Monetary policy

• Communicating Uncertainty in Monetary Policy

  Staff Discussion Paper 2017-14 Sharon Kozicki, Jill Vardy

  While central banks cannot provide complete foresight with respect to their future policy actions, it is in the interests of both central banks and market participants that central banks be transparent about their reaction functions and how they may evolve in response to economic developments, shocks, and risks to their outlooks.

  Content Type(s): Staff research, Staff discussion papers Research Topic(s): Credibility, Monetary policy, Monetary policy and uncertainty, Monetary policy communications JEL Code(s): E, E5, E52, E58, E6, E61, E65

• Monetary Policy Under Uncertainty: Practice Versus Theory

  Staff Discussion Paper 2017-13 Rhys R. Mendes, Stephen Murchison, Carolyn A. Wilkins

  For central banks, conducting policy in an environment of uncertainty is a daily fact of life. This uncertainty can take many forms, ranging from incomplete knowledge of the correct economic model and data to future economic and geopolitical events whose precise magnitudes and effects cannot be known with certainty.

  Content Type(s): Staff research, Staff discussion papers Research Topic(s): Monetary policy, Monetary policy and uncertainty JEL Code(s): E, E5, E52, E58, E6, E61, E65
• November 7, 2017

  Understanding Inflation: Getting Back to Basics

  Remarks Stephen S. Poloz CFA Montréal and Montreal Council on Foreign Relations Montréal, Quebec

  Governor Stephen S. Poloz discusses how recent weak inflation in Canada and other economies can be explained by fundamental factors.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Econometric and statistical methods, Economic models, Inflation and prices, Labour markets, Monetary policy, Monetary policy implementation
• November 1, 2017

  Opening Statement before the Standing Senate Committee on Banking, Trade and Commerce

  Opening statement Stephen S. Poloz Standing Senate Committee on Banking, Trade and Commerce Ottawa, Ontario

  Good afternoon, Mr. Chairman and committee members. Senior Deputy Governor Wilkins and I are pleased to be back before you today to discuss the Bank’s Monetary Policy Report (MPR), which we published last week. When we were last here in April, we were celebrating the fact that we had upgraded our economic forecast following a […]

  Content Type(s): Press, Speeches and appearances, Opening statements Research Topic(s): Inflation and prices, Monetary policy, Monetary policy transmission, Potential output, Recent economic and financial developments, Sectoral balance sheet

• Alternative Scenario to the October 2017 MPR Base-Case Projection: Higher Potential Growth

  Staff Analytical Note 2017-18 Jing Yang, Ben Tomlin, Olivier Gervais

  We construct an alternative scenario in which trend labour input and business investment are stronger than that expected in the Bank of Canada’s base-case projection in the October 2017 Monetary Policy Report.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Inflation and prices, Monetary policy, Potential output JEL Code(s): E, E2, E22, E24, E27, E5
• September 27, 2017

  The Meaning of “Data Dependence”: An Economic Progress Report

  Remarks Stephen S. Poloz St. John’s Board of Trade St. John's, Newfoundland and Labrador

  Governor Stephen S. Poloz discusses how unknowns in Canada’s inflation outlook have made the Bank’s monetary policy particularly data dependent.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Business fluctuations and cycles, Inflation and prices, Monetary policy, Monetary policy and uncertainty, Recent economic and financial developments, Regional economic developments

• Changes in Monetary Regimes and the Identification of Monetary Policy Shocks: Narrative Evidence from Canada

  Staff Working Paper 2017-39 Julien Champagne, Rodrigo Sekkel

  We use narrative evidence along with a novel database of real-time data and forecasts from the Bank of Canada's staff economic projections from 1974 to 2015 to construct a new measure of monetary policy shocks and estimate the effects of monetary policy in Canada.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Business fluctuations and cycles, Central bank research, Econometric and statistical methods, Exchange rate regimes, Inflation and prices, Inflation targets, Interest rates, Monetary policy, Monetary policy framework JEL Code(s): E, E3, E31, E32, E4, E43, E5, E52, E58

• Cross-Border Bank Flows and Monetary Policy: Implications for Canada

  Staff Working Paper 2017-34 Ricardo Correa, Teodora Paligorova, Horacio Sapriza, Andrei Zlate

  Using the Bank for International Settlements (BIS) Locational Banking Statistics data on bilateral bank claims from 1995 to 2014, we analyze the impact of monetary policy on cross-border bank flows. We find that monetary policy in a source country is an important determinant of cross-border bank flows.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions, Monetary policy JEL Code(s): F, F3, F34, F36, G, G0, G01

• Quantitative Easing and Long‐Term Yields in Small Open Economies

  Staff Working Paper 2017-26 Antonio Diez de los Rios, Maral Shamloo

  We compare the Federal Reserve’s asset purchase programs with those implemented by the Bank of England and the Swedish Riksbank, and the Swiss National Bank’s reserve expansion program.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial markets, Interest rates, Monetary policy JEL Code(s): E, E4, E43, E5, E52, E58, G, G1, G12
• July 12, 2017

  Monetary Policy Report Press Conference Opening Statement

  Opening statement Stephen S. Poloz, Carolyn A. Wilkins Ottawa, Ontario

  Governor Stephen S. Poloz discusses key issues involved in the Governing Council’s deliberations about the policy rate decision and the MPR.

  Content Type(s): Press, Speeches and appearances, Opening statements Research Topic(s): Inflation and prices, Interest rates, Labour markets, Monetary policy, Monetary policy implementation, Recent economic and financial developments