finance its current account deficit has been facilitated by massive purchases of U.S. Content Type(s): Staff research, Staff working papers Research Topic(s): Econometric and statistical methods, Financial stability, International topics JEL Code(s): C, C2, C23, F, F3, F31, G, G1, G15
Governance and the IMF: Does the Fund Follow Corporate Best Practice? Staff Working Paper 2006-32 Eric Santor The governance challenges facing the International Monetary Fund (IMF) are not simply limited to representation and voice, and the associated question of quota allocation. Content Type(s): Staff research, Staff working papers Research Topic(s): International topics JEL Code(s): F, F3
Managing Risk Taking with Interest Rate Policy and Macroprudential Regulations Staff Working Paper 2016-47 Simona Cociuba, Malik Shukayev, Alexander Ueberfeldt We develop a model in which a financial intermediary’s investment in risky assets—risk taking—is excessive due to limited liability and deposit insurance and characterize the policy tools that implement efficient risk taking. Content Type(s): Staff research, Staff working papers Research Topic(s): Financial system regulation and policies, Monetary policy framework JEL Code(s): E, E4, E44, E5, E52, G, G1, G11, G18
December 21, 2007 Financial System Review - December 2007 The financial system makes an important contribution to the welfare of all Canadians. The ability of households and firms to confidently hold and transfer financial assets is one of the fundamental building blocks of the Canadian economy. Content Type(s): Publications, Financial Stability Report
Does US or Canadian Macro News Drive Canadian Bond Yields? Staff Analytical Note 2018-38 Bruno Feunou, Rodrigo Sekkel, Morvan Nongni-Donfack We show that a large share of low-frequency (quarterly) movements in Canadian government bond yields can be explained by macroeconomic news, even though high-frequency (daily) changes are driven by other shocks. Furthermore, we show that US macro news—not domestic news— explains most of the quarterly variation in Canadian bond yields. Content Type(s): Staff research, Staff analytical notes Research Topic(s): Financial markets, International topics, Monetary policy JEL Code(s): C, C2, C22, E, E4, E43
The Threat of Counterfeiting in Competitive Search Equilibrium Staff Working Paper 2013-22 Enchuan Shao Recent studies in monetary theory show that if buyers can use lotteries to signal the quality of bank notes, counterfeiting does not occur in a pooling equilibrium. In this paper, I investigate the robustness of this non-existence result by considering an alternative trading mechanism. Content Type(s): Staff research, Staff working papers Research Topic(s): Bank notes JEL Code(s): D, D8, D82, D83, E, E4, E42
Stress Relief? Funding Structures and Resilience to the Covid Shock Staff Working Paper 2023-7 Kristin Forbes, Christian Friedrich, Dennis Reinhardt Funding structures affected the amount of financial stress different countries and sectors experienced during the spread of COVID-19 in early 2020. Policy responses targeting specific vulnerabilities were more effective at mitigating this stress than those supporting banks or the economy more broadly. Content Type(s): Staff research, Staff working papers Research Topic(s): Coronavirus disease (COVID-19), Exchange rates, Financial institutions, Financial stability, Financial system regulation and policies, International topics JEL Code(s): E, E4, E44, E6, E65, F, F3, F31, F36, F4, F42, G, G1, G18, G2, G23, G3, G38