Business fluctuations and cycles

• The Heterogeneous Effects of COVID-19 on Canadian Household Consumption, Debt and Savings

  Staff Working Paper 2020-51 James (Jim) C. MacGee, Thomas Michael Pugh, Kurt See

  The impact of COVID-19 on Canadian households’ debt and unplanned savings varies by household income. Low-income and high-income households accrued unplanned savings, while middle-income households tended to accumulate more debt.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Coronavirus disease (COVID-19), Financial stability JEL Code(s): E, E2, E21, E24, G, G5, G51

• Optimal Quantitative Easing in a Monetary Union

  Staff Working Paper 2020-49 Serdar Kabaca, Renske Maas, Kostas Mavromatis, Romanos Priftis

  How should a central bank conduct quantitative easing (QE) in a monetary union when regions differ in their size and portfolio characteristics? Optimal QE policy suggests allocating greater purchases from the region that faces stronger portfolio frictions, and not necessarily according to each region’s size.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Economic models, Monetary policy JEL Code(s): E, E4, E43, E5, E52, E58
• November 23, 2020

  Taking the pulse of Canada’s financial system

  Speech summary Toni Gravelle Autorité des marchés financiers Montréal, Quebec

  Deputy Governor Toni Gravelle discusses how the Bank of Canada is carefully monitoring our financial system as the economy recovers from the COVID‑19 pandemic.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Business fluctuations and cycles, Coronavirus disease (COVID-19), Financial institutions, Financial markets, Financial stability, Recent economic and financial developments
• November 23, 2020

  Financial stability and the COVID-19 pandemic

  Remarks (delivered virtually) Toni Gravelle Autorité des marchés financiers Montréal, Quebec

  Deputy Governor Toni Gravelle provides an assessment of risks to the stability of the Canadian financial system, including risks stemming from the COVID-19 pandemic.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Business fluctuations and cycles, Coronavirus disease (COVID-19), Financial institutions, Financial markets, Financial stability, Recent economic and financial developments
• November 12, 2020

  Helping the economy after the COVID‑19 pandemic

  Speech summary Carolyn A. Wilkins Munk School of Global Affairs and Public Policy Toronto, Ontario

  The pandemic won’t last forever. Senior Deputy Governor Carolyn A. Wilkins talks about what the economy will need once we’re past the COVID-19 crisis.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Business fluctuations and cycles, Central bank research, Climate change, Coronavirus disease (COVID-19), Debt management, Digital currencies and fintech, Expectations, Financial institutions, Financial stability, Financial system regulation and policies, Firm dynamics, Fiscal policy, Inflation targets, Interest rates, Labour markets, Monetary policy communications, Monetary policy framework, Payment clearing and settlement systems, Potential output, Productivity, Recent economic and financial developments
• November 12, 2020

  Exploring life after COVID-19: the far side of the moon

  Remarks (delivered virtually) Carolyn A. Wilkins Munk School of Global Affairs and Public Policy Toronto, Ontario

  Senior Deputy Governor Carolyn A. Wilkins discusses what the economy will need once we’re past the COVID-19 crisis.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Business fluctuations and cycles, Central bank research, Climate change, Coronavirus disease (COVID-19), Debt management, Digital currencies and fintech, Expectations, Financial institutions, Financial stability, Financial system regulation and policies, Firm dynamics, Fiscal policy, Inflation targets, Interest rates, Labour markets, Monetary policy communications, Monetary policy framework, Payment clearing and settlement systems, Potential output, Productivity, Recent economic and financial developments

• How Should Unemployment Insurance Vary over the Business Cycle?

  Staff Working Paper 2020-47 Serdar Birinci, Kurt See

  Should unemployment benefits be more generous during economic downturns? The optimal amount and duration of benefit payments ultimately depend on the demographic and wealth characteristics of benefit recipients.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Fiscal policy, Labour markets JEL Code(s): E, E2, E24, E3, E32, J, J6, J64, J65

• Production Networks and the Propagation of Commodity Price Shocks

  Staff Working Paper 2020-44 Shutao Cao, Wei Dong

  We examine the macro implications of commodity price shocks in a model with multiple production sectors that are interconnected within a commodity-exporting small open economy.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, International topics JEL Code(s): D, D5, D57, F, F4, F41

• Cyclicality of Schooling: New Evidence from Unobserved Components Models

  Staff Working Paper 2020-38 Barbara Sadaba, Sunčica Vujič, Sofia Maier

  What is the time-varying impact of economic cycles on decisions to invest in human capital?

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Econometric and statistical methods JEL Code(s): C, C3, C32, E, E3, I, I2, J, J2

• Monetary Policy and Cross-Border Interbank Market Fragmentation: Lessons from the Crisis

  Staff Working Paper 2020-34 Tobias Blattner, Jonathan Swarbrick

  We present a two-country model featuring risky lending and cross-border interbank market frictions.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Credit and credit aggregates, International financial markets, Monetary policy framework, Monetary policy transmission JEL Code(s): E, E4, E44, E5, E52, F, F3, F32, F36