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jerryking : bank_of_canada   14

Bank of Canada warns automation will lead to job losses - The Globe and Mail
ANDY BLATCHFORD
The Canadian Press
Published Tuesday, Apr. 18, 2017

In a speech in Toronto, senior deputy governor Carolyn Wilkins said Tuesday innovations like artificial intelligence and robotics are expected to help re-energize underwhelming productivity in advanced economies like Canada. Over the longer haul, she added that new technologies should eventually create more jobs than they replace.

However, the fast-approaching changes come with concerns for Wilkins – from the challenging adjustment for the labour force, to the distribution of the new wealth......“Innovation is always a process of creative destruction, with some jobs being destroyed and, over time, even more jobs being created,” said Wilkins, who added that what will change is the type of workers in demand.

“We’ve seen this process in action throughout history.”.......Wilkins said the Bank of Canada has also taken steps to help it deal with the fast-approaching changes. It has created a new digital economy team with a focus on how automation affects the economy as well as its impacts on inflation and monetary policy
Bank_of_Canada  automation  productivity  artificial_intelligence  technological_change  robotics  layoffs  inflation  monetary_policy  digital_economy  creative_destruction  innovation  job_creation  job_destruction  job_displacement  rapid_change 
april 2017 by jerryking
Central banks worldwide need more tools to co-ordinate policy -
Dec. 24, 2016 | The Globe and Mail | JAMES DEAN Special to The Globe and Mail

Modern central bankers worry about unemployment, income inequality, growth, inflation housing and asset bubbles, household debt, and fear of financial instability. Typically, central banks have had to rely on a single tool, their ability to raise or lower short-term interest rates. But is is an an axiom of policy making that for each additional goal, an additional instrument is necessary. Central banks worldwide agonize about their frustration with trying to target a plethora of goals.... With but a single instrument, they cannot simultaneously pursue the multiplicity of goals that today’s electorate expects of them....The answer is either to give central bankers more tools, or to co-ordinate their policy choices with those of other agencies.

For example, an ability to dictate both down payments on housing mortgages and margin requirements on borrowing to buy financial assets; setting reserve and capital requirements on banks; adjusted the lending mix of commercial bank portfolios, with preferences for export industries, or infrastructure like highways, airports and ports. Or for agriculture or labour-intensive industry or high-tech industry....The room for this kind of expanded mandate for central banks is relatively wide in some countries but very limited in others, the United States in particular.
central_banks  tools  interest_rates  Bank_of_Canada  U.S._Federal_Reserve  policy  coordination  policy_tools 
december 2016 by jerryking
The governor gets his hands dirty - The Globe and Mail
SINCLAIR STEWART
The Globe and Mail
Published Wednesday, Aug. 26 2009

"The man leaving me in his dust exemplifies Flaubert's directive: "Be regular and orderly in your life, so that you may be violent and original in your work." Well, original at least."
Mark_Carney  Bank_of_Canada  central_banking  dual-consciousness  quotes 
february 2015 by jerryking
Is Poloz making the loonie fly low? - The Globe and Mail
KONRAD YAKABUSKI
The Globe and Mail
Published Thursday, Sep. 25 2014

the governor of the Bank of Canada does not take his marching orders from the government. But the government does influence monetary policy by choosing the governor.

Ask Jean Chrétien. In John Crow’s case, “I didn’t agree with what he had done under [Brian] Mulroney by opting to wrestle inflation to the ground with high interest rates in the middle of a recession and with a high Canadian dollar,” the former prime minister wrote in his memoirs.

Mr. Chrétien turfed Mr. Crow within two months of his 1993 election and replaced him with Gordon Thiessen. The dollar began what seemed like a fortuitous descent from 76 cents to 62 cents in 2002, triggering a manufacturing-led export boom in Central Canada.

The flip side of that boom, however, was complacency. With a low loonie, Canadian manufacturers ignored the need to become more productive and innovative. Thoroughly unmodern, few had any other competitive advantage to fall back on when surging oil prices drove the dollar to parity in 2007.

A lower dollar can put the wind in your sails for a while. Long-term, not so much.
Konrad_Yakabuski  Stephen_Poloz  Bank_of_Canada  loonie  interest_rates  monetary_policy  central_banking  Jean_Chrétien  productivity  complacency  weak_dollar  manufacturers 
september 2014 by jerryking
Ride to the rescue of workers
Aug. 15 2007 | The Globe and Mail | JIM STANFORD. Economist with the Canadian Auto Workers Union

So imagine how surprised I was at the bank's rapid, powerful interventions into financial markets recently, issuing more than $4-billion in new low-cost loans in just three trading days to soothe frazzled nerves and keep the easy-credit machine out of the ditch. And it signalled in no uncertain terms there was plenty more where that came from.

Far from sitting back watching the economy "adjust to change," this drama featured the central bank as cavalry - charging over the hill just as the hedge-fund artists were making their last stand. Seems the prospect of bankrupt speculators tossed onto the street, forced to find real work, isn't the kind of change the bank has in mind. Now, don't get me wrong: What the bank did was prudent and important....This selective, one-sided approach to stabilization speaks volumes about the nature of the bank as an institution, and the biases of the inflation-targeting regime it espouses so passionately. The Bank of Canada is not a neutral, prescient team of technocrats, guiding us to some imaginary point of maximum efficiency. Like any other political body, its opinions and actions reflect value judgments about the relative importance of differing, sometimes conflicting, goals and interests. Job creation versus inflation control. Consumer inflation versus stock-market inflation. Financial troubles versus industrial troubles.

So, Governor Dodge, please carry on with your dramatic rescue mission. Just spread a little of that rescue around to the rest of us next time.
bailouts  Bank_of_Canada  biases  bubbles  business-government_relations  CAW  central_banks  economists  financial_crises  financial_markets  institutions  Jim_Stanford  layoffs  manufacturers  pairs  politics  tradeoffs  values  value_judgements 
june 2012 by jerryking
Mark Carney: The man who speaks the truth - The Globe and Mail
Mark Carney: The man who speaks the truth
JEFFREY SIMPSON | Columnist profile | E-mail
From Wednesday's Globe and Mail
Published Wednesday, Dec. 14, 2011
Mark_Carney  Jeffrey_Simpson  Bank_of_Canada 
december 2011 by jerryking

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