Inflation targets

• March 10, 2025

  Price check: Inflation in Canada

  Sharon Kozicki, Jill Vardy, Laurence Savoie-Chabot

  Why prices change, and what it means for the economy.

  Content Type(s): Publications, The Economy, Plain and Simple Research Topic(s): Business fluctuations and cycles, Credibility, Expectations, Inflation and prices, Inflation targets, Inflation: costs and benefits, Monetary policy framework, Monetary policy transmission, Price stability
• February 21, 2025

  Trade conflict: What can the Bank of Canada do?

  Speech summary Tiff Macklem Mississauga Board of Trade-Oakville Chamber of Commerce Mississauga, Ontario

  Governor Tiff Macklem discusses how a trade conflict would affect the Canadian economy and monetary policy. He also outlines what the Bank of Canada is focusing on as it renews its monetary policy framework.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Economic models, Housing, Inflation targets, International topics, Monetary policy and uncertainty, Monetary policy framework, Potential output, Productivity, Recent economic and financial developments, Trade integration
• February 21, 2025

  Tariffs, structural change and monetary policy

  Remarks Tiff Macklem Mississauga Board of Trade-Oakville Chamber of Commerce Mississauga, Ontario

  Governor Tiff Macklem discusses the potential impact of a trade conflict with the United States. He also launches the review of the Bank’s monetary policy framework.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Economic models, Housing, Inflation targets, International topics, Monetary policy and uncertainty, Monetary policy framework, Potential output, Productivity, Recent economic and financial developments, Trade integration
• February 3, 2025

  Understanding quantitative easing

  QE is a tool that encourages spending and investment—helping us to achieve our inflation target by stabilizing the economy.

  Content Type(s): Explainers Research Topic(s): Inflation targets, Monetary policy
• December 16, 2024

  Lessons for the future

  Speech summary Tiff Macklem Greater Vancouver Board of Trade Vancouver, British Columbia

  In his year-end remarks, Governor Tiff Macklem discusses what the Bank of Canada learned from the pandemic experience and outlines how the Bank is preparing for a more uncertain future.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Coronavirus disease (COVID-19), Economic models, Expectations, Inflation and prices, Inflation targets, International topics, Monetary policy, Monetary policy communications, Monetary policy framework
• December 16, 2024

  Delivering price stability: Learning from the past, preparing for the future

  Remarks Tiff Macklem Greater Vancouver Board of Trade Vancouver, British Columbia

  Governor Tiff Macklem reflects on the lessons learned from the pandemic and its aftermath and outlines how the Bank is preparing for the challenges of the future.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Coronavirus disease (COVID-19), Economic models, Expectations, Inflation and prices, Inflation targets, International topics, Monetary policy, Monetary policy communications, Monetary policy framework
• November 26, 2024

  Keeping inflation at 2%

  Speech summary Rhys R. Mendes Greater Charlottetown Area Chamber of Commerce Charlottetown, Prince Edward Island

  In his first public speech as a deputy governor, Rhys Mendes explains why higher interest rates were needed to get inflation back down to the 2% target and why we want it to stay there.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Credibility, Expectations, Inflation and prices, Inflation targets, Interest rates, Monetary policy, Monetary policy communications, Price stability
• November 26, 2024

  Sticking the landing: Keeping inflation at 2%

  Remarks Rhys R. Mendes Greater Charlottetown Area Chamber of Commerce Charlottetown, Prince Edward Island

  Deputy Governor Rhys Mendes discusses how monetary policy worked to bring inflation back down to target and why the Bank wants inflation to stay close to 2%.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Credibility, Expectations, Inflation and prices, Inflation targets, Interest rates, Monetary policy, Monetary policy communications, Price stability

• How Do Households Respond to Expected Inflation? An Investigation of Transmission Mechanisms

  Staff Working Paper 2024-44 Janet Hua Jiang, Rupal Kamdar, Kelin Lu, Daniela Puzzello

  We conduct surveys to study how consumer spending responds to higher inflation expectations. Most respondents spend the same, sticking to fixed budget plans or not considering inflation for spending decisions. About 20% decrease spending because they feel poorer and cut spending to invest in inflation-proof assets. Very few increase spending.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Central bank research, Inflation and prices, Inflation targets, Monetary policy, Monetary policy transmission JEL Code(s): D, D1, D15, D8, D84, E, E2, E5, E52, E7
• September 19, 2024

  Monetary policy decision-making: Behind the scenes

  Remarks Nicolas Vincent Sherbrooke Chamber of Commerce and Industry Sherbrooke, Quebec

  External Deputy Governor Nicolas Vincent gives a behind the scenes look at the rigorous research, analysis and debate that go into every monetary policy decision.

  Content Type(s): Press, Speeches and appearances Research Topic(s): Central bank research, Credibility, Economic models, Inflation and prices, Inflation targets, Monetary policy, Monetary policy and uncertainty, Monetary policy communications, Monetary policy framework, Monetary policy transmission