Monetary Policy Transmission with Endogenous Central Bank Responses in TANK Staff Working Paper 2025-21 Lilia Maliar, Chris Naubert We study how the transmission of monetary policy innovations is affected by the endogenous response of the central bank to macroeconomic aggregates in a two-agent New Keynesian model. We focus on how the stance of monetary policy and the fraction of savers in the economy affect transmission. Content Type(s): Staff research, Staff working papers Research Topic(s): Economic models, Interest rates, Monetary policy, Monetary policy transmission JEL Code(s): C, C6, C61, C62, C63, E, E3, E31, E5, E52
2024 Methods-of-Payment Survey Report: Cash in an Era of Alternatives Staff Discussion Paper 2025-12 Marie-Hélène Felt, Anna Chernesky, Angelika Welte We present core findings from the 2024 Methods-of-Payment Survey, highlighting results from both the survey questionnaire and three-day shopping diary. Although cash holdings have increased in nominal terms, we find that cash usage remains unchanged since 2020. Mobile and other alternative payment methods continue to grow in importance. Content Type(s): Staff research, Staff discussion papers Research Topic(s): Bank notes, Digital currencies and fintech, Financial services JEL Code(s): D, D8, D83, E, E4, E41
August 14, 2025 The difference between a trade surplus and a trade deficit A trade surplus and a trade deficit are both measures of a country’s balance of trade. They are a calculation of whether a country exports or imports more. Content Type(s): Explainers Research Topic(s): Inflation and prices, International topics
August 13, 2025 Canada Border Services Agency and Royal Canadian Mounted Police win Bank of Canada counterfeit deterrence award The Bank of Canada is pleased to announce the recipients of its 2025 Law Enforcement Award of Excellence for Counterfeit Deterrence. Content Type(s): Press, Announcements
Firm Heterogeneity and Adverse Selection in External Finance: Micro Evidence and Macro Implications Staff Working Paper 2025-20 Xing Guo, Pablo Ottonello, Thomas Winberry, Toni Whited We develop a heterogeneous firm macro model with private information and quantify the aggregate relevance of asymmetric information. We find that a spike in private information account for 40% of the decline in aggregate investment during the 2007-2009 financial crisis and made monetary stimulus significantly less effective. Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Financial markets, Firm dynamics, Monetary policy JEL Code(s): D, D8, D82, E, E2, E22, E3, E32, E5, E52, G, G3, G30
August 13, 2025 Publication: Summary of Deliberations 13:30 (ET)A summary of monetary policy deliberations by the Governing Council for the policy decision that was announced two weeks earlier. Content Type(s): Upcoming events
August 13, 2025 Release of the Bank of Canada’s summary of deliberations On Wednesday, August 13, 2025, the Bank of Canada will publish a summary of the deliberations that took place ahead of its interest rate decision on July 30, 2025. Content Type(s): Press, Media advisories