Argues that the BoC has maintained a certain amount of financial independence from the economy of the U.S. and that this independence has helped shield Canada from the global recession.
900 words (approx. 3.6 pages), 4 sources, 2002, $ 35.95
Abstract While it is true that the fiscal health of the United States, in particular, has a strong national effect upon that of Canada, it is also true that Canada's central bank has been able to sustain a particular level of independence from the world markets that have, in great part, shielded it from some of the same financial damage being felt in the States and in Germany. It has been asserted that the Bank of Canada's financial behaviors, actions and decisions are influenced by the FED's financial behaviors and that these influences are due to the strong economic ties between Canada and the United States. This is certainly a statement which bears out through research and it is the purpose of this paper to demonstrate that it is so.
Abstract This paper examines the monetary policy of the Bank of Canada (BoC), explaining that it clearly believes in the importance of integrating and managing the Canadian economy vis-a-vis its integrated relationship with the global economic framework. The paper explains that the BoC's policy towards economic and currency management is centered on balancing its internal economic attributes; i.e. inflation, with those of its externally related economic functions; i.e. its exchange rate. The BoC has identified energy, and specifically petroleum, as central to both internal and external economic health and discusses its role in this regard at length.
Abstract This paper discusses how an exchange rate, in terms of the Canadian economy, is the value of the Canadian dollar as compared to the currencies of other countries (Bank of Canada website). The exchange rate has many functions, including the determination of the cost of imported goods and the money Canada receives for exported goods. The paper further discusses how in real terms, when the value of the Canadian dollar drops, imported goods become quite expensive. In effect, the volume of Canadian imports is reduced. However, when this occurs other countries pay less for Canadian products and export sales in the nation are increased (BOC).
