The Bank of Canada's Monetary Policy Framework: Have Recent Changes Enhanced Central Bank Credibility?

Author/Editor:

Takatoshi Ito ; Brenda Gonzalez-Hermosillo

Publication Date:

December 1, 1997

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

In recent years the Bank of Canada has made important changes in the way it conducts monetary policy. In particular, the bank has adopted explicit inflation targets and introduced significant changes to its operational framework designed to increase transparency and reduce market uncertainty. This paper examines the key issues associated with the recent changes in the Bank of Canada’s monetary policy framework and analyzes various indicators of central bank credibility.

Series:

Working Paper No. 1997/171

Subject:

Banking Exchange rates Financial services Foreign exchange Inflation Inflation targeting Monetary policy Prices Short term interest rates Yield curve

English

Publication Date:

December 1, 1997

ISBN/ISSN:

9781451858464/1018-5941

Stock No:

WPIEA1711997

Pages:

20

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